£5 million up-for-grabs for RBS chiefs
Four senior executives at Royal Bank of Scotland (RBS) are in line for share awards worth £5 million in the current market if they meet unspecified performance targets in the coming three years.
Ellen Alemany, the chief executive of RBS America, is set to receive 5.9 million shares - worth some £2.4 million at their current price. Meanwhile, Ron Teerlink, the bank's chief administration officer, is on track to scoop up 1.9 million shares worth £768,676 on paper on Friday while Chris Sullivan, the incoming head of UK corporate banking, is set to pick up 1.8 million shares potentially worth £723,837.
And elsewhere, the outgoing head of UK corporate banking, Alan Dickinson, could receive a 1.9 million share boost despite the fact he will relinquish his role in July and retire next year. All share awards are dependent on the executives hitting targets set out in chief executive Stephen Hester's strategic review which will be unveiled in the summer.
RBS, which is 70% owned by the taxpayer, said: "We have put in place a new leadership team to lead RBS through the substantial restructuring we have under way. It is critical that executive reward is made dependent on the delivery of those plans over the next three to five years to align their interests directly with those of our shareholders.
"These incentives are designed to do just that and there will be no reward for failure. Nothing will be paid until and unless performance criteria are achieved and awards are subject to claw back."
Last month, RBS revealed that its head of global banking and markets division, John Hourican, had been granted options over more than seven million shares.
The bank has yet to unveil its medium term incentive plans for executive board directors including Stephen Hester although these will have had to have been agreed with UKFI.