MILAN, March 24 Generali CEO Mario Greco was rewarded with around 3.5 million euros ($4.82 million) before taxes in his first full year at the helm of Italy's biggest insurer by market capitalisation, the company's remuneration report showed.
Greco, who was hired in August 2012 to spearhead a deep turnaround at Generali, earned 1.3 million euros before taxes as fixed salary and 1.4 million euros before taxes as variable compensation.
The manager was also awarded last year a gross allowance of 783,493 euros to compensate for taxes he had to pay over a large entry bonus that was awarded to him last year.
The grant consists of 380,868 Generali shares that the company says have a fair value of around 5.337 million euros. The grant is worth nearly 6 million euros at the current market price of 15.65 euros per Generali share.
Half of the shares granted to Greco are subject to a lock-up period expiring on Aug. 1, 2015 that bars the executive from selling them before that date. The remaining portion of shares cannot be sold before Aug. 1, 2018.
Generali shares were worth below 11 euros when Greco joined the Trieste-based insurer. Since then, the stock has rallied as Greco started to sell non-core assets to rebuild the group's capital base and focus on the most profitable segments of Generali's traditional insurance business.
($1 = 0.7256 Euros) (Reporting by Lisa Jucca; editing by Keiron Henderson)