Anglo American Raises CEO Cutifani’s Pay 3% to $2 Million

Anglo American Plc raised the base salary of Chief Executive Officer Mark Cutifani 3 percent as he proceeds with a review of operations from Australia to Canada.

Cutifani’s base salary will rise to 1.24 million pounds ($2 million) in 2014, London-based Anglo said in its annual report published today. He received a total of 5.3 million pounds last year, including cash and share bonuses of 1.2 million pounds.

His payments in 2013 included shares valued at 2.01 million pounds to compensate for stock he gave up by leaving previous employer AngloGold Ashanti Ltd., the report showed. He received 860,000 pounds for his relocation to London from South Africa.

Cutifani in April replaced Cynthia Carroll, who quit after cost overruns at Anglo’s Minas-Rio iron-ore project in Brazil. The new CEO set a goal of improving return on capital employed to at least 15 percent by 2016 from 11 percent last year.

Minas Rio is 84 percent complete and on target to ship its first ore at the year-end, according to Chairman John Parker. “Its completion will ease our capital commitments from 2015 onwards and should also enhance our free cash flow,” he said.

A quarter of the board will be female by Anglo’s annual general meeting next month, Parker said. At the end of 2013, women made up 23 percent of Anglo’s managers, with 16 percent of the overall workforce female, the company said in the report.

Chief Financial Officer Rene Medori received total payments of 2.3 million pounds last year, Anglo said. Medori’s base salary also rose by 3 percent to 788,000 pounds this year.

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