The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:Crew Members Divvy Up Less Loot Not Rated 2.0 Email Routing List Email & Route  Print Print
Monday, June 16, 2003

Crew Members Divvy Up Less Loot

by: Sean Hanna, Editor in Chief

The bear market has reached Valley Forge, Pennsylvania. Crewmembers at Vanguard learned last week that they would be getting smaller bonuses this year than last. CEO John Brennan delivered the news at the fund firm's annual company picnic, according to the Philadelphia Inquirer. A Vanguard spokesperson would not comment on the report other than to confirm the prices of the Vanguard partnership units on which the bonus is based.

"The past three years tested us more than any of us thought we could have been tested," Brennan reportedly said at a company picnic Tuesday. He added that he expects quality initiatives at the firm to drive profits and the bonus higher in 2004.

The price of those units dipped five percent to $58.40 per from $61.50 last year. The units debuted in 1984 at $3.84. The price of the unit is based financial performance at Vanguard over the past three years and additional items such as cost savings at the firm, according to the Inquirer.

Employees may not have been too disappointed by the news. While Vanguard has been cutting its headcount through attrition, according to industry sources, it has yet to resort to layoffs. That means it has managed to sidestep a fate that even rival Fidelity -- also privately owned -- has suffered through.

The partnership units themselves have created wealth for many at Vanguard. Brennan himself noted that the units have outperformed the S&P 500 since their debut with a 1,420 percent return.

Crewmembers may also be able to save some cash on their wardrobes. The report adds that Brennan will allow them to wear casual clothes to work from July 4 through Labor Day as a celebration of the firm's better performance since the market turnaround of the past three months. 

Stay ahead of the news ... Sign up for our email alerts now

 Do You Recommend This Story?

Return to Top
 News Archives
2024: Q2Q1
2023: Q4Q3Q2Q1
2022: Q4Q3Q2Q1
2021: Q4Q3Q2Q1
2020: Q4Q3Q2Q1
2019: Q4Q3Q2Q1
2018: Q4Q3Q2Q1
2017: Q4Q3Q2Q1
2016: Q4Q3Q2Q1
2015: Q4Q3Q2Q1
2014: Q4Q3Q2Q1
2013: Q4Q3Q2Q1
2012: Q4Q3Q2Q1
2011: Q4Q3Q2Q1
2010: Q4Q3Q2Q1
2009: Q4Q3Q2Q1
2008: Q4Q3Q2Q1
2007: Q4Q3Q2Q1
2006: Q4Q3Q2Q1
2005: Q4Q3Q2Q1
2004: Q4Q3Q2Q1
2003: Q4Q3Q2Q1
2002: Q4Q3Q2Q1
 Subscribe via RSS:
Add to My Yahoo!
follow us in feedly

©All rights reserved to InvestmentWires, Inc. 1997-2024
14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
Privacy Policy :: Terms of Use