El Al Proposes Significant Pay Raise for Board Chairman
Translated & summarized from Vesty by baba
El Al is proposing to raise the annual compensation for its Board Chairman, Amikam Ben-Tzvi, to about 7 million shekels and move him to a full-time position. The proposal, to be voted on by shareholders, comes as El Al's stock has surged 43.3% in three months, reaching an all-time high. The airline is also seeking to approve a three-year release from liability for Ben-Tzvi and CEO Levi Halevi.
The story in 5 lines · by baba
- El Al proposes increasing Board Chairman Amikam Ben-Tzvi's annual pay to 7 million shekels.
- The airline's stock has surged 43.3% in three months, reaching an all-time high.
- Ben-Tzvi's compensation package includes a 157,000 shekel monthly salary and stock awards.
- The proposal comes amid favorable competitive conditions for El Al.
- Shareholders will also vote on a three-year release from liability for Ben-Tzvi and CEO Levi Halevi.
El Al is proposing to increase the annual compensation for its Chairman of the Board of Directors, Amikam Ben-Tzvi, to approximately 7 million shekels and transition him from a 90% to a full-time role. The proposal will be presented at the airline's annual general meeting of shareholders, the notice for which was published on Sunday, October 25. Under the proposed terms, Ben-Tzvi's monthly salary would be 157,000 shekels. The company's annual expenses for his salary and related payments are projected to reach 2.63 million shekels, with a performance-based bonus component increasing to 1.97 million shekels. An additional 2.43 million shekels would be allocated for stock-based compensation.
Ben-Tzvi is reportedly close to El Al's controlling shareholder, Kenny Rosenberg, and assisted him in acquiring the company. This proposed compensation increase comes amid a significant surge in the airline's stock value, which has risen by 43.3% in the last three months, bringing its market capitalization to 11.3 billion shekels. El Al is nearing inclusion in the prestigious TA-35 index and its shares are currently at an all-time high.
The airline is benefiting from favorable competitive conditions due to ongoing security concerns and the incomplete return of foreign airlines to Israel. A September 30, 2026, attempted terror incident on a Flydubai flight to Tel Aviv has also been cited as a factor, reminding Israeli passengers of El Al's security advantages and potentially increasing preference for the Israeli carrier with Israeli pilots. Over the past three years, El Al's stock has grown by approximately 660%, making Rosenberg's acquisition of control one of his most profitable investments. He initially invested 360 million shekels and an additional 40 million in 2023, with his current stake of about 43% valued at approximately 4.5 billion shekels.
In addition to Ben-Tzvi's proposed compensation changes, shareholders will be asked to approve a three-year release from liability and indemnification for both Ben-Tzvi and El Al CEO Levi Halevi. The company does not plan to alter Halevi's current compensation terms.
