Charles Allen, chief executive of UK television giant ITV, received a much-needed boost this week after a leading shareholder group came out in favour of his share incentive package.
Allen could gain £21 million ($39m; €32m) over the next four years from three separate executive remuneration schemes -- a figure criticised by some investment firms for being overly generous.
However, the National Association of Pension Funds has agreed to support the parts of Allen's remuneration package that have yet to be approved by shareholders. After talks with the broadcaster, the group said it was satisfied that Allen's rewards would be scaled back if ITV's performance proves disappointing.
The NAPF's decision reduces the likelihood of a shareholder revolt over executive pay, though fellow advisory group PIRC (Pensions Investments Research Consultants) is still lobbying against the incentive scheme [WAMN: 05-Apr-04].
Data sourced from: Telegraph.co.uk; additional content by WARC staff