Berkshire’s vice-chairmen Jain, Abel earn $24m each, Latest Business News - The New Paper

Berkshire’s vice-chairmen Jain, Abel earn $24m each

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Berkshire Hathaway last week said its newest vice-chairmen Greg Abel and Ajit Jain were each awarded about US$18 million (S$24 million) last year, in the first detailed look at the pay of the men considered the leading candidates to succeed Mr Warren Buffett as the conglomerate's chief executive.

Mr Abel, 56, and Mr Jain, 67, who became vice-chairmen in January last year, both received US$16 million in salary plus US$2 million in bonus, showed a US Securities and Exchange Commission filing. Mr Buffett's total compensation last year was US$388,968. But his 16.5 per cent ownership stake in the company forms the bulk of his net worth, which is estimated at US$84.4 billion.

The payouts show Mr Buffett's willingness to pay Berkshire's younger leaders in a manner similar to that at other publicly traded companies.

Mr Abel oversees Berkshire's non-insurance operations such as the BNSF Railway, aircraft parts maker Precision Castparts, retail businesses such as Fruit of the Loom and Brooks running shoes, and Berkshire Hathaway Energy, where he remains executive chairman and owns 1 per cent of the voting stock.

Mr Jain, meanwhile, has long been Berkshire's top insurance executive, and oversees its businesses in that sector, including auto insurer Geico and reinsurer General Reinsurance.

In a CNBC interview last month, Mr Buffett said the men were "doing a fabulous job". Mr Jain controls US$123 million of Berkshire stock, while Mr Abel oversees US$2 million. - REUTERS