PNC Financial Services CEO's pay in 2010 decreases 21% year-over-year to US$11.6M, despite company experiencing higher earnings, largest acquisition in its history
March 16, 2011
– PNC Financial Services Group Inc. CEO James E. Rohr received compensation of $11.6 million in 2010, a drop of 21 percent from the previous year, according to a regulatory filing, in spite of higher earnings as the bank adjusted its post-TARP pay.
Rohr, 62, who is also the Pittsburgh-based bank holding company's chairman, received a salary of $1.6 million, with just over $1 million of that paid in cash and the $538,462 in stock units paid in four segments in the first two months of the year.
The bank said it has since eliminated salary paid in stock units, which was instituted in 2009 as part of the company's receipt of government assistance under the Troubled Asset Relief Program, or TARP. In 2009, Rohr received a salary of $1 million in cash and a raise of $1.75 million, paid in stock.
For 2010, Rohr also received more than $7.7 million in stock and options, down from $11.9 million the year earlier, with most of the decrease coming from stock awards.
PNC said in documents filed with the Securities and Exchange Commission on Wednesday that, going forward, it aims to have 60 percent of Rohr's total compensation package be equity-based. It set a total compensation target for Rohr of $7.5 million.
He also received $158,468 in retirement contributions and insurance premiums, down from $179,431 in 2009.
In 2009, Rohr's salary was $1 million in cash and he received a raise of $1.75 million, paid in stock.
The decrease came despite higher earnings and the integration of National City, the largest acquisition in PNC's history. PNC earned $3.4 billion in 2010, or $5.74 per share. That was up from $2.4 billion, or $4.36 per share, last year.
The Associated Press calculations of total pay include executives' salary, bonus, incentives, perks, above-market returns on deferred compensation and the estimated value of stock options and awards granted and received during the year. The calculations don't include changes in the present value of pension benefits, and they sometimes differ from the totals companies list in the summary compensation table of proxy statements filed with the Securities and Exchange Commission.
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