Eldorado Gold Corp. is once again attracting criticism for excessive executive compensation, a year after the mining company lost a shareholder “say-on-pay” vote.
According to documents filed with securities regulators on Friday, the Vancouver-based miner paid its new chief executive officer George Burns $7.3-million in 2017, when Eldorado shares lost more than half of their value.
“For a company that earns so little, that $7.3-million is too much,” said Benoit Gervais, portfolio manager and head of the resource team at Mackenzie Investments.
Mr. Burns was paid a salary of $916,000, awarded share units worth $3.3-million, granted stock options valued at $1.7-million, earned a cash bonus of $490,000, accumulated pension payments worth $275,000 and received “other” compensation worth $600,000.
About $3.6-million of Mr. Burns’ pay is in so-called “replacement compensation” − essentially a one-time bonus paid to make up for money he would have made had he stayed at his former employer. Mr. Burns left Goldcorp Inc. where he was chief operating officer at the end of 2016 and joined Eldorado in February, 2017. He was named CEO in April, 2017.