MOST OF Bank of Ireland’s non-executive directors are seeking re-election to the State-backed lender’s board at its annual general meeting (agm) next month, a meeting at which bank governor Richard Burrows will stand down following huge share-price losses and the cancellation of dividends.
In the first agm since the Government recapitalised Bank of Ireland with €3.5 billion in capital, 11 of the 14 non-executive and executive directors in place before Minister for Finance Brian Lenihan introduced the State guarantee programme last September are asking shareholders to put them back on the bank’s board.
The bank’s investors have suffered with the collapse of its shares, down 73 per cent in a year.
Having traded as low as 12 cent in March, the stock gained 15 per cent yesterday to close 26½ cent stronger at €2.03.
Former chief Brian Goggin saw his pay rise last year to €3.1 million from €2.97 million, a sum that included one year’s salary of €1.46 million in lieu of notice.
Mr Burrows’s pay fell to €503,000 from €512,000. The pay of Mr Goggin’s successor, Richie Boucher, fell last year to €1.07 million from €1.45 million.
Under the Government guarantee scheme, his pay as chief executive is capped at €500,000.
Shareholders will be asked at the agm to approve the appointment to the board of former Zurich Financial Services Group vice-president and chief growth officer Patrick O’Sullivan, who also held senior positions in Goldman Sachs International, Financial Guaranty Insurance and Bank of America.
Mr Boucher and executive directors Des Crowley, Denis Donovan and John O’Donovan are seeking re-election to the bank’s court, as its board is known. The non-executive directors seeking re-election are: Paul Haran, Dennis Holt, Rose Hynes, Jerome Kennedy, Heather Ann McSharry, Declan McCourt and Terry Neill.
Mr Burrows’s successor has yet to be named. He signalled his departure last month, a move that followed Mr Goggin’s early departure. The bank has cut directors’ pay by 10 per cent this year.
