THREE of National Australia Bank's most senior executives, including group chief executive Cameron Clyne, have missed out on hundreds of thousands of dollars in share-based payments after the bank's performance trailed its rivals over the past year.
As bonus payments for bank executives come under scrutiny, NAB shareholders have escaped the prospect of shelling out for relative underperformance.
NAB shares outperformed the broader market over the past year, but their 30 per cent rise was well below the gains of rivals, including the Commonwealth Bank, whose shares rallied nearly 90 per cent.
In a corporate filing, NAB said Mr Clyne (pictured) missed out on options over 21,250 shares and a further 5313 performance rights. Mark Joiner, the bank's chief financial officer, had 66,000 share options and more than 16,600 performance rights lapse. For the bank's deputy chief financial officer, Michael Ullmer, 53,000 share options and more than 13,250 performance rights expired.
A performance right is a right to acquire one ordinary share.
Under the NAB scheme, options and rights to executives rest on a combination of several hurdles including cash earnings, return on equity and share price performance.
A spokeswoman for the bank said the scheme was structured to ensure that rewards were only payable when certain external performance hurdles were met. ''As these external performance hurdles were not met within the required time frame, the shares have not vested and have subsequently lapsed,'' she said.
Mr Clyne was paid $5.2 million last year, including $1.1 million worth of share options.
NAB's top executives are sitting on 45.6 million performance options and a further 9.8 million performance rights, which could be converted into ordinary shares.
The previous year was also a lean one for the executives, with just $22,500 worth of shares issued as a result of performance options and performance rights being granted.
