Why is Dick Carrion still CEO of Banco Popular?

Fire Dick Carrion!In the past few weeks, the world has had their eyes ripped open to the fraudulent excess of the leading financial institutions in the world. While our retirement accounts have been raped, the leaders of the companies most responsible for our losses still remain at the helm.

But let's look a little closer to home to see how our leaders rate. Well, not to good. I'd like to nominate one of our very own blood sucking executive to the hall of financial shame, Richard Carrion, Banco Popular Chairman of the Board, President and Chief Executive Officer of the Corporation and the Bank.

Why do I think he should be fired? Three reasons:

  1. Since Feb 1, 2008 Banco Popular stock has lost approximately $6.68, representing a market capitalization of $1.882 billion.
  2. Since Jan 21, 2004 Banco Popular stock has lost $20.27, representing a market capitalization of $5,710 billion. By the way, this was shortly after Anibal Acevedo Vila was sworn into office as Governor. Interesting coincidence, don't you think?
  3. And yet, he still receives a base salary of $772,655, and an overall compensation of $2,475,630.
Where is the accountability? Where is the connection between company performance and CEO compensation? Why do we continue to reward our failing leaders?

I don't think it should be surprising to anyone, but with BPPR involved in such a large percentage of business in Puerto Rico, our economy is linked to their performance: where the fortunes of Banco Popular go, so go our economy (or is that vice versa)?

Flickr Creative Commons Contributor: peasap


Luis Benitez

14 de octubre de 2008, 15:22
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Hmm.. do I smell another flame war in the making ? :)

I have to say, though, I agree... but at the same time.. why is Anibal still our governor... :(