Mr Richard Grasso, chairman and chief executive of the New York Stock Exchange, came under further pressure over his $187 million pay package yesterday amid signs of a growing revolt by seat holders on its trading floor.
A hostile trading floor would add to Mr Grasso's difficulty over the size of his compensation package after it became clear this week that some of the exchange's directors were not aware of how much he was being paid.
Mr Francis Maglio, a long-time NYSE member and seat owner, said members of the exchange were "appalled" by the size of Mr Grasso's pay, the bulk of which is deferred compensation mostly accumulated since he became chairman in 1995.
Other seat owners have also condemned Mr Grasso's pay. Mr Maglio said a claim by Mr Grasso that he had the support of members was "ridiculous". Mr Grasso was awarded $139 million in deferred compensation last month, and said this week he had agreed not to accept a further $48 million owed to him.
Mr Carl McCall, a NYSE director who became chairman of the compensation committee this year, sought this week to deflect responsibility for the package to previous committees and to executive pay consulting firms they hired for advice.
It also emerged that Mr Jurgen Schrempp, head of DaimlerChrysler and a NYSE board member, was among directors who raised questions about the level of Mr Grasso's pay.
The controversy has renewed a push to turn the NYSE into a publicly traded company. Seat owners are to meet next week to put together a formal proposal to make it subject to the same governance rules as the firms listing on it.
