Jeremy Warner: No offence intended

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The Independent Online

Outlook I didn't expect Clive Cowdery and his team at Resolution to be exactly pleased with my piece yesterday on the company's remuneration structure – "Excessive pay is not yet dead" – and indeed they were not.

Since the commentary gave them no right of reply, I'm happy to do so now. The £1m "formation fee" and minimum £10m a year that goes to their management company is not "pay", they insist, but to cover operating expenses. Resolution is set up in this manner for tax reasons.

Nor was it right to suggest they would be entitled to up to 30 per cent of the "entire" company in the event of a change of control. In fact entitlement is only to the "added value" of the company, which would obviously be lower if anything at all. What's more, if the company is wound up before any of the £600m raised from investors is spent, there will be no such entitlement.

If I've caused offence, I am as ever duly repentant.