Crest Nicholson shareholders have rejected the housebuilder’s remuneration report with 58% voting against it at yesterday’s AGM.
The non-binding vote is the first shareholder rebellion against pay policies this year and follows a recommendation from Institutional Shareholder Services to vote down the proposal over reduced profit targets.
Among the changes Crest Nicholson proposed was the ability to pay directors up to 25% of the maximum threshold for annual bonuses in “certain circumstances” where targets were not met. Previously, no bonuses were paid for below-target performances, but the company said this brings the policy in line with common practice.
Stephen Stone, chief executive of Crest Nicholson, was paid £541,158 last year, with total remuneration, including bonuses and benefits, at £2.2m. Patrick Bergin, group finance director – since appointed as chief operating officer – was paid a total £1.2m, with bonuses and benefits.
Despite the vote, Crest Nicholson will go forward with its remuneration policy.
Karl
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