Con Edison CEO Returns Bonus as Cuomo Questions Payment

Consolidated Edison Inc. (ED) Chief Executive Officer Kevin Burke and three other executives returned 2012 bonuses as Governor Andrew Cuomo called for a halt to the payments while officials investigate the response to Hurricane Sandy.

Burke, Chief Financial Officer Robert Hoglund, utility President Craig Ivey and General Counsel Elizabeth Moore returned their bonuses yesterday, Chris Olert, a spokesman for the New York-based company, said in a phone interview today.

The bonuses were granted “in recognition of their efforts in guiding Con Edison of New York though significant challenges encountered in 2012,” according to an April 4 regulatory filing. Con Edison’s board awarded Burke $315,400, Hoglund $82,900, Ivey $146,100 and Moore $70,000.

Hurricane Sandy knocked out power to 1.4 million Con Edison customers, four times more than the utility’s previous worst storm. Flooding of the utility’s underground network caused lower Manhattan to lose power for days.

Cuomo today asked Con Edison to halt the executive payments until Sandy investigations are done. The New York governor established a commission to examine the response and the state Public Service Commission is also probing utility actions before and after the storm.

To contact the reporter on this story: Jim Polson in New York at jpolson@bloomberg.net

To contact the editor responsible for this story: Susan Warren at susanwarren@bloomberg.net

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