Custodial bank and asset manager State Street Corp. (STT) said Tuesday that it has approved a $6 million transition award to retiring chief executive officer Ronald Logue.
In a filing with the U.S. Securities and Exchange Commission, the company said that the transition award, payable in deferred cash, will vest and be paid to Logue on January 2, 2011, subject to Logue completing his service as CEO and as non-executive chairman of the board of directors.
State Street said in the filing, "This transition award recognizes Logue's ongoing contributions in leading State Street, the importance of his continuing to perform the role of Chief Executive Officer through March 1, 2010 and his agreeing to remain as Non-Executive Chairman of the Board of Directors through January 1, 2011."
In mid-October, State Street had said Logue would retire, effective March 1, 2010, and will be succeeded by current President and Chief Operating Officer Jay Hooley. However, Logue would continue to serve as non-executive chairman for a transition period until January 1, 2011.
State Street said in June that it repaid the full amount of the the US Department of the Treasury's $2 billion investment in the company under the TARP Capital Purchase Program.
STT closed Tuesday's regular trading session at $41.56, down $0.18 or 0.43% on a volume of 3.36 million shares.
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