BP Spill Chiefs Miss Out on Bonuses
By JAMES HERRONLONDON—BP PLC said Thursday it won't pay bonuses for 2010 to any of its directors who had responsibility for operations in the Gulf of Mexico, where there was a major oil spill, but will pay bonuses to two directors who met specific targets within their divisions.
Former Chief Executive Tony Hayward, former head of Exploration and Production Andy Inglis and current Chief Executive Robert Dudley will receive no cash bonus for 2010 and no shares under the long-term remuneration plan running from 2008 to 2010, BP said in its annual report to shareholders.
Head of Refining Iain Conn and Chief Financial Officer Byron Grote will receive cash bonuses of £104,000 ($169,800) and $207,000 respectively for meeting targets within their own division. This is around 10% of the cash bonuses they received in 2009.
"The remuneration committee shared the group chief executive's view that no bonuses should be paid on group-level results," in the wake of the Macondo blowout, which killed 11 men and triggered a huge oil spill in the Gulf of Mexico.
Salaries for board members remained broadly unchanged from 2009 to 2010, excluding Mr. Dudley, whose basic pay increased to $1.175 million from $750,000 in 2009 as he rose to the position of CEO.