ELEVEN executive directors of Independent Newspapers shared salaries and other benefits of £2,285,000 last year, an average of almost £208,000 each.
But the remuneration packages of the executive directors cost Independent 3 per cent less in 1995 because payments under group incentive schemes were lower. Bonus and incentive payments fell despite a 21 per cent rise in operating profits to £49 million.
The cost of the packages was almost 13 per cent lower when a compensation payment of £227,000 by subsidiaries for loss of office is stripped out.
No explanation was available last night from the group for the fall or the changes in the accounting for these payments.
The annual report shows annual bonuses of £343,000 for executive directors in 1995 with no payments under the long term incentive scheme. Restated figures for 1994 show annual bonuses of £499,000, with £500,000 under the long term incentive scheme.
But the salaries of the executive directors rose last year. Salaries were 30 per cent higher at £1,257,000, an average of just over £14,000 each.
They shared fees of £80,000 (up 8.6 per cent) and benefits in kind of £141,000 (up 19 per cent). Pension fund payments rose by 19 per cent to £237,000.
Non executive directors shared £362,000 last year, an average of £25,800 a person. There were 14 non executive directors at year end up from 12.
During 1995, group chairman Dr Tony O'Reilly was granted options to acquire 341,695 Independent shares at 375p a share. No other directors were granted share options.
At yesterday's closing price of 525p, Dr O'Reilly would make a profit of just over £500,000 if he exercised his options and then sold the shares. At the end of 1995, he owned 32,876,595 Independent shares worth £173 million.
At year end, Dr O'Reilly had 3,358,600 share options, exercisable up to the end of December 2005 at prices ranging from 88p to 375p. Last year, he exercised options to buy 100,000 Independent shares at a weighted average exercise price of 206p a share.
Independent increased the value of its newspaper titles to £251.7 million from £221.6 million, the annual report shows.
