Dixons chief makes pounds 1.1m from options

Directors of Dixons, the electrical retailer, made pounds 2.8m from the sale of share options last year. Sir Stanley Kalms, the group's outspoken chairman, and finance director, Robert Shrager, cashed in virtually their entire entitlement.

Sir Stanley was the largest beneficiary, recording a gain of pounds 1.1m on the sale of options. This was in addition to his pounds 889,000 salary and the pounds 5.7m he made from the sale of more than a million shares in February. That action came just days after he attacked a broker for issuing a sell note on the company's shares. The combination of salary, shares and options sales means Sir Stanley made pounds 7.7m from Dixons last year.

The company said the sale of options was a personal matter for the directors and should not be taken as an indication of their confidence in the future of the business, adding that some options had been cashed in because they were due to expire: "It is their entitlement to cash them in when the time is right for them. It is purely for personal reasons."

Sir Stanley, who has built up Dixons from a one-store family business, said there was no point in hanging on to his shares forever. "What am I going to do, take them to my grave?" he asked last month. "I can see my tombstone. Stanley Kalms lies here, along with his Dixons shares."

The combative retailer still retains more than 2 million shares in the business. However, he now has only 7,000 options left. His pounds 893,000 salary represented an increase of pounds 28,000 on the previous year.

Robert Shrager, finance director, also made pounds 1m from share option sales last year. Together with his pounds 227,000 salary, down from pounds 295,000 the year before, this took his total gain to pounds 1.3m.

The other director to sell virtually his entire entitlement of options was Mark Souhami, the deputy chairman who has been with the group for 27 years. He made a profit of pounds 485,000 from the sale of more than 200,000 options and has just 4,400 left.

The only director who did not choose to cash in was John Clare, chief executive. He realised pounds 162,000 from share option sales last year but sold less than 10 per cent of his total. However, he made pounds 400,000 from share option sales in the previous financial year, more than any other director. Last year his total pay fell from pounds 438,000 to pounds 352,000.

Dixons has enjoyed an excellent year with its sales boosted by rising consumer confidence and the impact of the building society windfalls. Last month it reported soaring like-for-like sales gains, saying its stores were feeling the benefit of the windfall money as soon as the cheques hit consumers' doormats.

The group will create 3,000 jobs this year as it invests pounds 100m opening stores across its portfolio of formats which includes Currys, PC World and The Link.

PROMOTED VIDEO
News
ebookA unique anthology of reporting and analysis of a crucial period of history
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

BA/PM,EMIR/Dodd-Frank,London,£450-650P/D

£450 - £650 per day + competitive: Orgtel: My client, a leading bank, is curre...

Senior Analyst - ALM Data - Banking - Halifax

£350 - £400 per day + competitive: Orgtel: Senior Analyst, ALM Data, Halifax, ...

Java developer - Banking - London - Up to £600/day

£500 - £600 per day: Orgtel: Java developer - Banking - London - Up to £600/d...

Liquidity Reporting-Basel III-LCR-Bank-£400/day

£400 per day + competitive: Orgtel: Liquidity Reporting - Basel III - LCR - Ba...

Day In a Page

Save the tiger: The animals bred for bones on China’s tiger farms

The animals bred for bones on China’s tiger farms

The big cats kept in captivity to perform for paying audiences and then, when dead, their bodies used to fortify wine
A former custard factory, a Midlands bog and a Leeds cemetery all included in top 50 hidden spots in the UK

A former custard factory, a Midlands bog and a Leeds cemetery

Introducing the top 50 hidden spots in Britain
Ebola epidemic: Plagued by fear

Ebola epidemic: Plagued by fear

How a disease that has claimed fewer than 2,000 victims in its history has earned a place in the darkest corner of the public's imagination
Chris Pratt: From 'Parks and Recreation' to 'Guardians of the Galaxy'

From 'Parks and Recreation' to 'Guardians of the Galaxy'

He was homeless in Hawaii when he got his big break. Now the comic actor Chris Pratt is Hollywood's new favourite action star
How live cinema screenings can boost arts audiences

How live cinema screenings can boost arts audiences

Broadcasting plays and exhibitions to cinemas is a sure-fire box office smash
Shipping container hotels: Pop-up hotels filling a niche

Pop-up hotels filling a niche

Spending the night in a shipping container doesn't sound appealing, but these mobile crash pads are popping up at the summer's biggest events
Native American headdresses are not fashion accessories

Feather dust-up

A Canadian festival has banned Native American headwear. Haven't we been here before?
Boris Johnson's war on diesel

Boris Johnson's war on diesel

11m cars here run on diesel. It's seen as a greener alternative to unleaded petrol. So why is London's mayor on a crusade against the black pump?
5 best waterproof cameras

Splash and flash: 5 best waterproof cameras

Don't let water stop you taking snaps with one of these machines that will take you from the sand to meters deep
Louis van Gaal interview: Manchester United manager discusses tactics and rebuilding after the David Moyes era

Louis van Gaal interview

Manchester United manager discusses tactics and rebuilding after the David Moyes era
Will Gore: The goodwill shown by fans towards Alastair Cook will evaporate rapidly if India win the series

Will Gore: Outside Edge

The goodwill shown by fans towards Alastair Cook will evaporate rapidly if India win the series
The children were playing in the street with toy guns. The air strikes were tragically real

The air strikes were tragically real

The children were playing in the street with toy guns
Boozy, ignorant, intolerant, but very polite – The British, as others see us

Britain as others see us

Boozy, ignorant, intolerant, but very polite
How did our legends really begin?

How did our legends really begin?

Applying the theory of evolution to the world's many mythologies
Watch out: Lambrusco is back on the menu

Lambrusco is back on the menu

Naff Seventies corner-shop staple is this year's Aperol Spritz