Despite losses RBS chief pockets hefty bonus
(02-28 18:32)
Royal Bank of Scotland chief executive Stephen Hester will pocket a bonus despite the bank reporting that its net losses nearly tripled to £5.97 billion (HK$70.2 billion) in 2012, when it was hit by compensation payouts and a fine for rigging London interbank rates, AFP reports.
The Edinburgh-based bank’s reputation also took a severe beating in the year.
When asked if he would be taking £780,000 in RBS shares next month, Hester told the BBC: “Yes, I am. Other people decided to award it to me. As you know it's the only bonus in four years I have taken.
“By the standards of other people doing this job that is something that the board clearly felt was merited.''
Despite the massive loss, RBS handed out £679 million in bonuses. Investment bankers pocketed £287m. The bank recouped £72m to penalize them for the interest rates-rigging fine.
RBS did however cut its bonus pool to £607 million, from £789 million in 2011, after recouping cash to pay its recent fines to settle allegations of Libor interest rate rigging, AFP reports.
|
|
|
|
