Oireachtas Joint and Select Committees
Thursday, 23 April 2015
Committee of Inquiry into the Banking Crisis
Nexus Phase
Mr. Dermot Gleeson:
No, I have seen that written and raised and it's a perfectly correct question to raise, these people were on performance plans which if the EPS went up a certain amount they would get a lot of extra money. The first thing to say is that hardly any of that ever vested, the test was too high. CPI plus 10% is almost impossible to do. Secondly there were components in that test that related to the market as a whole, 50 other European banks, no control over those. And so far as Irish property lending is concerned, you know going back to the statistic that I gave to your colleague, Deputy Phelan, about 15% at most of the bank's profits were provided by Irish property so lending to Irish property was never going to affect the EPS in a way that would get you this money.
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