Royal Group chops executives’ bonuses
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Heeding the pressure applied by its shareholders, Royal Group Technologies Ltd. announced that the 2002 bonus of CE...
Heeding the pressure applied by its shareholders, Royal Group Technologies Ltd. announced that the 2002 bonus of CEO Vic De Zen has been cut to $3.8 million, from $5.6 million previously. The company also announced that president Douglas Dunsmuir’s bonus has been trimmed to $2.2 million, from $3.2 million previously, according to a report published in the Financial Post.
Additionally, Royal announced that it will replace its old bonus calculation system with one based on return on invested capital. Using the old bonus calculation, De Zen’s bonus rose 150% in fiscal 2002, while the value of the company stock fell 43%. Revenues rose 15% and earnings per share rose 9% during the same period.