American Express CEO gets $28.5 million pay package in 2012

Northern, WI 03/11/2013 (avauncer) - In its U.S. Securities and Exchange filing, credit card company American Express Co. (NYSE:AXP) said that its chief executive officer Kenneth Chenault has recieved $28.5 million payout in 2012. His pay was increased about 24% over the last year.

Chenault’s total pay package included base salary worth $2 million and a $4 million bonus. While his stock awards valued at $18.9 million and options awards accounted for about $2.2 million.

Chenault’s compensation is said to be one of the highest among CEOs of financial services firms.

The Company, in its filing, also disclosed a shareholder proposal to appoint an independent chairman to the company’s board and separating chairman and CEO roles.

“When our CEO is our board chairman, this arrangement can hinder our board’s ability to monitor our CEO’s performance,” American Express stated.

“Shareholders request that our board of directors adopt a policy that, whenever possible, the chairman of our board of directors shall be an independent director. To foster flexibility, this proposal gives the option of being phased in and implemented when our next CEO is chosen.”

American Express announced $31.58 billion in revenue in 2012, a 5% increase over previous year. However, the profit fell 9% to $4.48 billion.

The Company, in order to attract more customers, launched prepaid cards that are sold in stores. It has also partnered with social-networking sites like Facebook Inc. (NASDAQ:FB) and Twitter, enabling cardholders to receive merchant deals on their websites.

Shares of American Express Company(NYSE:AXP) were up by 1.05% and currently trading at $65.38.

Shares of Facebook Inc. (NASDAQ:FB) were up by 1.14% and currently trading at $28.28.

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