Bank Leumi (TASE: LUMI) chairman David Brodet will receive a 3.7% pay raise retroactive to January 1, 2012, the bank's annual general shareholders meeting decided today, despite government objections to the move. The government is a shareholder in the bank.
Brodet's gross salary will rise from NIS 167,000 a month to NIS 173,000.
The general meeting also voted to keep the bank's auditors, Somekh Chaikin KPMG Israel and Ernst & Young Israel Kost Forer Gabbay Kaiserer, and to authorize the board of directors' audit committee to set the firms' fees. Somekh Chaikin has been the bank's accountants for almost 50 years. The IMF has criticized the concentration of banks' auditors; Somekh Chaikin is the auditor for four of Israel's five big banks.
The general meeting also elected four new directors. It also voted to increase Bank Leumi's issued share capital to NIS 3.21 billion, by the allocation of one billion shares with a nominal value of NIS 1, which will be converted into stock after they are issued and paid up in full, and to amend a general meeting decision from October 7, 2008, so that NIS 500 million in ordinary shares with a nominal value of NIS 1 will only be used for the issue of hybrid deferred notes.
Published by Globes [online], Israel business news - www.globes-online.com - on August 2, 2012
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