Former PGG Wrightson managing director Tim Miles received a NZ$3 million payment when he unexpectedly left the company last year, according to the company’s annual report.
Miles, who led the rural services firm for two-and-a-half years until October last year, was paid NZ$4.3 million in the latest financial year. That was made up of the NZ$3 million ex gratia payment, his base salary of NZ$615,000, and a short-term incentive bonus of NZ$703,000.
His long-term incentive scheme, which involved 2.5 million Wrightson shares, didn’t add to the balance, as he had been extended a loan to pay for the stake.
His exit payment isn’t far off the NZ$4 million NZ Farming Systems Uruguay had to pay Wrightson to cancel its management contract with the rural services firm, when Singapore’s Olam International took control of the South American farm manager.
Miles’ departure was the last of a rapid leadership shake-up at Wrightson, with just one senior executive, who is based in South America, left from Craig Norgate’s tenure as chairman. The new chairman John Anderson was brought in after Wrightson raised NZ$250 million to slash debt after its failed merger with Silver Fern Farms by installing Chinese seed and agricultural research firm Agria Corp. as a cornerstone shareholder. Agria has since taken control of the company in a NZ$144 million partial takeover.
The shares fell 2.6% to 38 cents in trading yesterday, and have sunk 27% this year.
7 Comments
Heartland says it has this covered Ivan:
"We've got surplus cash so we are in a position to pay that bond as it matures," Heartland treasurer Craig Stephen said. "But what we have done is we've issued a bond mandate to Westpac and BNZ, and if market conditions allow and we feel we may want to tap that investor base, then we may do. But that mandate extends for a good year."
More here - http://www.interest.co.nz/rural-news/54958/heartland-nz-says-if-its-cur…
Gummy suspects that Agria will give the man a brown envelope containing more money than his Wrightsons package did , as thanks , for so crushing the company into the dust , and so destroying shareholder value ...... that they ( Agria ) were able to buy a controlling stake in the company , dirt cheap .
I'm sure your suspicions are unfounded; of course all of NZ's CEOs and their like are people of the highest probity.
It's much more likely that he simply forgot to look after the company whilst he spent his working day designing a very lucrative pay arrangement for himself. Merely unfortunate carelessness that I'm sure shareholders will overlook.
Absolutely the highest probity , no question about that . I am merely accusing the man of being incompetent at his job .... but being superbly competent when it comes to negotiating his renumeration and golden handshake .
...... Agria , no doubt , wish to thank him too .
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