VANCOUVER, April 28 The Canada Pension Plan
Investment Board (CPPIB) plans to vote against Barrick Gold
Corp's new executive compensation plan, the investment
management group said in a proxy voting notice on its website
CPPIB, which manages investments for Canada's national
pension plan, said that, while the gold miner has made progress
in better aligning itself with shareholder interests, it has not
fully addressed issues around its co-chairman's compensation.
"We continue to be concerned with the company's practice of
granting outsized awards on a largely discretionary basis, which
we believe is inconsistent with the governance principle of
pay-for-performance," the board said in its proxy statement.
Co-chairman John Thornton, who is set to take over as
Barrick's sole chairman when founder Peter Munk retires later
this week, earned $9.5 million in 2013, down from $17 million in
2012, which included an $11.9 million signing bonus.
The hefty pay package was criticized by investors, who
soundly rejected the company's executive payment plan in a
non-binding vote at last year's annual general meeting.
Barrick unveiled a new plan in March where the largest part
of top executives' compensation would be paid in units that
convert into the company's shares. Executives cannot sell the
shares until they retire or leave the company.
The new plan has been backed by influential proxy advisor
ISS, which said earlier this month that Barrick had responded to
shareholders' concerns and the changes should better link the
long-term interests of management and investors.
The plan is also supported by rival adviser Glass Lewis.
(Reporting by Julie Gordon. Editing by Andre Grenon)