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ZURICH (Reuters) – UBS Chief Govt Sergio Ermotti, one among Europe’s finest paid bankers, earned 12.5 million francs in 2019, down from 14.1 million in 2018 after the financial institution was hit with a multi-billion-euro courtroom case and it missed earnings objectives.

The world’s greatest wealth supervisor for the wealthy revealed on Friday an government group, presently numbering 13, have been handed money, bonus and shares value 110 million francs ($113 million) throughout the yr.

The quantity contains an 8.2 million francs one-off award for its most high-profile rent of the yr, the brand new wealth administration co-head Iqbal Khan, who was given the sweetener on high of his wage to compensate him for misplaced advantages after shifting from rival Credit score Suisse.

The entire payouts are considerably bigger than these made in 2018 of just about 101 million francs, though the headcount of high administration grew throughout that point. Efficiency-related awards fell 14% per government.

Prime managers have as well as been given loans by the financial institution of greater than 30 million francs, the corporate mentioned.

UNDER PRESSURE

UBS is beneath strain following a conviction in France for serving to rich purchasers evade taxes. The financial institution denies wrongdoing and is interesting in opposition to the ruling that it ought to pay 4.5 billion euros in penalties. A courtroom enchantment is about for June.

Final yr, shareholders on the financial institution’s annual assembly confirmed their frustration by refusing to endorse the efficiency of the financial institution’s management, in a non-binding vote.

Investor proxy advisers additionally criticised excessive administration pay, given the financial institution’s current lacklustre efficiency. Buyers will collect once more on the annual assembly on April 29.

On Friday, the Swiss wealth supervisor unveiled an amended government bonus system, making an allowance for the French tax case, in addition to its shareholder and capital returns.

Payout of 1.5 million francs of Ermotti’s 2019 bonus and seven.three million of total government bonuses can be contingent on the result of the French courtroom case, the financial institution mentioned, whereas additional payout for senior managers would relaxation on reaching returns for shareholders and on capital over three years.

Ermotti is due to get replaced by ING head Ralph Hamers in November. Together with Roche boss Severin Schwan, Ermotti counts amongst Switzerland’s highest paid CEOs and one among Europe’s highest paid bankers.

The previous Merrill Lynch funding banker, who has led Switzerland’s greatest financial institution since 2011, earned plaudits for rebuilding it after a bailout throughout the monetary disaster and a dispute over U.S. tax cheats which tore down Swiss financial institution secrecy.

However UBS missed its revenue and value targets for 2019 and Ermotti pared again a number of the financial institution’s monetary objectives.

Its share worth has halved since a excessive of 22.5 francs in mid-2015, presently buying and selling at a stage final seen in 2012.

“Whereas we’re disillusioned with our share worth efficiency, we imagine the share worth motion in 2019 was considerably impacted by the result of the French cross-border matter and doesn’t replicate the numerous progress made,” the top of the board’s compensation committee, Julie Richardson, mentioned in a letter.