Airport directors cut back proposed fee increase
Auckland International Airport's board has reined in the proposed increase to its directors' fees.Following feedback from shareholders, the board said it would now seek to apply only half the proposed 12.2% increase in director's fees initially sought for
Georgina Bond
Fri, 22 Oct 2010
Auckland International Airport’s board has reined in the proposed increase to its directors’ fees.
Following feedback from shareholders, the board said it would now seek to apply only half the proposed 12.2% increase in director's fees initially sought for the year ahead.
This would mean the increase in directors’ fees would be limited in the year to October 2011 to a total of 6.1% of fees set in 2007 ($1.15 million), with the further 6.1% increase to be applied the following year.
The board will seek approval of the increase at its annual meeting next week.
Earlier this month, the Auckland Airport board asked shareholders to approve a proposed 12.2% of $140,000 increase in director’s fee from $1.15 million to $1.29m
The board said the proposed increase was less than, recommendations from two leading remunerations specialists, Hay Consultants and Spencer Stuart
That would be the airports third fee increase in five years.
In a notice to the stock exchange this morning, the board said the revised fee increase reflected a compound annual increase of 2.3% per annum from 2007, which compared to inflation of 2.7% per annum from 2007 to the third quarter of 2010.
Directors said they intended to apply 7.5% of base directors’ fees actually payable to them to acquire shares in the company if the resolution was passed, and a further 7.5% the following year.
Georgina Bond
Fri, 22 Oct 2010
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