The severance package for former President and CEO John Koelmel from First Niagara Financial Group Inc. totals $5.45 million, and interim CEO Gary Crosby will get at least $2.65 million in compensation, the bank reported.
Koelmel, who resigned abruptly Tuesday by mutual agreement with the bank’s board of directors, will qualify as being terminated for reasons other than for cause under terms of the company’s executive severance plan, First Niagara states in a filing Wednesday with the U.S. Securities and Exchange Commission.
As such, Koelmel will receive $2.9 million in severance pay, $1.6 million in long-term incentives, $955,000 in short-term incentives, and $10,000 for outplacement services, a proxy filed last week details.
First Niagara also reported Wednesday Crosby will be paid a base salary of $655,000, long-term incentives of $1 million and a cash bonus of $1 million upon completion of his interim term.
Crosby also will receive $25,000 monthly during his term.
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