Stephen Hester

June 7, 2013: Apologising if he sounds “pompous”, Hester says the RBS job was something he took on as a “mission. I could have stayed out of the limelight at British Land but I wanted the challenge. Now I’ve taken it on, it commands all my focus.” Returning RBS to sustainable profitability and to private sector ownership will be the key measures of success. “I hate not winning, I hate it,” he says with a glimmer of passion. June 12, 2013: Stephen Hester, the chief executive of the part-nationalized Royal Bank of Scotland, announced on Wednesday that he was leaving the bank. [FT, Dealbook]

The bank, which is 82 percent owned by British taxpayers, said its fourth quarter losses increased 44 percent from a year earlier, to 2.60 billion pounds. That led to a full-year loss of 5.97 billion pounds ($9 billion), up from a shortfall of 2 billion pounds in 2011…RBS suggested that when investors take into account the one-time costs — such as paying the LIBOR fine — the bank is in much better shape than it might look. Operating profit, a measure of earnings before tax and one-time charges, rose to 3.46 billion pounds last year from 1.82 billion pounds. “I think we are coming really closer to the point where we are a normal company again,” Hester told the BBC. [NYP]

Philip Hampton isn’t going to go so far as to say Stephen Hester earned it but he is going to just put it out there that other bank CEOs get paid a lot more.  So if you think about it, Hester is barely making enough money to put food on the table. Relatively speaking. Read more »

  • 23 Feb 2012 at 7:34 PM

RBS Puts 10,000 Employees’ Pay On Ice

Earlier today the Royal Bank of Scotland reported a loss of £2 billion ($3.13 billion) for last year, which CEO Stephen Hester noted was in line with the estimates he projected in his five-year turnaround plan for the bank. To that end, Hester told reporters that contrary to popular belief, his team is working quite hard, “defusing the biggest-ever time bomb put in a banking balance sheet” and so, looking at it that way, “we are making progress.” Progress which should be rewarded monetarily, which is why bonuses were in fact distributed this year, to the ire of the many, many critics giving Hester guff for keeping his people moderately happy or at least not homicidal. Having said that, those thinking the firm has the money to not only pay bonuses but raise base pay *and* bring in dancing chickens should think again. Read more »

  • 10 Feb 2012 at 10:46 AM

Layoffs Watch ’12: RBS

If it makes the canned feel any better, this is harder on them that it is on you. Read more »

  • 03 Feb 2012 at 2:52 PM

RBS Chairman: Bonus Backlash Came Out Of Nowhere

The Royal Bank of Scotland Group PLC’s chairman on Friday acknowledged that the bank had miscalculated the public and political reaction to the £963,000 (around $1.5 million) bonus in shares awarded to Chief Executive Stephen Hester, who subsequently turned down the payment…”We knew it would be a difficult reaction, but the speed and scale of it took us by surprise,” Mr. Hampton said in a briefing with reporters. [WSJ]

The Queen did want to acknowledge all the work he’s done, though, so she threw the government worker a bone he can collect a few years from now. Read more »

A profit is nearly within reach. Read more »