AstraZeneca PLC Faces Shareholder Protest Over CEO's $6.13 Million Payout
Published: Apr 18, 2013
It's being called the 'Golden Hello.' When AstraZeneca hired Pascal Soirot hired last fall as its new ceo, the drugmaker gave the former Roche exec a healthy $1.5 million to compensate him for a bonus that he had to forfieit, along with a promise of stock worth roughly $6 million based on future performance. But a pension group that owns 2 percent of AstraZeneca shares is outraged over the cash payout. The Local Authority Pension Fund Forum is advising its members to reject the compensation plant at the upcoming annual meeting on April 25. Even though Soriot is required to invest the payout, after tax, in AstraZeneca (AZN) stock, the pension group believes the drugmaker “breached” its policy of discontinuing the practice of paying “golden hellos."