• 10 tips to find bargains

    Susan Erasmus gives advice on how bargain hunters can get the most bang for their buck.

  • Inside Labour

    Labour's bitter breaches need to be seen in historical context, says Terry Bell.

  • Rich getting richer

    Economists differ on how to tackle the chasm between rich and poor, says Leopold Scholtz.

See More

BHP Billiton cuts top exec bonuses

Aug 23 2013 13:00
CEO of BHP Billiton, Andrew Mackenzie,

CEO of BHP Billiton, Andrew Mackenzie. (AFP)

Company Data


Last traded 289
Change 9
% Change 3
Cumulative volume 2819270
Market cap 0

Last Updated: 24-04-2015 at 05:05. Prices are delayed by 15 minutes. Source: McGregor BFA

Related Articles

Billiton's accounting hiding losses

New BHP boss takes $150 000 pay cut

Mining CEOs must take a pay cut - NUM

Sylvania Platinum CEO, execs take pay cut

New BHP boss shakes up top jobs

BHP sells copper mine for $650m


Cape Town - BHP Billiton [JSE:BIL] announced on Friday that it had cut bonus payouts to its top executives, as total returns to shareholders fell over five years.

In a statement to the JSE the global mining giant said although total shareholder return  outperformed its peer companies by 34.6%, its total returns to shareholders was -9.4% in the 5-year period to end-June.
As a result the company's Remuneration Committee, with the support of the Board decided to reduce vesting by 35% for all current and former participating exco members.

"Accordingly, 35% of awards will not vest and will instead lapse," BHP Billiton said

New Chief Executive Andrew Mackenzie was also affected.

When he joined BHP Billiton in 2008 from rival Rio Tinto, he was granted 450 964 awards as part of his sign-on bonus.

The 35% reduction in vesting in terms of the 2008 Long Term Incentive Plan, means that based on Thurday's London close he had to forego £943 000 (R15m).

In addition, Mackenzie has elected to voluntarily relinquish a further 50 000 of the sign-on awards, stating that despite the outperformance of BHP Billiton compared to its peer group, the value delivered through vesting would be excessive.

See the full table containing the vesting outcomes for each current and former Group Management Committee member who participated in the 2008 LTIP.

- Fin24

Follow Fin24 on Twitter, Facebook, Google+ and Pinterest.

bhp billiton  |  bonuses  |  remuneration  |  mining


Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Add your comment
Comment 0 characters remaining

Company Snapshot

Brought to you by BizNews

More from BizNews

We're talking about:


Johannesburg has been selected to host the Global Entrepreneurship Congress in 2017. "[The congress] will ensure that small business development remains firmly on the national agenda and the radar screen of all stakeholders, the Small Business Development minister said.

10 most expensive cars In the world

This is car porn at its best!


Luxury living

Seven of the most expensive children's toys ever made
5 millionaires turned murderers
The youngest billionaires in the world and how they made it
Watch: Flying first class has never been this luxurious!

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

How do you see your boss? He/sheis:

Previous results · Suggest a vote