Make a million: work for Colt
Colt shares rose nearly 20 per cent in frenzied midweek trading before slipping back on Friday to close at pounds 20.80, a rise of 260p during the week. The spur was better-than-expected third- quarter figures, though the company, which provides telecommunications for business users, is still at least two years away from making a taxable profit.
Mr Chisholm, a former priest from New England who entered the telecommunications industry by accident, has options over 6.55 mllion shares at between 69p and 170p. These are currently valued at pounds 130m.
According to William M Mercer, the executive compensation specialists, these options make him the best-remunerated executive in British industry. "Earlier this summer we issued a discussion paper titled When will you pay your CEO pounds 100m?," said Tony Groom of Mercer. "At the time, some commentators thought we were being alarmist. But as we can see, this figure has already been achieved and exceeded."
Mr Chisholm is the largest beneficiary of a generous share option plan, launched just three years ago, which benefits 150 key executives at the company.
This scheme is now worth over pounds 700m, making the average payout for a Colt executive more than pounds 4.6m.
It is not only the executives who have benefited from Colt's bounty. The company operates a save-as-you-earn scheme for all its staff.
So far the purchase price for shares in that scheme has been 119p and 601p. According to Mercer, if an employee had taken up his or her full entitlement in the scheme, they would currently be sitting on a paper profit of pounds 159,000.
Colt has been criticised in some quarters for the generosity of its share incentive plans. But its major shareholder, the US group Fidelity Investments, has been highly supportive of the company. According to John Doherty, Colt's head of communications: "The only institutional investors who have complained are the ones who failed to buy Colt shares before they shot up in value."
- 1 BBC told new political editor must be 'impartial' with Nick Robinson reportedly stepping down
- 2 Number of young homeless people in Britain is 'more than three times the official figures'
- 3 Humans of New York image of crying gay teen receives best response yet from Ellen DeGeneres
- 4 The map showing the most dangerous tourist destinations in Europe, according to the Foreign Office
- 5 Swedish minister gives strongest case yet on why EU should stop turning away asylum seekers
BBC told new political editor must be 'impartial' with Nick Robinson reportedly stepping down
Isis propaganda video shows 25 Syrian soldiers executed by teenage militants in Palmyra
Number of young homeless people in Britain is 'more than three times the official figures'
Humans of New York image of crying gay teen receives best response yet from Ellen DeGeneres
The map showing the most dangerous tourist destinations in Europe, according to the Foreign Office
More Britons believe that multiculturalism makes the country worse - not better, says poll
Nathan Collier: Montana man inspired by same-sex marriage ruling requests right to wed two wives
Greece crisis: IMF was pushed around by Angela Merkel and Nicholas Sarkozy – and now it is being humiliated
Forget little green men – aliens will look like humans, says Cambridge University evolution expert
Girl, 7, stares down hate preacher at Ohio festival with pro-LGBT rainbow flag gesture
Osborne to cap family benefits at £23,000 – announced ahead of his post-election Budget
iJobs Money & Business
£15000 - £17000 per annum: Recruitment Genius: This company offers a range of ...
£15000 - £16000 per annum: Recruitment Genius: Customer Service Advisors are r...
£20000 - £25000 per annum + OTE £45K: SThree: SThree were established in 1986....
£40000 - £60000 per annum: Recruitment Genius: A Compliance Manager is require...