WH Smith provides for directors' golden parachutes
Saturday 17 January 1998
The move, which may attract the ire of its investors, mean that the most senior directors, such as new chief executive Richard Handover, could receive payments of up to pounds 800,000. Mr Handover is on a two-year contract of around pounds 400,000 a year. Other, more recently appointed, directors such as WH Smith Retail managing director Beverley Hodson, have contracts of just one year. John Hancock, the head of the US business, is also on a two-year contact and would qualify for more than pounds 300,000.
The company justified the payments saying it was "simply bringing Smith's into line with current practice." A spokesman cited other companies such as Cadbury Schweppes, Kingfisher, Barclays Bank and Pearson, saying they all have similar arrangements.
The changes were made last year and reported in WH Smith's accounts published in July. This was just two months before Tim Waterstone made his audacious pounds 1bn approach to the company which would have seen him installed as chairman.
A WH Smith spokesman said the payments for loss of office were an additional incentive for the directors to not to abandon the company during a takeover situation. The company declined to comment on whether large pay packages, bonus payments and share option schemes did not already provide sufficient incentive.
Jennifer Lawrence attacks mass media again over body image
Paris charity auction staged to save the ancient city of Tyre
scienceScientists find the answer to a question that even puzzled Darwin
A very timely Great Train Robbery and a frantic 24 Hours in A&E among the highlights
arts + entsThe 'Friends' actor on his new role as campaigner on addiction issues
Jennifer Lawrence: 'It should be illegal to call someone fat on TV'
Colin Farrell reveals ‘affair’ with Elizabeth Taylor: 'She was my last romantic relationship'
Children evacuated from swimming pool after prosthetic leg mistaken for paedophile
Devyani Khobragade: India-US row escalates over arrest of diplomat in New York
Peter O'Toole: Tales of the late film icon
- 1 America's 'virgin births'? One in 200 mothers 'became pregnant without having sex'
- 2 Sun will 'flip upside down' within weeks, says Nasa
- 3 Ian Watkins: Paedophile Lostprophets singer sentenced to 35 years for child sex offences, as judge labels him a 'dangerous sexual predator'
- 4 Christmas comes early: Justin Bieber announces he's 'retiring from music'
- 5 Children evacuated from swimming pool after prosthetic leg mistaken for paedophile
- < Previous
- Next >
iJobs Money & Business
£Attractive Package: Citifocus: Senior project manager with Fund Data experien...
£25000 - £30000 per annum + BONUS + BENEFITS: Harrington Starr: Junior busines...
£100000 - £120000 per annum + benefits : Pro-Recruitment Group: £££ Derivative...
£ Negotiable + Bens: Citifocus: Highly regarded Asset Manager with progressive...