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Shareholders revolt on Shell and Next pay
20.05.09
Oil giant Shell and fashion chain Next tonight
suffered massive shareholder revolts over boardroom pay.
Almost 60% of Royal Dutch Shell investors, including Britain's Standard Life, voted against its remuneration report at bad-tempered annual meetings held simultaneously in The Hague and London.
“The system is sick and needs fixing,” declared Errol Keyner of Dutch shareholders' association VEB.
Shell investors were furious that chief executive Jeroen van der Veer received a total package worth £8.2 million in 2008 and was awarded 77,518 shares — worth almost £1.3 million at current prices.
“We as the board take the outcome of this vote very seriously and will reflect carefully upon it,” said chairman Jorma Ollila.
Next also received a warning shot from investors after it softened rules on bonuses caps for its executives.
More than 16% voted against the remuneration report, with 8% abstaining.
