First Citizens BancShares intends to pay its CEO $4 million in "separation from service" benefits and consulting fees over 10 years after he retires or otherwise departs from the bank.
Frank B. Holding Jr., 48, who also is chairman of the Raleigh-based corporate parent of First Citizens Bank, would receive the payments in addition to his pension, according to information filed with the Securities and Exchange Commission.
Holding would receive monthly payments totaling $33,056, including $8,264 in consulting fees and $24,792 in "separation payments," for 10 years after his departure.
First Citizens has the right to cancel the agreement "for any reason," the filing states. The agreement with Holding replaces a similar agreement that called for lower payments. Holding's compensation totaled $835,485 in 2009.
First Citizens has 443 offices in 17 states and the District of Columbia and has been acquiring failed banks in deals orchestrated by the Federal Deposit Insurance Corp.