Mark McInnes, the CEO of Solomon Lew’s Premier Investments retail group, has just got a 25% pay rise.
He now gets a base pay of $2.5 million, up $500,000, and a short term incentive of another $2.5 million, also increased by $500,000.
Since he was appointed five years ago, the market capitalisation of the company has increased to $2.5 billion from $900 million. He also gets 1,000,000 performance rights shares in four lots.
The company’s brands include Peter Alexander, Smiggle, Just Jeans, Portmans, Dotti, Jay Jays and Jacquie-E.
McInnes, a former CEO of David Jones, left the department store in 2010 after he was reported for undisciplined behaviour toward a female staff.
“Over the past five years Mark has led a first class-team to deliver significant returns to Premier shareholders,” says chairman Solomon Lew.
In its latest half year results, the company posted a record profit of $71.5 million, a 25.9% increase.
This is well ahead of Myer, McInnes’ big competitor when he was at David Jones, which posted a half year profit of $59.7 million, down 4%.
The company has approved the sale of 800,000 Premier shares, worth about $12.5 million at current prices, by Mr McInnes to finance construction of a house he is building in Melbourne. Premier Investments is also providing rental assistance while the builders do their work.