Sallie L. Krawcheck is set to receive $6 million following her departure from Bank of America Merrill Lynch where -- up until last month -- she was president of global wealth management, according to a new regulatory filing.
Bank of America Corp. entered into general release and separation agreements on Thursday, Oct. 5 with both Krawcheck and Joe L. Price, who served as president of global consumer and small business banking. Bank of America disclosed the agreements in filings submitted to the Securities and Exchange Commission on Friday.
Price is set to receive a total of $5 million following his separation from the firm.
The agreements come one month after both executives stepped down from the firm in a management reorganization led by Bank of America Chief Executive Brian Moynihan.
With the agreements, Krawcheck will receive a $5.15 million one-time supplemental lump sum payment, while Price’s agreement calls for a $4.15 million one-time supplemental lump sum payment. Both of those payments are scheduled to be paid one year following their separation date.
In addition, both Krawcheck and Price are each set to receive $850,000, or 52 weeks of their previous base salary. They will also both receive group health coverage benefits and outplacement services.
Neither Krawcheck nor Price will be eligible for incentive payments for the 2011 fiscal year, Bank of America’s filing said.
Krawcheck’s severance deal comes as she has also stepped down from the board of governors of the Financial Industry Regulatory Authority. She was recently honored as one of the 25 most powerful women in banking by American Banker, which is also published by SourceMedia.