News

BMO CEO sees pay fall in 2012 to $9.2 million as bank misses growth targets

TORONTO – Bank of Montreal (TSX:BMO) chief executive Bill Downe earned $9.2 million last year, down from about $9.9 million in 2011, as the bank fell short of its growth goals.

According to regulatory filings ahead of the bank’s annual meeting, Downe earned a salary of $1.25 million as well as $4.85 million in share-based awards, $2.1 million in options and a cash bonus of $1 million.

That compared with a salary of $1.03 million, $5.4 million in share-based awards, $2.3 million in options and a $1.15-million cash bonus in 2011.

“The board was very pleased with Mr. Downe’s leadership this year and believes he has positioned the bank well for growth,” the bank said in its management proxy circular.

“The bank, however, fell short against the performance measures established for the incentive pools. The committee felt these goals were aggressive, but fair, and set Mr. Downe’s total direct compensation at three per cent below target and seven per cent below 2011.”

Bank of Montreal earned $4.19 billion or $6.15 per diluted share for its 2012 financial year, up from $3.11 billion or $4.84 per diluted share the previous year. Revenue increased to $16.1 billion from $13.9 billion.