Aviva Plc (AV/) Chief Executive Officer Mark Wilson, who this month restored awards for top managers at the U.K.’s second-largest insurer, received a bonus for 2013 of 1.1 million pounds ($1.8 million).
Wilson was awarded an immediate cash bonus of about 367,000 pounds with the balance in deferred stock, London-based Aviva said today. His salary was 980,000 pounds, which will remain unchanged for 2014, while his long-term incentive pay this year could be as much as 2.9 million pounds in stock, the firm said in a filing.
“We have exercised restraint in executive pay,” an Aviva spokesman said an e-mailed statement. “We have made significant changes to our remuneration so that executive pay is now directly linked to the operational and financial performance of our business.”
Wilson, 47, replaced Andrew Moss in January 2013 after shareholders rejected the former CEO’s compensation plans. Wilson scrapped directors’ bonuses for 2012 and froze pay for the firm’s top 400 managers as he sought to appease investors and rebuild capital depleted by the euro area’s debt crisis and repay the internal company loan.
Aviva has climbed 28 percent since Wilson took over. The shares touched the highest level this month since 2008 after the insurer swung to a profit and struck a deal with the Prudential Regulation Authority to reduce its internal loan to 2.2 billion pounds from 4.1 billion pounds by the end of 2015.
Wilson’s long-term incentive plan for 2014 is 300 percent of his total salary. Shares are awarded and vest dependent on the insurer’s performance measured over a three-year period, the firm said.
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