Forbes magazine has included the head of “Rosneft” Igor Sechin in the annual ranking of the highest paid top managers of Russia, having estimated his annual income at $ 13 million. This was explained in an interview with radio station Business FM ‘s press Secretary and Vice-President of the oil company Mikhail Leontyev before entering rooms with this rating.
“Here, by the way, I received a request from another group. Forbes magazine is preparing the next rating of the awards CEO of the largest Russian companies. Once we won the court already have this magazine… Feature of these rankings is that they have, since many positions not public information for obvious reasons, this is done on the basis of some own methods. First, this method gave in our head of the 50 million that was denied by the court, then became 17.5, and now they are offering 13 million”, – said Leontiev.
RBC reports that the chief editor of the United editorial office of Forbes Nikolay Mazurin declined to comment.
In “Rosneft” are reminded of the promise of the new owner of Forbes “not to enter the political area”
From the words of Leontiev, it also follows that the comments to this rating from the magazine once again not received. “Actually no official response to this nonsense can be if people are sick, need a doctor to handle. I just remind you that the current owner Forbes just kind of told me that they will not engage in cheap sensationalism, politicization and so on that they are interested in the niche of solid, respectable magazine about people, about life. But no! A disease, apparently contagious, is transmitted in some way. Hands stretch to pen, pen to paper, and here are the verses flowed freely… poems we are unable to comment in any way”.
This refers to a statement by the new owner of the Russian Forbes Alexander Fedotov, who in October 2015 in an interview with RBC said: “In Russia [Forbes] over-politicized. We will try to write about what is interesting to our readers. I am confident that the policy they are interested in to a lesser extent… We’ll just try not to enter the political territory.”
Fedotov said that, for example, considers “optional” for a magazine story about the high salaries of the officials: “In Forbes interesting to read stories about how to achieve success about the career of people want to be. The rating of the salaries of officials there, perhaps, but it’s interesting this Forbes readers”.
Fedotov promised then to “find a compromise” with the chief editor of the Russian Forbes Elmar by Murtazaeva and to develop new, less politicized concept of the magazine.
In 2014, Sechin won a lawsuit from Forbes and its publisher, ZAO “Axel Springer Russia”. Sechin demanded, in particular, to refute the assessment of his annual income of $ 50 million in 2012. In 2014 because of the ongoing trial Forbes did not include Sechin rating. The ranking, released in 2015, his income is estimated at 17.5 million dollars. Sechin took the third place after the Chairman of the Board “Gazprom” Alexey Miller ($27 million) and VTB head Andrei Kostin (21 million dollars).
Total revenue Sechin in “Rosneft” in 2015 amounted to 612 million rubles
In 2015, Rosneft adopted standards of compensation for top managers. In the published paper reported that the salary of the CEO is set at 15 – 20 million roubles a month, i.e. the annual salary of Igor Sechin, is in the range from 180 million to 240 million. the Actual amount is “much closer to the lower limit,” said Leontiev.
According to the estimates that are made on the basis of the data of the company, Vedomosti, Sechin received 15.7 million rubles (240 thousand us dollars at the exchange rate on 18 Nov) per month, or 188,4 million rubles ($2.9 million) per year. RBC on the basis of these data estimated that the total income of Igor Sechin for 2015 (salary, bonus and fee for service on the Board excluding dividends) in the amount can be from 459 million to 612 million rubles.
This amount does not include dividends on Rosneft shares owned by the head of the oil company. According to the list of affiliates of state-owned companies, Sechin owns about 0,1273% of shares of “Rosneft” (13,49 million units), it is one of the largest minority shareholders of the company.
In addition, it is not the only source of income Sechin. He chairs the Board of Directors of “inter RAO”, in which Rosneftegaz owns a minority stake in the joint centre of research and development “RN-CIR”, far Eastern center of shipbuilding and ship repair, 75% of which belongs to a consortium of Gazprombank and Rosneft, and in the Council of the St. Petersburg international commodity exchange (10,5% – at “Rosneft”) and also serves on the Board of Directors of two Italian companies – the oil refiner Saras (Rosneft – 21%) and tire maker Pirelli (Rosneft indirectly owns 13% of the shares). From standard of payments and compensation, it followed that wherever the share of oil companies is below 50%, Sechin may receive compensation.
Forbes began publishing the rankings of the most highly paid top managers of Russia in 2012, in the December issue, which comes out in November. In the methodology of rating Forbes noted that the final evaluation of the remuneration of top managers consider short-term remuneration (salary, bonuses and other payments) of long-term remuneration (payments, shares payments based on shares), the consideration received from participation in the boards of Directors of subsidiaries and the compensation paid abroad. In most cases, explained to Forbes, the rating calculated on the basis of total compensation paid to key management in the previous year, the result agreed with a number of experts in the field of recruitment of senior management and other knowledgeable sources.