BP to face rebellion on pay awards

Oil giant BP is expected to face further shareholder ire at its annual general meeting over "wholly unacceptable" boardroom pay packets awarded in the wake of the Gulf of Mexico oil disaster.







Chief financial officer Byron Grote and chief executive of refining and marketing Iain Conn were awarded £380,000 and £310,000 respectively for hitting targets in their area of the business in 2010.



While Tony Hayward, who presided over the company at the height of the Deepwater Horizon crisis, has not received an annual bonus for 2010, he and former head of exploration Andy Inglis could potentially earn up to £8 million and £6 million from vested performance shares, which relate partly to the period in which the disaster occurred.



Chief executive Bob Dudley did not receive a bonus last year.



BP is still reeling from the Gulf of Mexico disaster last year which killed 11 workers and triggered the largest offshore oil spill in US history.



A raft of investors have come forward to announce their intention to vote against the remuneration report and annual report tomorrow.



The Association of British Insurers has given an "amber top" alert to the remuneration report while Christian groups including the UK's Church Investor Group are advising voting against the report.



PIRC, an adviser to institutional investors, said the pay package was "excessive" and the proposed payouts for Mr Hayward and Mr Inglis were "wholly unacceptable".



It was reported two major shareholders - Calpers, the biggest US public pension fund, and Florida State Board of Administration - both said they would oppose the annual report and vote against the re-election of Bill Castell, non-executive director and head of safety, ethics and environment assurance committee.



BP will not only face anger over executive pay as it is preparing for an acrimonious showdown with environmentalists, Gulf of Mexico residents and anger over its strategy in Russia.



The company's £10 billion share-swap deal with Russian government-owned Rosneft is on the verge of collapse as tomorrow's deadline to sign off the agreement has yet to be extended.



The deal, which would have also seen BP and Rosneft jointly explore the Russian Arctic, was put on hold after shareholders with its current Russian partner TNK-BP raised concerns.



The group of Russian oligarchs, known as Alfa-Access-Renova (AAR), accused BP of breaking an agreement which obliges both parties to pursue new projects in Russia through the 50-50 venture with TNK-BP.



BP was given permission to discuss extending the April 14 deadline with Rosneft but it is understood this has yet to happen.

Start your day with The Independent, sign up for daily news emails
ebooks
ebooksA special investigation by Andy McSmith
Life and Style
Powdered colors are displayed for sale at a market ahead of the Holi festival in Bhopal, India
techHere's what you need to know about the riotous occasion
Arts and Entertainment
Larry David and Rosie Perez in ‘Fish in the Dark’
theatreReview: Had Fish in the Dark been penned by a civilian it would have barely got a reading, let alone £10m advance sales
News
Details of the self-cleaning coating were published last night in the journal Science
science
News
Approved Food sell products past their sell-by dates at discounted prices
i100
News
Life-changing: Simone de Beauvoir in 1947, two years before she wrote 'The Second Sex', credited as the starting point of second wave feminism
peopleHer seminal feminist polemic, The Second Sex, has been published in short-form to mark International Women's Day
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

Recruitment Genius: Evening Administrator

£8 per hour: Recruitment Genius: This Pension Specialist was established early...

Guru Careers: Executive Assistant / PA

£30 - 35k + Bonus & Benefits: Guru Careers: We are seeking an Executive Assist...

Ashdown Group: Graduate Application Support Analyst

£25000 - £30000 per annum + benefits: Ashdown Group: A global leader operating...

Reach Volunteering: External Finance Trustee Needed!

Voluntary post, reasonable expenses reimbursed: Reach Volunteering: Would you ...

Day In a Page

Homeless Veterans campaign: Donations hit record-breaking £1m target after £300,000 gift from Lloyds Bank

Homeless Veterans campaign

Donations hit record-breaking £1m target after huge gift from Lloyds Bank
Flight MH370 a year on: Lost without a trace – but the search goes on

Lost without a trace

But, a year on, the search continues for Flight MH370
Germany's spymasters left red-faced after thieves break into brand new secret service HQ and steal taps

Germany's spy HQ springs a leak

Thieves break into new €1.5bn complex... to steal taps
International Women's Day 2015: Celebrating the whirlwind wit of Simone de Beauvoir

Whirlwind wit of Simone de Beauvoir

Simone de Beauvoir's seminal feminist polemic, 'The Second Sex', has been published in short-form for International Women's Day
Mark Zuckerberg’s hiring policy might suit him – but it wouldn’t work for me

Mark Zuckerberg’s hiring policy might suit him – but it wouldn’t work for me

Why would I want to employ someone I’d be happy to have as my boss, asks Simon Kelner
Confessions of a planespotter: With three Britons under arrest in the UAE, the perils have never been more apparent

Confessions of a planespotter

With three Britons under arrest in the UAE, the perils have never been more apparent. Sam Masters explains the appeal
Russia's gulag museum 'makes no mention' of Stalin's atrocities

Russia's gulag museum

Ministry of Culture-run site 'makes no mention' of Stalin's atrocities
The big fresh food con: Alarming truth behind the chocolate muffin that won't decay

The big fresh food con

Joanna Blythman reveals the alarming truth behind the chocolate muffin that won't decay
Virginia Ironside was my landlady: What is it like to live with an agony aunt on call 24/7?

Virginia Ironside was my landlady

Tim Willis reveals what it's like to live with an agony aunt on call 24/7
Paris Fashion Week 2015: The wit and wisdom of Manish Arora's exercise in high camp

Paris Fashion Week 2015

The wit and wisdom of Manish Arora's exercise in high camp
8 best workout DVDs

8 best workout DVDs

If your 'New Year new you' regime hasn’t lasted beyond February, why not try working out from home?
Paul Scholes column: I don't believe Jonny Evans was spitting at Papiss Cissé. It was a reflex. But what the Newcastle striker did next was horrible

Paul Scholes column

I don't believe Evans was spitting at Cissé. It was a reflex. But what the Newcastle striker did next was horrible
Miguel Layun interview: From the Azteca to Vicarage Road with a million followers

From the Azteca to Vicarage Road with a million followers

Miguel Layun is a star in Mexico where he was criticised for leaving to join Watford. But he says he sees the bigger picture
Frank Warren column: Amir Khan ready to meet winner of Floyd Mayweather v Manny Pacquiao

Khan ready to meet winner of Mayweather v Pacquiao

The Bolton fighter is unlikely to take on Kell Brook with two superstar opponents on the horizon, says Frank Warren
War with Isis: Iraq's government fights to win back Tikrit from militants - but then what?

Baghdad fights to win back Tikrit from Isis – but then what?

Patrick Cockburn reports from Kirkuk on a conflict which sectarianism has made intractable