Morgan Stanley Given 'F' Grade For Compensation

Morgan Stanley HQ

Morgan Stanley shareholders should vote against the bank’s executive pay plan in an advisory ballot this month, shareholder-advisory firm Glass Lewis & Co. said.

Bloomberg reports that Morgan Stanley gets an ‘F’ grade in tying executive compensation to performance, as the New York-based firm paid better than peers while performing worse, Glass Lewis said Wednesday in a report.

That compared with a ‘D’ for 2011.

In the meantime, Bloomberg also reports that Morgan Stanley and WMC Mortgage Corp. were sued by Seagull Point LLC over $476m in losses from securitized mortgage loans.

Seagull claimed that the banks breached agreements on residential mortgage loans in 2006 and 2007, according to a filing dated April 26 in New York State Supreme Court in Manhattan.

Finally, Bloomberg reports that bankrupt Lehman Brothers Holdings Inc. sued Intel Corp., alleging the world’s largest semiconductor maker breached a $1bn swap agreement.

Under a 2008 accord, Intel gave $1bn to Lehman’s over-the-counter derivatives unit in August of that year in exchange for 50 million shares of its stock, to be delivered on September 29, 2008, according to a complaint filed in U.S. Bankruptcy Court in Manhattan.

Glass Lewis Urges Vote Against Morgan Stanley Executive Pay Plan

Morgan Stanley Sued Over $476 Million Mortgage-Loan Loss

Lehman Sues Intel Alleging Breach of $1 Billion Swap Deal

 

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