Pedro Azagra is one of the few Spaniards to directly preside over public companies in the United States. Unlike Pepsico, HP and Johnson & Johnson, this is a subsidiary of a Spanish company. Avangrid, controlled by Spanish group Iberdrola, has just convened its shareholders’ meeting and documents made available to the regulator and shareholders put its compensation at $4.85 million (€4.4 million at current exchange rates). Azagra took office on May 29.
The electronics company executive was paid a salary of $641,000; 639,000 bonus, including 100,000 for taking the position; 2.7 million price in shares and the like; $689,000 in incentive cash and an additional $189,000 in other benefits, including relocation expenses, pension contributions, car and tax breaks.
The company explains in one of the sections of the report that it conducted an exercise to calculate what the annual compensation would have been, taking into account that Azagra did not hold his position for the whole year. His calculation, the methodology of which he does not explain, brings the figure to $6.27 million.
In any case, this number is well below the remuneration of the Spaniards who preside over US multinationals. The highest salary of 2022 equaled Ramón Laguarta’s $28.4 million as President and CEO of PepsiCo. Enrique Lores, HP Chairman and CEO, received $21.1 million in total compensation. Joaquín Duato, chairman and CEO of Johnson & Johnson, earned $19.87 million. Javier Oliván was paid $21.27 million the year he became chief operating officer of Meta Platforms, the company that owns Facebook, Instagram and WhatsApp.
Azagra’s compensation is also below that of his predecessor at the company, Dennis Arriola, who received official compensation of $12.6 million in 2021. In 2022, he earned an additional $3 million despite running out of incentive to leave the company effective May 28.
As an adviser to Avangrid, the former People’s Party minister with Mariano Rajoy as prime minister was paid a salary of $70,000. Ignacio Sánchez Galán, president of Iberdrola, earned $200,000 for presiding over Avangrid.
incentive plan
Avangrid has notified the United States Securities and Exchange Commission (SEC) of approval of a new long-term incentive plan for its top executives. This is a three-year program that includes compensation in titles from Avangrid’s last company, award of which is tied to a number of objectives.
The main beneficiary of this plan is Azagra, which has 250,000 titles worth around $10 million at current market prices. The targets to be achieved are linked to net profit, stock market performance, creditworthiness, reducing emissions, using sustainable suppliers and filling managerial positions with women.
Follow all information from Business And Business on Facebook and Twitteror in our weekly newsletter
Five Day Program
The most important economic dates of the day, with the keys and context to understand their scope.
RECEIVE IT IN YOUR MAIL