here are the expenses of the managers - Corriere.it
Credit Suisse has been in the spotlight for years due to scandals and continuous changes at the top. The same management admitted that there were substantial weaknesses in the internal control of the bank, which ended 2022 with a net loss of 7.3 billion Swiss francs. In January of the same year Antonio Horta-Osorio, the then president of the board of directors, had to resign for having violated the quarantine several times during the pandemic, using a seventy million euro corporate jet.
To the Wimbledon final on the company jet
Horta-Osorio had ended up at the center of controversy for having attended the final of the Wimbledon tennis tournament, not respecting the rules then in force in the United Kingdom. According to Wall Street Journal the cost of the day, which the former chairman of the board had spent with his family, amounted to tens of thousands of dollars. Horta-Osorio, again according to the reconstruction of the economic-financial newspaper, would have told the bank that the tickets for the match had been purchased for some customers who had given up at the last minute. The former chairman of the board and his family had traveled aboard the company jet to go to watch the tournament. Six months earlier Horta-Osorio had been caught in Spain, again in violation of anti-Covid rules.
The promise of 350 million francs
According to Financial Times, Credit Suisse at the beginning of 2023 would have promised a maxi bonus to its managers. A promise that didn't go through. According to the proposal the bank was discussing, 500 managers could share a bonus of 350 million francs if they were able to successfully carry out the restructuring process of the institute. But a disastrous year has forced the group to backtrack on their plans.
Compensation cuts in 2022
After losing 7.3 billion Swiss francs, in 2022 Credit Suisse decided to halve the bonuses for its employees, without awarding even one to top managers. The cuts also involved compensation. CEO Ulrich Krner received 2.5 million Swiss francs in 2022 against the 3.8 million received in 2021 by his predecessor, Thomas Gottstein. Gottstein's pay had also been cut the previous year, following the negative impact of the Greensill and Archegos events. Scandals that cost him 43% of his salary: that of 2020, in fact, amounted to 6.5 million. The chairman Axel Lehmann in 2022 had a fee of 3.2 million francs out of the total 10.4 million assigned to the entire board of directors against the 11.7 million of the previous year.
The one-time transformation premium
For the period between the 2023 and 2024 shareholders' meetings, the members of the board of directors will be paid a maximum of 13 million. Despite the situation of instability, a one-off transformation bonus based on deferred shares for a maximum of €30.1 million was envisaged for executives. The amount, the bank specified, will depend on the institution's performance in the period 2023-2025.