Last year Business Times reported that Capitec Bank directors were “dumping” shares, the implication being that the unsecured lending market was about to implode and the bank’s directors were building their arks.Save & Share
At the time, the bank explained the share sales in terms of its directors looking to take up share options.
The joke is clearly on those who painted Capitec with the same brush as African Bank.
Shareholders who remained loyal were rewarded with an interim dividend of R283.6-million (from R234.1-million in 2013) and final dividend of R682.2-million (R530.4-million).
According to the 2014 annual report, released this week, Fourie took home R8.74-million last year. However, he also gained R1.59-million in options and rights granted, while financial director Andre du Plessis added R2.05-million in options and rights to his pay packet of R7.54-million.
In 2013 outgoing CEO Riaan Stassen earned total pay of R9.05-million.
On top of the R37.85-million in fixed pay to strategic management last year, Capitec awarded R263.4-million in variable pay to the 11-member team. Of this, R12-million was in cash performance bonuses, R127.2-million in share options and R124.2-million in share appreciation rights.
The year before, the 10-person strategic management team walked away with fixed pay of R40.9-million and variable pay of R94.7-million, made up of R255000 in cash bonuses, R48.9-million in share options and R45.6-million in share appreciation rights.
Share options to directors amounted to R65.3-million for 2014, compared with R41.8-million the previous year. Share appreciation rights totalled R64.1-million in 2014.
Capitec’s bonus plan is linked to year-on-year headline earnings a share performance, with a baseline target of a 15% increase for 2016.