Pay boost for Standard Bank’s top two

Sim Tshabalala. File picture: Simphiwe Mbokazi

Sim Tshabalala. File picture: Simphiwe Mbokazi

Published Apr 25, 2016

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Johannesburg - The combined compensation for Standard Bank’s joint Chief Executive Officers - Sim Tshabalala and Ben Kruger - rose 43 percent after full-year profit climbed by a third.

Kruger’s total pay was R30.79 million ($2.1 million), including incentive awards amounting to R22 million, giving the CEO an increase of 61 percent from a year earlier, according to the Johannesburg-based bank’s annual report published on Monday.

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Tshabalala’s total pay was R30.99 million, including annual incentives of R22 million, giving him an increase of 28 percent.

After reducing the CEOs’ pay in 2014 following losses at the bank’s London unit, remuneration “has been normalised”, Ted Woods, chairman of the remuneration committee, said in the annual report. The two CEOs “met most expectations fully in 2015”, he said. “Failures were limited in scope,” Woods said, without giving details.

Africa’s largest lender by assets said on March 3 normalised net income for the year ended December climbed 34 percent to R21.37 billion. Earnings per share excluding one-time items increased 27 percent and beat analysts’ estimates, while the dividend rose 13 percent to R6.74.

Tshabalala and Kruger were each paid more than Barclays Africa CEO Maria Ramos, who received R28.2 million last year. The heads of FirstRand, Investec and Nedbank were all paid more than the dual CEOs during their latest fiscal years. When the compensation is combined, Standard Bank paid its CEOs more than any other South African lender, except for Investec.

BLOOMBERG

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