Note: Where available, the PDF/Word icon below is provided to view the complete and fully formatted document
AMP payouts: Wallis should give the money back.



Download PDFDownload PDF

M E D I A R E L E A S E

Senator Stephen Conroy Deputy Opposition Leader in the Senate Shadow Minister for Financial Services

AMP PAYOUTS

- WALLIS SHOULD GIVE THE MONEY BACK

Multi-million dollar payouts to AMP executives on the back of a $900 million loss is an obscene abuse of shareholder funds.

AMP directors and executives have performed disastrously, and yet shareholders are being slugged with multimillion-dollar payouts to failed executives.

AMP is rewarding its directors and executives for failing to perform.

The table below sets out the remuneration and retirement payouts to be received by those directors and executives who have resigned or who have left AMP.

Name Position Remuneration Retirement Payout

Stan Wallis Chairman $433,841 $1,590,972

Sir Malcolm Bates Non-exec. Director $370,340 $1,118,295

Patricia Cross Non-exec. Director $147,932 -**

Paul Mazoudier Non-exec. Director $177,955 $207,655

Ian Renard Non-exec. Director $147,013 $268,921

Name Position Remuneration Cessation Payout

T. Fraser Former MD of UKFS $1,415,000 $4,684,000

T. Wade Former MD of AMP International $1,315,000* $1,962,000

W. Foster Former CIO $1,095,000* $1,735,000

A. Jones Former GM of Corporate Human

Resources

$669,000 $1,583,000

G. Traill Former General Counsel $135,000 $2,057,000

Source: AMP Limited, Concise Financial Report, 2002 **No retirement payout is payable as Ms Cross was a director for less than 3 years. *Includes other payments ie. expatriate allowances and non-cash benefits.

AMP’s decision to phase out retirement payouts for non-executives after this round of payouts is a welcome decision. However, shareholders should not be slugged with the current payouts for failed performance.

Instead the directors and executives should shoulder the blame for AMP’s failings. They should decline to take these multi-million dollar retirement payouts - as Carolyn Hewson did when she departed AMP last year.

Earlier this month, I asked ASIC Chairman, David Knott, to investigate whether these types of payouts comply with section 200B of the Corporations Act.

Wednesday 26th February 2003

Further information: Stephen Conroy 0418 383 965 / Amber Hawkins 0407 434 523