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27-04-2012 17:48:00

New Monte Dei Paschi Chairman To Renounce Compensation -Source

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SIENA, Italy -(Dow Jones)- Alessandro Profumo, the new chairman of Banca Monte dei Paschi di Siena SpA (BMPS.MI), will forgo compensation related to his new role as head of the third-largest Italian retail bank's board, MF-Dow Jones reported, citing a person familiar with the situation.

Shareholders of Monte dei Paschi Friday nominated Profumo, the former chief executive of UniCredit SpA (UCG.MI), as the bank's non-executive chairman with a 98% share of the vote.

At the shareholder assembly, the head of the foundation that owns more than a third of the shares of Banca Monte dei Paschi di Siena called for the chairman and other board directors to take a 20% cut in compensation.

Banca Monte dei Paschi di Siena posted a net loss of EUR4.7 billion in 2011, compared with a net profit of EUR986 million in 2010, as it took a slew of writedowns and impairment charges.

-By Laura Bonadies of MF-Dow Jones and Christopher Emsden, Dow Jones Newswires; +39 06 6976 6920; chris.emsden@dowjones.com

(END) Dow Jones Newswires

April 27, 2012 11:48 ET (15:48 GMT)

Copyright (c) 2012 Dow Jones & Company, Inc.

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