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Annaly Capital (NLY) is asking shareholders to allow management to form a new company with which...

Annaly Capital (NLY) is asking shareholders to allow management to form a new company with which to run the firm from. Similar to arrangements at competitors like American Capital and Invesco, the move means pay of individual executives would no longer be disclosed. Annaly's CEO made $35M in 2011, chump-change for hedge funds, but raising eyebrows for a financial firm post-crisis.
Comments (23)
  • What does "Annaly‚Äôs shareholders would benefit from any sale of the manager" mean? Exactly how will the new executive structure be compensated such that they have skin in the game. I'm afraid I am overly skeptical of anyone having a golden parachute in their contract anymore, those day's should be extinct. When I fail I fall on my arc, when big execs fail they get parachuted to safety, ain't having it!
    20 Mar 2013, 08:31 AM Reply Like
  • Sounds like it's time for shareholders to oust current management and replace them with individuals who understand what a fiduciary relationship should be.
    20 Mar 2013, 08:47 AM Reply Like
  • It sounds like the executives are trying to hide their ridiculous salaries. If the share prices were going through the roof, maybe it would be OK, but it isn't. The shareholders will suffer.
    20 Mar 2013, 08:50 AM Reply Like
  • Sounds more like REITs are no more exempt from corruption than any other recognized corp. criminal thieves....
    27 Mar 2013, 08:55 AM Reply Like
  • Sounds like a scare tactic.. wonder who is shorting the stock today?
    20 Mar 2013, 09:09 AM Reply Like
  • My first reaction is one of skepticism. Proposals such as these tend to set of alarms for me. As reported so far I fail to see where it benefits the shareholders or adds value to what the company does; and should that not be the bottom line? I'll reserve judgment until I can learn more but remain very curious....
    20 Mar 2013, 09:26 AM Reply Like
  • Agreed. Just look at the U.S. Oil/Gas trusts now- liars/cheaters all.
    20 Mar 2013, 09:39 AM Reply Like
  • If it stinks it almost certainly is not good to eat! THIS STINKS!
    20 Mar 2013, 09:46 AM Reply Like
  • Makes it look like we have a bunch of shysters running the company. Just stick the money in their pocket. If you ask why, they'll tell you it's non of your business. What a deal for shareholders.
    20 Mar 2013, 09:50 AM Reply Like
  • Wait a minute. Am I missing the point? Don't they still have to pay out 90% of profits? If we as shareholders are concerened that this reit is going belly up then isn't it time to get out? Am I confused?
    20 Mar 2013, 09:57 AM Reply Like
  • No one is suggesting they are going belly up. The point is, if they bring in 200 million but half of that goes to execs pay, then that 90% is greatly diminished. If they don't have to report their salaries, they have no compelling reason to keep their pay "reasonable". I'm not sure 35 million is reasonable pay for one exec but someone at NLY sure thinks it is.
    20 Mar 2013, 12:47 PM Reply Like
  • just what i was thinking as well.. 90% sounds good till the percentage amount get eaten up in salaries, or should you say FAT salaries .

     

    Sounds like a con job..
    20 Mar 2013, 08:22 PM Reply Like
  • Yes you are. Profits happen after salaries and bonuses are paid.
    23 Mar 2013, 03:29 PM Reply Like
  • Know one should hide what they earn and the shareholders should know full discloser is best. I see no benifit to the shareholders
    20 Mar 2013, 10:19 AM Reply Like
  • Let's fire the NLY management!
    20 Mar 2013, 10:20 AM Reply Like
  • (nly) is asking shareholders "to form a new company" to benefit mgmt. I wouldn't mind except i'm a share holder. No is my answer
    20 Mar 2013, 10:22 AM Reply Like
  • When compensation transparency disappears it's usually the shareholders who get the shaft.
    20 Mar 2013, 11:25 AM Reply Like
  • The fact that management would propose this following the last few quarters results shows how out of touch they are. Concur on removing the present board.
    20 Mar 2013, 12:29 PM Reply Like
  • Might be good to know what the payment is for last qtr
    20 Mar 2013, 02:32 PM Reply Like
  • ...perhaps time to reallocate out of nly
    20 Mar 2013, 02:33 PM Reply Like
  • I think they should be able to keep their compensation secret and if they operate from a tax haven country so much the better. It has been real good for companies like Halliburton and no one complains.
    20 Mar 2013, 02:40 PM Reply Like
  • Gee, just as I was about to load up on NLY, this pops up. I guess that $35 mil was not enough for this exec. What about the other leaders in this business? Can it be found out how much they make?
    20 Mar 2013, 06:57 PM Reply Like
  • If we have a right to know what the salary of our President is, then shareholders have a right to know what the salary of their executives is! Besides, don't we shareholders own the Company?
    21 Mar 2013, 02:03 AM Reply Like
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