Alcatel reduces CEO’s compensation package

Alcatel-Lucent reduced the compensation package of former chief executive Michel Combes, caving in to pressure from French politicians calling his remuneration excessive.

Mr Combes will receive cash instead of stock, with a bonus of a maximum of €4.85 million and a non-competition payment of €3.1 million, the Paris-based network-equipment maker said in a statement yesterday.

Alcatel-Lucent had previously said Mr Combes would get stock over three years worth about €13 million at current prices.

The remuneration package revived the debate on executive compensation in France, with economy minister Emmanuel Macron calling the reward “shocking” and finance minister Michel Sapin saying it lacked “common sense and restraint.” – (Bloomberg)