(Bloomberg) — American International Group Inc.'s incoming Chief Operating Officer Peter Zaffinois getting a $23.5 million pay package, including a $15 millionsign-on award.
|Related: Top 100 P&C insurance groups in 2016, ranked bynet premiums written
|Zaffino, who's joining the insurer next month, also will receive$1.25 million in salary, a cash bonus with a $3 million target and$4.25 million in restricted stock units, AIG said Thursday in aregulatory filing. The restricted shares are split so that 70% arebased on performance and vest in December 2019. Zaffino must remainwith the company until then to get the rest.
|Chief Executive Officer Brian Duperreault, who took over in May to improve AIG'sprofitability, is seeking to expand a bench of talent. Hiringexecutives like Zaffino is critical to succession planning at theNew York-based insurer, Credit Suisse Group AG analyst Ryan Tunissaid in a note to clients earlier this year.
|Zaffino, 50, previously worked at insurance brokerage Marsh& McLennan Cos., where Duperreault, 70, had been CEO.
|Zaffino's $15 million sign-on package includes 1 million stockoptions, with a third vesting annually over three years and therest tied to the performance of the insurer's stock. The remainderof that award will be paid in cash in February 2018 and January2019.
|Marsh & McLennan gave him a $9.11 million pay package lastyear, according to a March filing.
|Related: Pay package revealed for new AIG CEODuperreault
|Copyright 2018 Bloomberg. All rightsreserved. This material may not be published, broadcast, rewritten,or redistributed.
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