Stellantis, the automotive conglomerate uniting 14 brands across Europe and America, including Fiat, Citroen, Peugeot, Opel, Chrysler, and Jeep, reported profits of 5.52 billion euros in 2024, a stark contrast to the 18.625 billion euros recorded the previous year.
The underwhelming financial performance throughout the year culminated in Carlos Tavares stepping down from his position as CEO, following disagreements with shareholders.
The 2024 compensation report proposes a salary package of 23.1 million euros for the Portuguese executive, a point of contention among some shareholders.
While this amount is lower than the 36.5 million euros received in 2023 and 23.5 million euros in 2022, AllianzGI has stated it will oppose the compensation report at the upcoming annual general meeting.
In a statement released last week, AllianzGI highlighted that Carlos Tavares’ compensation sparked significant opposition since the Fiat Chrysler and PSA merger, noting 44% dissent in 2021, 52% in 2022, 48% in 2023, and 30% in 2024.
“The 23.1 million euro compensation package for the former CEO outlined in the compensation report seems disproportionate, especially considering the lower-than-expected operational results and circumstances surrounding the forced resignation of the CEO,” the asset manager reaffirmed.
Since Carlos Tavares’ departure on December 1, Stellantis has been without a CEO, though the selection process is “well underway” and is expected to be finalized within the first half of this year.
Today’s general meeting will also include votes on the appointment of seven new non-executive directors for Stellantis, a move that has also faced resistance from shareholders.
AllianzGI intends to vote against the appointments of Fiona Clare Cicconi and Benoit Ribadeau-Dumas as non-executive directors, citing their roles as members of the Remuneration Committee.
The asset manager maintains that the actions and oversight of the Remuneration Committee continue to be a source of concern.
