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Last Updated: Thursday, 5 June, 2003, 21:02 GMT 22:02 UK
NYSE changes board rules
Richard Grasso
Richard Grasso's pay package will be revealed
The New York Stock Exchange (NYSE) has announced a series of changes aimed at improving its corporate governance standards.

The Exchange has said it will disclose how much it pays top executives and will also block executives from serving on the boards of other listed companies.

Directors of other Wall Street firms will also no longer be allowed to serve on the NYSE's compensation committee.

The move follows demands from the US Securities and Exchange Commission (SEC) for all US stock markets to review the way they operated.

Transparency

The question of corporate governance standards has come under intense focus over the past couple of years following scandals such as Enron and WorldCom.

The pay of NYSE chairman Richard Grasso has come under attention recently, with reports putting his total package at $10m a year.

Under the new rules, the NYSE said it would publish the compensation of its chairman, directors and four highest paid officials.

"It's our responsibility to bring governance of this institution into the 21st century," said NYSE board member Leon Panetta.

"We took steps the board can take immediately."

The Exchange said executives serving on company boards will to step down by the 2004 annual meetings at the latest.

Mr Grasso will have to step down from the board of Home Depot.




SEE ALSO:
New SEC chief pledges tough line
18 Feb 03  |  Business


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