Goldman Sachs CEO Receives $80 Million Retention Stock Award

Goldman Sachs Group Inc. has granted its top executives, Chairman and CEO David Solomon and President and COO John Waldron, a significant retention-focused stock award. The company has awarded each executive $80 million in restricted stock units (RSUs), reflecting the board's commitment to retaining its senior team and aligning their interests with long-term shareholder value.



The RSUs, approved by the board on Thursday, feature a five-year cliff vesting schedule, meaning they will vest in January 2030. The vesting is contingent on continuous service, with limited exceptions like death or disability. Additionally, the RSUs are tied to Goldman Sachs' forfeiture and clawback policies, ensuring accountability for improper risk management or failure to fulfill obligations.

The decision to award the RSUs reflects the board's acknowledgment of Solomon's and Waldron's leadership in driving the firm's strategic goals. These retention-focused awards are not part of the executives' annual compensation. For 2024, Solomon's total annual compensation was $39 million, up from $31 million in 2023.



Goldman Sachs reported its fourth-quarter and full-year 2024 financial results on Wednesday. The company reported fourth-quarter revenue of $13.87 billion, beating the consensus of $12.39 billion. Revenue increased by 23% year-over-year, reflecting growth across all segments, with significant growth in Global Banking & Markets. Full-year revenue was $53.51 billion, up 16% YoY, beating the consensus of $51.98 billion.

The stock award for Solomon and Waldron is a strategic move by Goldman Sachs to maintain leadership stability and continuity, aligning the interests of its top executives with those of long-term shareholders. This retention-focused measure is designed to support the firm's strategic priorities and maintain strong succession planning, ensuring that the company remains on track to achieve its long-term goals.

In conclusion, Goldman Sachs' decision to award $80 million in RSUs to David Solomon and John Waldron is a testament to the company's commitment to retaining its top talent and aligning their interests with long-term shareholder value. This retention-focused measure is a strategic move that supports the firm's strategic priorities and maintains strong succession planning, ensuring the company's continued success in the years to come.