Sources inform ''Globes'' that the Israel Securities Authority yesterday asked the Bezeq The Israeli Telecommunication Co. Ltd. (TASE: BEZQ) board of directors for the minutes of the meetings at which the board approved the compensation plan for company executives. One reason for the request is extraordinarily large compensation packages, which amount to NIS 111 million divided among 40 executives.
The board approved the compensation packages for executives of the rank of vice president and above, including chairman Dov Weissglas, CEO Yacov Gelbard, Pele-Phone CEO Gil Sharon, Bezeq International CEO Avi Gabai, and YES CEO Ron Eilon.
“Globes” has calculated that Gelbard received options worth NIS 42 million, in the wake of his restructuring plan for the company. He received 16.88 million options exercisable at NIS 3.99 per share (NIS 5.42 per share before the distribution of dividends). Weissglas received options worth NIS 6 million. He received 3.1 million options exercisable at NIS 4.59 per share after the distribution of dividends.
The Securities Authority wants to examine whether the board properly approved the compensation plan, without any reservations or restrictions of any kind, which might have required approval under other conditions.
Published by Globes [online], Israel business news - www.globes.co.il - on March 7, 2007
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