UBS AG bank returned to profitability in 2010, yet CEO Oswald Gruebel said he'll forgo his bonus for the second year in a row - a rare act for a banker. 

Mr. Gruebel "wants to make further progress toward achieving the long-term goals set out in the firm’s strategy and therefore create further value for shareholders, as expressed in the firm’s share price.  The fact that the share price did not increase in 2010 has led to Mr Gruebel’s decision."  -- The Bank Said.   

[C-I Note:  The Bank said it - but did Mr. Gruebel  ever really have any say in the matter?]

For the record, UBS shares rose 6% in 2010, to $16.47 - briefly breaking through $18 and trading as low as $12.54.  The bank reported net profit of about $7.6bn last year, up from about $3bn in 2009.

As far as Mr. Gruebel is concerned, he was  contractually entitled to a bonus in 2010, given the company’s financial performance - but chose to receive only his base salary - about $3.25mn - same as in 2009.   UBS also said that it was reducing its bonus pool by 10%. 

Additionally, like many banks, UBS is conflicted over compensation and is under pressure from the Swiss government and the public over pay practices - esp. after receiving a bailout in 2008.   [NYT Dealbook, 3/4]