© Reuters. FILE PHOTO: A person walks past a First Republic Bank branch in Midtown Manhattan in New York City, U.S., March 13, 2023. REUTERS/Mike Segar/File Photo
(Reuters) – Bank of the First Republic (NYSE:) said Wednesday that all of its chief executive officers have opted out of annual bonuses for 2023, and founder and CEO Jim Herbert will not receive any salary starting March 12.
The disclosure comes as First Republic explores ways to stay in business amid a banking crisis that has already wiped out two lenders in the United States.
Bank executives have also lost the award of performance-based incentives in 2023, according to a regulatory filing.
The bailout effort at Swiss banking giant Credit Suisse has also targeted bonus funds for bank executives. On Tuesday, Swiss authorities imposed restrictions on bonus payments for Credit Suisse employees.
First Republic has been working with JPMorgan Chase & Co (NYSE:) to raise funds, a source familiar with the matter told Reuters on Monday, after a $30 billion deposit injection into the bank last week did not provide reassurance. to investors.