Kent Reliance link up with American JC Flowers

Dabble26

I think the comments above are interesting to read. I too think Mr Lazenby is overpaid for what he does especialy as he has closed nearly all branches and sent most of the work to India. He and his two (not too successful!) henchmen - now reduced to one - seem to have only been able to make a success of overseeing failure and losses. I agree he, and they, will probably come out of this very well. It's a shame the Board, whilst they had a chance, didn't control things a bit better. Maybe the Nationwide, instead of Flowers, would like to have their old Marketing man back to see if he could wreck that Society as he has done with KRBS - no doubt for very high rewards.

jimjames

For an organisation with only 45 employees having the Chief Exec paid well over £500,000 per year does seem rather excessive. I wonder how many other companies of this size have directors paid at this level.

The salary of Nationwide BS Chief Executive in 2009 was £650,000 running organisation of 19,000 employees. £ per employee looks rather different to Kent Reliance

Dabble26

I agree that it has been excessive and has been for years. The top three were paying themselves over £1m per year. Seems like 3 winners when some of this cash could have been used in ways to keep the operation going or to place an advert for a decent new CEO before the rot realy set in. To offer to take a pay freeze and no bonus by Lazenby and Scruton - they appear to be having a laugh at all the loyal members expense who have tolerated this "tea party" in later years. It takes a lot of nerve to be that greedy in times of recession and when you know you have presided over a failure. WHERE WERE THE BOARD ALL THIS TIME?

Primrose

What concerns me in this case is that as usual, the apathy of the majority of the members in neglecting to vote will prevail. My guess is that the vote will be won almost by default.

jimjames

Primrose wrote: »

What concerns me in this case is that as usual, the apathy of the majority of the members in neglecting to vote will prevail. My guess is that the vote will be won almost by default.

That might not actually be the case. My understanding is that the board need 75% of members to vote in favour. If enough members don't vote then the number of NO votes might carry the day as there certainly seem to be a lot of us! We need 25% of the votes to be able to block the deal. There are significant number of people voting no so members who don't vote might actually help us to defeat it.

Based on a conversation I had recently I believe that KRBS may be expecting to lose the vote.

Primrose

jimjames wrote: »

Based on a conversation I had recently I believe that KRBS may be expecting to lose the vote.

Bet the directors won't take that as a vote of No Confidence though, and show their humility by reducing their salaries and bonuses, It will be interesting to see if a No vote results in any Board changes.

jimjames

Primrose wrote: »

Bet the directors won't take that as a vote of No Confidence though, and show their humility by reducing their salaries and bonuses, It will be interesting to see if a No vote results in any Board changes.

Based on the board's assertion that there is no plan B and that it is this deal or nothing I would expect the entire board to resign as their strategy has been completely rejected by a NO vote. Whether that happens or not remains to be seen - unlikely I think but to be consistent with their stated position it would seem to be their only logical option to let a new board negotiate a new deal.

Dabble26

These points are interesting but I fear the Board will feel unable to resign if there is a "No" vote because they are so used to having their noses in the trough for so long. If you look at the last few years sets of accounts it's been party time for the Board and Senior Management with them all having increases of some substance year on year. I wonder how much the Board get to know when they meet one day a month - a lot seems to have been left to the incompetant trio of top management.

illogical

23/2/11

Mr Lazenby stepped down as chief executive of OneSavings Bank as the company began the search for a successor, putting finance director Bob Scruton in temporary charge of the lender.

Mike Lazenby's pay-off will amount to 12 months' salary, worth £385,000

Fat pay off somewhere along the line, well it's sooner than later, and i wonder what the pension is for him.

KRBS or OneSavings bank whatever, it's the poor savers and borrowers who get mugged again.

Primrose

Guess I'll be moving my cash ISA somewhere else now when the term expires. Disappointing that another one-time decent financial provider hits the dust.