View Full Version : Bank chairman gets $16 million severance

12-25-2004, 06:33 PM
Is this a great country or what.

Posted on Sat, Dec. 25, 2004

Bank chairman gets $16 million severance, Red Sox tickets

Associated Press

PROVIDENCE, R.I. - Chad Gifford, who announced earlier this month he's retiring as chairman of North Carolina-based Bank of America, will get $16.4 million in severance pay and the right to purchase four tickets to 15 Red Sox games for the rest of his life.

The severance package is detailed in filings made last week with the federal Securities and Exchange Commission. The filings show Gifford also will have access to a company jet for up to 120 hours annually for five years, and a company car and driver to bank functions, according to The Providence Journal.

The 62-year-old Gifford earns up to $8 million more for his work in 2004, plus up to $667,000 for working through the end of next month, when his retirement takes effect. He also receives a $50,000 annual consulting fee in addition to the severance pay, for up to five years. Gifford also will be entitled to annual payments of about $3.1 million in retirement benefits, according to the newspaper.

Gifford was chief executive at FleetBoston Financial Corp. when the bank was bought by Bank of America for $48 billion in April. He was named chairman of Bank of America, based in Charlotte, N.C., after the acquisition.

When the merger was discussed, it was expected Gifford would become Bank of America's chairman for a couple years, bank spokesman Robert Stickler said earlier this month.

But on Dec. 14, less than a year after being named to the position, Gifford said he'd retire. Kenneth Lewis, Bank of America's chief executive and president, will replace Gifford as board chairman on Jan. 31. Lewis first became a member of the board in 1997, and previously served as chairman from April 2001 through March 2004.

Gifford remains on Bank of America's board of directors and holds bank stock valued at $38.4 million, The Journal reported. /ccboard/images/graemlins/smile.gif


12-26-2004, 05:13 PM
Well, I guess we don't need to worry about throwing a benefit for him... /ccboard/images/graemlins/shocked.gif