(Reuters) - Goldman Sachs Group Inc (GS.N) said newly named Chief Financial Officer Harvey Schwartz would receive an annual salary of $1.85 million and be eligible for variable compensation.
Goldman named Schwartz, a senior trading executive, to replace David Viniar as CFO, the latest in a series of executive shuffles as the investment bank prepares for a change in top management.
Viniar, 57, is among the best-paid executives on Wall Street. He received $15.8 million last year and held 1.8 million shares of Goldman as of March 26, according to a proxy filing. The company’s stock closed at $119.88 on Tuesday.
The salary portion of his compensation, however, was the same $1.85 million that Schwartz is getting and that also was paid as a small base to the company’s president, Gary Cohn, and two vice chairmen, Michael Evans and John Weinberg.
Schwartz will take over from Viniar, the longest-serving CFO on Wall Street, at the end of January. His compensation for 2011, when he served as a co-head of Goldman’s securities division, has not been disclosed.
Viniar, who will become a member of Goldman’s board after his retirement, is eligible for cash bonuses of several million dollars for 2011 and 2012 in addition to his conventional compensation if the company hits predetermined profitability targets set by the board’s compensation committee.
Schwartz, 48, is among a small group of executives who are considered potential candidates to take over when Goldman Chief Executive Officer Lloyd Blankfein, 57, steps down. Blankfein, who received $16.2 million in total compensation last year, has not announced plans to leave the company.
Reporting by Jochelle Mendonca in Bangalore and Jed Horowitz in New York; Editing by Saumyadeb Chakrabarty and Lisa Von Ahn