Last of the old guard: Rich Ricci exits Barclays in management shake-up
Thursday 18 April 2013
Barclays today announced a major management shake-up which will see the departure of the racehorse-owning head of its investment bank Rich Ricci who collected a £17.6 million share bonus for last year which he cashed in almost immediately.
Ricci is the last of the old guard who helped to build BarCap into one of the world's biggest investment banks alongside former Barclays chief executive Bob Diamond and BarCap co-chief executive Jerry del Missier - both of whom quit after the Libor scandal.
Aged 49, Ricci was described last month by Labour MP John Mann as being "out of touch". He has made millions at the bank with a bumper pay year in 2010 netting him £40 million.
The head of wealth and investment management, Tom Kalaris, said to have made around £4 million a year, is also stepping down at the end of June.
In a sign that Barclays chief executive Antony Jenkins is wielding his power, both men will be paid up to one year's salary (£700,000 in Ricci's case and an undisclosed figure for Kalaris) for their notice period but will not get severance pay or be eligible for further bonuses. The bank also said existing bonuses tied in deferred shares could still be subject to clawbacks.
Jenkins said: "Given the importance of Corporate & Investment Banking, I want to de-layer the organisation - creating a closer day-to-day relationship and clearer line of sight for myself into the business. We will organise our activity into more clearly delineated client-focused product sets, consistent with the growth strategy we unveiled for the Investment Bank on February 12."
He has promoted the current head of markets, Eric Bommensath, and head of investment banking Tom King as co-chief executives of corporate and investment banking immediately.
Jenkins said: "This decision does mean that Rich Ricci will retire from the bank on June 30."
He has also created a new role of chief executive Barclays Americas which will be taken by Skip McGee from the start of next month.
This new post underlines the seriousness with which Jenkins is taking in cleaning up the whole culture of Barclays after the £290 million fine it was forced to pay by regulators on both sides of the Atlantic last summer for its role in rigging Libor.
Jenkins said that McGee would be "the primary public-facing executive in the Americas, he will also lead Barclays' regulatory engagement for the region." He added: "Skip will have geographic responsibility for our operations in that market, as well as for further enhancing our responsiveness to, and relationships with, the US regulators."
McGee was a former head of investment banking at Lehman Brothers before it went bust and the American business was taken over by Barclays in 2008.
Ricci owns 30 horses including one called Fatcatinthehat which ran at Cheltenham last month.
- 1 'We're not heroes, just tourists': Swedish police officers on holiday stop vicious assault on New York subway
- 2 Black Mass trailer: Johnny Depp might have started making good films again
- 3 Jacob Lescenski and Anthony Martinez: Straight student asks gay friend to High School prom and makes a million Twitter friends
- 4 Buckingham Palace guard who attacked passers-by in 'most most violent piece of CCTV footage' police officer had seen walks free
- 5 Australian student Tommy Connolly, 23, adopts his pregnant, homeless 17-year-old cousin to give her a chance at 'a better life'
Top 20 misconceptions people believe are true
Sofyen Belamouadden murder: The inside story of a crime that horrified Britain
'We're not heroes, just tourists': Swedish police officers on holiday stop vicious assault on New York subway
Head transplant: man will be attached to new body in under an hour and aim is immortality, doctor says
Buckingham Palace guard who attacked passers-by in 'most most violent piece of CCTV footage' police officer had seen walks free
The sickening truth about food banks that the Tories don't want you to know
Katie Hopkins on LBC: Listen to caller taking The Sun columnist to task over migrant comments
Migrant boat disaster: Ukip candidate mocks victims in sickening Twitter post
Nigel Farage wants the BBC to stop making programmes like Doctor Who, Strictly Come Dancing, and Top Gear
Global warming: Scientists say temperatures could rise by 6C by 2100 and call for action ahead of UN meeting in Paris
General Election 2015: Britain would become a 'communist dictatorship' under Ed Miliband and Nicola Sturgeon, claims wife of Michael Gove
iJobs Money & Business
£50000 - £55000 per annum: Ashdown Group: Business Analyst - Financial Service...
£18000 - £23000 per annum + OTE £45K: SThree: At SThree, we like to be differe...
£20000 - £25000 per annum + competitive: SThree: Did you know? SThree is the o...
£22000 - £24000 per annum: Recruitment Genius: This is an opportunity to join ...