Deutsche Bank Exec Suggests Scrapping Top Bonuses; Vows Bank Is “Better Than It Seems”

In another reminder that the turmoil shaking up Deutsche Bank is not limited to its stock price, but stretches as far as its top decisionmakers, overnight the bank’s consumer banking chief and member of its 10-member management board, Christian Sewing, told Bild that the German bank’s board should discuss scrapping bonuses for top executives for a second year after Germany’s largest bank put dividend payments on hold.
‘It’s clear that if we don’t pay our shareholders a dividend, then our own bonus needs to be up for debate as well,’ Sewing told Bild-Zeitung in an interview.
Sewing, who leads the private, wealth and commercial clients unit, stood to earn a 2.4 million-euro ($2.7 million) salary and as much as 5.9 million euros in bonuses for this year, the company said in March. While CEO Cryan’s theoretical ‘maximum’ compensation under the bank’s formula is 12.5 million euros, he can’t actually receive that amount, as pay for management board members was capped to 9.85 million euros for 2016. According to Bloomberg, a spokeswoman for the Frankfurt-based bank said the comments were reported accurately.

This post was published at Zero Hedge on Aug 17, 2016.