An investigation on behalf of current long term investors of KeyCorp (NYSE:KEY) concerning possible breaches of fiduciary duty related to the historical and potential compensation that was awarded certain senior officers was announced.

KeyCorp, located in Cleveland, Ohio, is a bank holding company and a financial holding company. It is the parent holding company for KeyBank National Association (KeyBank), its principal subsidiary, through which its banking services are provided. According to the investigation by a law firm the investigation focuses on possible claims that certain KeyCorps senior officers were unjustly enriched through their receipt of unwarranted, excessive or unearned compensation.

While KeyCorp. reported in 2007 a Net Income of $919million, it reported a Net Loss of $1.468billion in 2008, and $1.335billion in 2009.

Certain senior officers at KeyCorp, were awarded salaries, bonuses, stock options and other forms of long-term, incentive or retirement compensation that was, so the investigation, excessive or unwarranted based on KeyCorps performance as compared to what senior officers at comparable companies were making and/or results that were fraudulent, misleading or not long-lasting. The investigation by the law firm is also investigating claims that the prior compensation awarded at KeyCorp is now clearly improper based upon its current operating condition. Finally the investigation focuses also on possible claims that would allow KeyCorp (NYSE:KEY) stockholders to influence or control future compensation decisions at KeyCorp. The shares of KeyCorp (NYSE:KEY) traded recently at $7.77 per share, down from its 52week High of $9.84 per share and almost $40 per share in 2007.