LONDON (Reuters) - Barclays (BARC.L) Chief Executive Antony Jenkins has turned down his 2013 bonus, saying it would be inappropriate given the bank’s hefty bill to pay for past problems and its need to call on investors for cash.
Jenkins could have received a bonus of up to 2.7 million pounds ($4.4 million). It is the second year he has waived his bonus after becoming chief executive in August 2012.
“I have concluded that it would not be right, in the circumstances, for me to accept a bonus for 2013, and I have therefore respectfully declined the one offered to me by the board,” Jenkins said in a statement on Monday.
He said that was because of the very significant costs which have been required to address legacy litigation and conduct issues and the cost of getting out of areas the bank does not want to stay in, such as tax advisory.
Barclays raised 6 billion pounds from a rights issue after being told by its regulator to shore up its capital.
Jenkins is attempting to improve culture and standards at Barclays, after a fine for the alleged manipulation of Libor interest rates uncovered a series of other problems. He is keen to distance himself from his predecessor, Bob Diamond, who was paid tens of millions of pounds, mainly when he ran investment banking, over more than a decade.
Jenkins’ base salary is 1.1 million pounds and he can receive 250 percent of that as an annual bonus and 400 percent of salary in a long-term share award.
He was paid 2.6 million pounds in 2012, including 833,000 in salary, 1.5 million from a long-term incentive award, 215,000 in lieu of pension and 81,000 in benefits.
($1 = 0.6123 British pounds)
Editing by Matt Scuffham and Jane Merriman