BP awards former CEO Hayward $1.1 million bonus

March 07, 2012 | Earnings Reports, People on the move

Tony_Hayward

Former BP chief executive Tony Hayward received a bonus from the UK oil major last month worth about £720,000 ($1.1 million) in shares, despite his July 2010 resignation following the Gulf of Mexico oil spill.

The scandal-hit former boss picked up the award as part of a three-year incentive plan scheduled to vest on Feb. 15, 2012, according to a BP annual report with the US Securities and Exchange Commission (SEC) released Tuesday.

Hayward received 144,422 ordinary shares at a market price of £4.98 each. Another former director, Andy Inglis, who also left the company after the worst offshore spill in US history, was awarded 99,506 shares.

The SEC filing also revealed that Hayward’s successor and current CEO, Bob Dudley, received a $6.8 million pay package in cash and shares for 2011, a near tripling of his compensation in the prior year when BP did not pay a performance bonus.

The annual report was released less than a week after BP said it reached an out of court settlement worth about $7.8 billion with thousands of individuals and businesses affected by the Gulf disaster.

BP has recorded a $37.2 billion charge for what the British company estimates will be its maximum spill-related costs. It said the settlement Friday does not change the figure.

The settlement must still be approved by US District Judge Carl Barbier in New Orleans.