According to a CIT proxy statement, chief executive officer John A. Thain’s 2012 compensation totaled $8.25 million, which included a $5.75 million short-term incentive award and a long-term incentive award of $1.5 million. Thain’s annual base salary in 2012 was $1 million.
The following was excerpted from the regulatory filing on the 2012 performance assessment of Thain by CIT’s compensation committee, which shows “Significantly Exceeds” rating for liability management:
Category: Financial/Credit Objectives (20%)
Rating: “Exceeds Expectation,” resulting in 1.5X multiplier
Category: Strategic/Business Development (20%)
Rating: “Partially Meets,” resulting in a 0.5X multiplier
Category: Risk Regulatory/Governance (30%)
*CIT is awaiting news on whether the Federal Reserve Bank of New York will lift a written credit agreement under which CIT has been operating since 2009 that order the company to improve risk-management programs which has prevented it from buying back stock or paying a dividend without prior approval.
Rating: “Partially Meets,” resulting in a 0.5X multiplier
Category: Liability Management (30%)
Rating: “Significantly Exceeds,” resulting in a 2.0X multiplier