NEW YORK Jan 31 Morgan Stanley Chief
Executive James Gorman will get a higher base salary in 2013,
while his overall pay package declined 7 percent last year,
according to a regulatory filing on Thursday.
Gorman, who runs the sixth-largest U.S. bank, will receive a
base salary of $1.5 million in 2013, up from $800,000 the
Morgan Stanley said the pay bump was granted after a
consultation with an independent adviser, for the purpose of
bringing Gorman's base salary "in line" with other bank CEOs.
The five CEOs running larger U.S. banks had base salaries in a
range of $950,000 to $2.8 million.
Morgan Stanley also approved a performance-based award
package that makes Gorman eligible to earn $3.75 million over
the next three years, if certain targets are met. In 2009,
Gorman got nothing from that package because Morgan Stanley
missed its targets for return-on-equity and relative total
shareholder returns over the period.
Combined with his bonus and salary, Gorman was granted a
total of $9.75 million in compensation, down 7 percent from the
$10.5 million he was awarded the previous year. Morgan Stanley
made the disclosures in an 8-K filing with the U.S. Securities
and Exchange Commission.
C. Robert Kidder, Morgan Stanley's independent lead director
said: "2012 was a transition year for Morgan Stanley, and
management, along with much of the organization, saw reduced
compensation. The Board is confident of the strategic decisions
taken by senior management and our decision to grant these
forward-looking (long-term incentive program) awards reflects