LONDON, April 20 (Reuters) - Investors in Barclays have been urged to vote down the British bank's pay report at its annual general meeting next week in a further sign of anger among shareholders over issues such as company pay and strategy.
Corporate governance body Pirc on Tuesday said shareholders should oppose the bank's 'potentially excessive' pay awards.
It said Barclays' head of corporate and investment banking Bob Diamond had received 26 million pounds ($39.79 million) on exercise of Barclays Global Investor options and a performance share plan (PSP) award of around 2,400 percent of salary in the year.
'We consider the performance conditions to be insufficiently stretching given the level of award,' Pirc said in a statement.
'Despite the extent of pay disclosure we do not consider that shareholders are given sufficient information to judge how challenging the targets are regarding the economic profit performance measure in place for PSP awards to date and the Return on Risk Weighted Assets target for awards going forward.'
Barclays has reviewed its remuneration policy and said for 2009 bonuses there was a significant increase in the proportion deferred, paid in stock and awarded over the long term, especially for senior executives.
Barclays was not immediately available for comment on Tuesday.
Investors globally have become tougher with company boards after being accused by politicians and regulators of failing to demand greater accountability from companies following the financial crisis.
Institutional investors have become more vocal on contentious issues, particularly pay, with five resolutions on pay voted down in 2009 at companies including Royal Bank of Scotland and Royal Dutch Shell.
($1=.6535 Pound)
(Reporting by Raji Menon; Additional reporting by Steve Slater) Keywords: BARCLAYS/INVESTORS (raji.menon@thomsonreuters.com; +44 (0) 20 7542 3551; raji.menon.thomsonreuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
Corporate governance body Pirc on Tuesday said shareholders should oppose the bank's 'potentially excessive' pay awards.
It said Barclays' head of corporate and investment banking Bob Diamond had received 26 million pounds ($39.79 million) on exercise of Barclays Global Investor options and a performance share plan (PSP) award of around 2,400 percent of salary in the year.
'We consider the performance conditions to be insufficiently stretching given the level of award,' Pirc said in a statement.
'Despite the extent of pay disclosure we do not consider that shareholders are given sufficient information to judge how challenging the targets are regarding the economic profit performance measure in place for PSP awards to date and the Return on Risk Weighted Assets target for awards going forward.'
Barclays has reviewed its remuneration policy and said for 2009 bonuses there was a significant increase in the proportion deferred, paid in stock and awarded over the long term, especially for senior executives.
Barclays was not immediately available for comment on Tuesday.
Investors globally have become tougher with company boards after being accused by politicians and regulators of failing to demand greater accountability from companies following the financial crisis.
Institutional investors have become more vocal on contentious issues, particularly pay, with five resolutions on pay voted down in 2009 at companies including Royal Bank of Scotland and Royal Dutch Shell.
($1=.6535 Pound)
(Reporting by Raji Menon; Additional reporting by Steve Slater) Keywords: BARCLAYS/INVESTORS (raji.menon@thomsonreuters.com; +44 (0) 20 7542 3551; raji.menon.thomsonreuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
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