Bank Watch

Bank of America’s top executives received big raises last year, new filing shows

Bank of America’s top executives all received raises for their work in 2016, a regulatory filing Wednesday shows.
Bank of America’s top executives all received raises for their work in 2016, a regulatory filing Wednesday shows. AP

Bank of America’s top executives all received raises for their work in 2016, a regulatory filing Wednesday showed.

The Charlotte-based bank last month disclosed CEO Brian Moynihan’s compensation rose 25 percent to $20 million, a figure that includes $1.5 million in base salary and the rest in stock. The bank’s proxy filing on Wednesday reveals how other major executives have been compensated, with raises ranging from 7 percent to more than 13 percent.

Wednesday’s filing also disclosed what proposals shareholders will vote on when the bank holds its annual meeting April 26 at the Hilton Charlotte Center City.

One of the proposals calls on the bank to have an independent chairman, reviving a debate that erupted in October 2014 when the bank’s board nixed a bylaw that required the chair be separate from the CEO. Shareholders in September 2015 later approved a measure allowing Moynihan to hold both the CEO and chairman titles.

Another proposal calls for executive officers to defer for at least 10 years a “substantial” portion of their compensation, which they would forfeit if the bank had to pay penalties for violating laws. Other measures up for a vote include one seeking a study on whether the bank should divest non-core businesses and one requesting a report on Bank of America’s policies and goals to reduce the pay gap between its male and female employees.

The bank is recommending shareholders to vote against the measures.

Here’s a look at the raises awarded to the four top executives besides Moynihan in a year when the bank made nearly $18 billion in profits, the second most in its history:

▪ Paul Donofrio, chief financial officer: $11.25 million, up 7.1 percent. The figure comprises $850,000 in base salary, a $4.16 million cash bonus and the rest in stock.

▪ Geoffrey Greener, chief risk officer: $10.5 million, up 13.5 percent. The total represents $850,000 in base salary, a $3.86 million cash bonus and the rest in stock.

▪ Terry Laughlin, head of global wealth and investment management: $10.25 million, up 7.9 percent. The figure involves $850,000 in base salary, a $3.76 million cash bonus and the remainder in stock.

▪ Thomas Montag, chief operating officer: $17 million, up 9.7 percent. That total represents a $1 million base salary, $6.4 million cash bonus and the rest in stock.

Deon Roberts: 704-358-5248, @DeonERoberts

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