Buyout clause worth €1.3m to Flynn
PATRICK Flynn, the Irish chief financial officer of Dutch bancassurer ING Groep, was granted a 'buyout' clause last year by the bailed-out institution in respect of loss of compensation he would have received at his previous employer, HSBC.
The deal is worth as much as €1.3m to the Trinity College graduate, who was paid €454,000 at ING in the last financial year, according to its annual report that's just been published. He also benefited from a €78,000 payment towards his pension scheme. The accounts note that when he joined ING last year, Mr Flynn negotiated a package that included a conditional grant of restricted stock in ING, to a maximum of 100,000 shares. At the date of the group's annual general meeting next month, 30,000 of those shares will vest, while another 30,000 will vest at the 2011 AGM. The remaining 40,000 will vest at the date of the group's 2012 AGM, subject to "satisfactory performance". The cumulative value of the conditional share award is capped at €1.3m.
Mr Flynn was lured to ING early last year. He had been working as chief financial officer of HSBC's global insurance business. Prior to that, he was chief financial officer of HSBC's banking and insurance operations in South America. ING is the largest financial services group in the Netherlands. It received a €10bn bailout from the Dutch government in October 2008, and a further state guarantee on €22bn of risky US mortgage assets.