U.S. Bancorp CEO s pay dropped 40% in 2020 March 10, 2021 10:36am Text size Copy shortlink:
Total compensation: $8,214,045 for the year ended Dec. 31
Salary: $1,200,000
Other compensation: $61,256
Median employee pay: $76,932
CEO pay ratio: 218-1
Total 2020 shareholder return: -17.9%
Note: Cecere s total realized compensation decreased 40% from 2019, mainly because he didn t exercise stock options in 2020. In the previous three years, Cecere s average gain from option exercises was more than $6 million. Cecere also hasn t received new option awards since 2017.
Cecere s annual cash incentive pay decreased 28% from 2019 as U.S. Bancorp s corporate and business line results finished under targets for 2020.
The board of directors elected to reduce its equity award compensation by 33% in April 2020 to recognize the impacts of the COVID-19 pandemic on the company. According to U.S. Bancorp s proxy, the board took an
He came to the Twin Cities in 1990 and built U.S. Bancorp through a series of acquisitions.
John “Jack” Grundhofer, one of Minnesota’s prominent banking leaders in the 1990s, died Jan. 24 in California. He was 82.
A Los Angeles native, Grundhofer came to the Twin Cities in 1990 to lead First Bank System as its chairman, president and CEO.
When he was recruited from Wells Fargo to join First Bank System, he knew he was being brought in to engineer a rescue effort. The bank had financial problems, which Grundhofer partly addressed through aggressive cost-cutting.
Grundhofer also made headlines in 1990 for being kidnapped at gunpoint from a downtown Minneapolis parking garage. He showed up for work on the morning of Nov. 19, and as he exited his car a gunman ordered him back into his vehicle.
Author Bio
Bram Berkowitz mainly writes in the financials bureau covering the banking sector. Prior to The Motley Fool, he wrote about and covered community and regional banks in New England for The Warren Group. Follow @BramBerko
The $553 billion asset
U.S. Bancorp (NYSE:USB) delivered earnings in the fourth quarter of 2020 that met analysts profit estimates, but missed on revenue expectations.
The bank reported net income of $1.5 billion in the quarter, or $0.95 diluted earnings per common share, which is up from the fourth quarter of 2019 and essentially almost exactly what analysts were projecting.
Revenue at the bank came in at nearly $5.8 billion, missing just slightly on expectations. For the full year 2020, U.S. Bancorp reported net income of nearly $5 billion, down nearly 28% from 2019, on total revenue of $23.3 billion.
Operator
Welcome to US Bancorp s Fourth Quarter 2020 Earnings Conference Call. Following a review of the results by Andy Cecere, Chairman, President and Chief Executive Officer; and Terry Dolan, Vice Chair and Chief Financial Officer, there will be a formal question-and-answer session. [Operator Instructions] This call will be recorded and available for replay beginning today at approximately 12 P.M. Eastern through Wednesday, February 3rd, 2021, at 12 midnight Eastern.
I will now turn the conference call over to Jen Thompson, Director of Investor Relations and Economic Analysis for US Bancorp.
Jen Thompson
Director of Investor Relations and Economic Analysis
Thank you, Natalya, and good morning, everyone. With me today are Andy Cecere, our Chairman, President and CEO; and Terry Dolan, our Chief Financial Officer. Also joining us on the call are our Chief Risk Officer, Jodi Richard; and our Chief Credit Officer, Mark Runkel.