[Photo: by Nick Otto / WorldEconomicForum.org]

For 2016, Credit Suisse CEO Tidjane Thiam was awarded total compensation of $12 million, according to the bank’s 2017 Annual Report that was filed on Friday. The Credit Suisse compensation committee opted to look past the bank’s back-to-back annual losses, and instead focused on Mr. Thiam’s progress towards the successful execution of the Group’s strategy during the first full year of the 3-year strategic plan.

“Overall, the Board considered Mr. Thiam’s strong leadership, consistent execution of the Group’s communicated strategy, effective delivery of cost efficiencies, principled and ethical conduct, and his role in driving the Group towards a stronger capital position in determining that Mr. Thiam had met his performance targets set for the year.“

 

The Board further considered “his careful and measured approach and success in formulating and driving the Group towards one cohesive, client-centric bank, focused on profitable, sustainable and compliant growth.”

The compensation committee noted:

• Mr. Thiam’s efforts to drive a change in culture, which emphasizes rewarding performance and ethical conduct, and promotes collaboration in delivering an integrated approach between wealth management and investment banking, placing clients at the center of the Group’s value proposition.
• Mr. Thiam improved the operating leverage of the Group, by embedding a focus on cost efficiency and effectiveness throughout the business divisions.
• Mr. Thiam took decisive action in changes to management and his personal engagement in resolving significant legacy legal issues.
• Mr. Thiam protected and built the Group’s reputation and brand, as demonstrated by his responsiveness to the Group’s various regulators who impact many of the Group’s activities and will have an influence on the Group’s strategy going forward.
• Mr. Thiam exhibited prudent capital management and the structured and orderly wind-down of legacy assets, which to date has been executed with low cost to shareholders, and has enabled the reinvestment of capital into the more client-centric core businesses in an effort to drive future growth and profitability for the Group

For 2016, Mr. Thiam earned around $4.6 million which reflected a 40% cut in his bonus – which Mr. Thiam had requested. 

By comparison, UBS CEO Sergio Ermotti received compensation of around $13.8 million, while Deutsche Bank CEO John Cryan received $4.1 million.