Annaly Capital Management, Inc. (NYSE:NLY) Investor Investigation Over Potential Breaches Of Fiduciary Duties By Directors
May 31, 2012 (Shareholders Foundation) -- Certain officers and directors of Annaly Capital Management, Inc. are currently under investigation concerning whether they breached their fiduciary duties by paying certain top officials at Annaly Capital Management excessive compensation.
The investigation by a law firm focuses on whether certain directors and officers of Annaly Capital Management, Inc. harmed the company by agreeing to pay certain of Annaly Capital Management’s senior officers and executives excessive compensation in past years.
Annaly Capital Management, Inc. (NYSE:NLY) reported that its annual Revenue rose from $268billion in 2010 to $3.57billion in 2011. However its Net Income fell from $1.26billion in 2010 to $344.46million in 2011.
Shares of Annaly Capital Management, Inc. (NYSE:NLY) rose from as low as $11.85 per share in October 2008 to over $19 per share in September 2009. However recently NYSE:NLY shares traded at $16.62 per share, significantly down from its current 52week High $18.79 per share.
Despite those financial numbers, the compensation of certain top officials at Annaly Capital Management, Inc. increased significantly from 2009 to 2011. For instance, the Chairman of the board and CEO’s pay rose from over $21.5million in 2009 to over $35million in 2011, the COO’s compensation increased from over $21.5million in 2009 to over $35million in 2011, and the CFO’s pay surged from over $8.5million to almost $14million in 2011.