© Reuters. File photo of Berkshire Hathaway shareholders walking by a video screen at the company’s annual meeting in Omaha
By Jonathan Stempel
(Reuters) – Berkshire Hathaway (NYSE:) Inc on Friday mentioned its newest vice chairmen, Greg Abel and Ajit Jain, had been each and every awarded about $18 million final year, in the initially detailed appear at the spend of the males viewed as the major candidates to succeed Warren Buffett as the conglomerate’s chief executive.
Abel, 56, and Jain, 67, who became vice chairmen in January 2018, each received $16 million in salary plus $two million in bonus, according to a U.S. Securities and Exchange Commission filing. Buffett sets compensation for each.
The payouts show Buffett’s willingness to spend Berkshire’s younger leaders in a manner related to that at other publicly-traded businesses, even though Berkshire does not grant stock selections.
For much more than a quarter of a century, Buffett has taken a $100,000 salary at Berkshire. But his 16.five % ownership stake in the Omaha, Nebraska-primarily based enterprise types the bulk of his net worth, estimated at $84.four billion by Forbes magazine.
Abel oversees Berkshire’s non-insurance coverage operations such as the BNSF railroad, aircraft components maker Precision Castparts, retail corporations such as Fruit of the Loom and Brooks operating footwear, and Berkshire Hathaway Power, exactly where he remains executive chairman and owns 1 % of the voting stock.
Jain, meanwhile, has extended been Berkshire’s prime insurance coverage executive, and oversees its corporations in that sector, like auto insurer Geico and reinsurer Common Re.
In a CNBC interview final month, Buffett mentioned each males had been “performing a fabulous job.”
Jain also controls about $123 million of Berkshire stock, like shares owned by his wife and a private charity, whilst Abel oversees about $two million, according to Friday’s filing.
Buffett, 88, nonetheless oversees the bulk of Berkshire’s prevalent stock investments like Apple Inc (NASDAQ:) and Wells Fargo (NYSE:) & Co, and with Vice Chairman Charlie Munger, 95, handles big capital allocation choices.
The filing mentioned Buffett’s total compensation in 2018 was $388,968, like $288,968 for individual and property safety.
Munger, also a billionaire, received a $100,000 salary. Chief Economic Officer Marc Hamburg was awarded $two.26 million.
Buffett’s compensation was about six.63 occasions the $58,691 median spend of Berkshire personnel, primarily based on a sample of about two-thirds of its roughly 389,000-individual workforce.
The filing integrated no shareholder proposals to be voted on at Berkshire’s May well four annual meeting. Such proposals generally fail by big margins. Buffett nonetheless has 31.four % of Berkshire’s voting energy.