LONDON, March 25 (Reuters) - Part-nationalised Lloyds Banking Group said on Monday it paid 25 staff more than 1 million pounds in 2012, a year in which it set aside billions of pounds to compensate customers mis-sold loan insurance.
The bank, which is 40 percent owned by the UK taxpayer, said it paid out bonuses worth 365 million pounds ($556 million) in 2012, down 3 percent on the previous year and the lowest of the ‘big 4’ British lenders.
Lloyds also confirmed that Chief Executive Antonio Horta-Osorio had been awarded an annual bonus worth 1.5 million pounds, paid in shares. He will only be able to sell the shares if the government sells at least a third of its shareholding at a price above 61 pence or if Lloyds’ share price trades at 73.6 pence or above for a given period of time.
Lloyds has set aside 6.8 billion pounds to deal with claims from customers mis-sold payment protection insurance (PPI) on loans and mortgages and 400 million pounds to compensate small firms wrongly sold complex interest rate hedging products. It is under pressure to rein in executive pay and cut costs.