Inchcape ex-boss gets pounds 1.3m

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The Independent Online
Charles Mackay, who was last month ousted as chief executive of Inchcape, will pick up pounds 1.36m when he leaves the group at the end of June. Mr Mackay, the highest-paid director on pounds 564,000 last year, will receive pounds 760,000 as compensation for loss of office and a further pounds 603,000 in pension contributions.

He was replaced by managing director Philip Cushing as part of a shake- up of the business, which in March announced a slump in profits from pounds 228m to pounds 17.4m for 1995 and slashed the dividend. The news was the culmination of a difficult period for the Japanese car import to photo-copier group, which last year lost its FT-SE 100 status and axed 2,000 jobs.

Mr Mackay's emoluments, revealed in the annual report published byesterday, compare with a total of pounds 461,000 in 1994. A spokeswoman for the company said the compensation payment to Mr Mackay, who is still deputy chairman of the group, was in line with the terms of his two-year rolling contract. He will also be allowed to retain the right to exercise his 392,505 share options, with a conversion price ranging from 141p to 585p compared with Inchape's market price of 298p, until October 1998.

Three other directors of the group also received increases last year, including Mr Cushing who saw his salary rise to pounds 298,000 from pounds 205,000.