Discover Financial Services Inc. (DFS) awarded 200,000
restricted stock units to Chairman and Chief Executive David Nelms
as a "special retention grant," the credit-card company said
Thursday.
The compensation committee of the company's board approved the
grant to "promote retention and support continued progress on the
company's long-term strategy," it said in a regulatory filing with
the Securities and Exchange Commission. The stock units vest in
full at the end of 2018.
Mr. Nelms had not received another job offer or tendered his
resignation to the company, Jon Drummond, a spokesman for Discover
said.
"The board was very impressed with the way" Mr. Nelms has led
the company, "especially during the recession," Mr. Drummond
said.
Mr. Nelms, 52, has served as CEO of the Riverwoods, Ill.-based
company since 2004. He was previously president and chief operating
officer of the company.
Discover, whose primary business is credit-card lending, has
been expanding in to new businesses, including student lending,
mortgage lending and online banking, in recent years to increase
revenue.
The company's shares closed up 0.4% at $54.60 on Thursday. The
shares are up more than 41% this year, driven by consistent loan
growth and record-low borrower delinquencies.
Mr. Nelms received $9.96 million in compensation for fiscal
2012, according to a previous regulatory filing.
Write to Andrew R. Johnson at andrew.r.johnson@dowjones.com
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