Greene King's bonus rise
Greene King directors and senior executives are to have potential bonuses increased from 100% of annual pay to 150% of annual pay in the current financial year.
The company's remuneration committee has decided that a bonus of up to 100% of salary will be set by reference to group profits and personal objectives.
The extra 50% uplift will be subject to a new performance condition based on "challenging levels of annual economic profit performance in excess of the company's strategic plan".
All of any additional bonus will be invested in shares or granted in form of nil-cost options, which will be deferred or not exercisable for one year.
They would be forfeited if an individual leaves the company during the year other than as a "good leaver".
The company's annual report states: "The use of economic profit will provide a balance to the rest of the bonus plan, which is based on profit before exceptionals and specific business unit-related targets.
"The additional focus on economic profit will encourage the management team
to target medium-term de-cisions to deliver growth by: ensuring better deployment of capital expenditure; encouraging further improvements in relation to returns on invested
capital; freeing up assets where higher economic profit can be gained by the group; and extracting higher returns from existing uninvested assets."
The report adds that the board has identified "additional economic profit above the 2009 strategic plan that is deliverable over the next two years".
Greene King directors earned £3.118m in 2010 compared to £2.445m in 2009.
Former tenanted division boss David Elliott, who left the Greene King board on 31 January this year received a payment of £266,000 in lieu of notice in line with his contractual entitlements.
