ANZ leads financial sector declines as CEO Elliott forfeits performance rights
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More news: ANZ shares fell in morning trade on the ASX after the banking group's outgoing CEO Shayne Elliott forfeited $3.2 million worth of performance rights, following pressure from shareholders ahead of today's annual general meeting.
ANZ shares were down 2.3% to $28.7 by 11:50am AEDT but over the past 12 months is up more than 12%.
Fellow banking majors Commonwealth Bank (-2.2%), National Australia Bank (-2.1%), Macquarie Group (-2%) and Westpac (-1.9%) were also trading lower as the ASX financial sector fell 2%. The wider ASX 200 index was down 1.8%.
ANZ CEO Shayne Elliott to forfeit $3.2m in performance rights
The news: Outgoing ANZ chief executive Shayne Elliott will forfeit his long-term variable remuneration (LTVR) for the year, after acknowledging opposition from the bank's shareholders ahead of today's annual general meeting.
The numbers: According to proxy votes ahead of the meeting, 49.23% of shareholders voted against ANZ's resolution to grant restricted rights and performance rights to Elliott.
Elliott's LTVR for 2025, delivered in the form of 47% restricted rights and 53% performance rights, represent a combined opportunity of $3.2 million, equating to 128.25% of his fixed remuneration.
The bank is also likely to receive a first strike against its remuneration report with 38.28% of proxy votes prior to the AGM voting against the resolution.
The context: ANZ said that Elliott opted to forfeit his long-term variable remuneration "in recognition of shareholders views" and "to limit the impact on the bank".
Last week, ANZ confirmed that Elliott will retire in July after nine years as CEO. He will be replaced by former HSBC executive Nuno Matos.
Today's AGM is expected to answer shareholder questions regarding the external appointment of Matos, the ongoing fallout from the bank's bond market scandal, and potentially its joint venture failure with French payments giant Worldline.
ANZ is also expecting pro-Palestinian protesters to disrupt its AGM in Melbourne.
The sources: ASX announcement, ASX announcement, ASX announcement, ASX announcement
