Michael Clarke, the CEO of Treasury Wine Estates, has just been given a $500,000 pay rise, bringing his base pay to $2.2 million.
It’s his first increase since he started in the job two years ago but is still below the average $3.8 million paid to chief executives of ASX 200 companies.
Treasury Wine Estates is part of the ASX 200.
Chairman Paul Rayner says Clarke’s global vision and leadership have been critical to achieving outstanding results.
“The board believes it is entirely appropriate to recognise this through an increase in his fixed remuneration,” says Rayner.
Clarke has returned the company to profit by cutting costs and by shifting emphasis to more high-end wine sales rather than big volumes.
Treasury Wine Estates posted a 42% rise in profit to $60.6 million for the latest half year. Sales gained 22% to $1,138 billion.
And the company is finding a growing market in Asia with the appetite for the big taste of Australia’s Penfolds and Wolf Blass wines growing in China.
Today Clarke also received another 44,455 performance rights shares under long term incentive plans.
At yesterday’s close of $9.37, these are worth $416,543.
According to documents lodged with the ASX, Clarke is entitled to 1.573 million shares under various incentive plans, currently worth about $14.7 million.
Clarke has dual Irish/South African citizenship and is an Australian resident.
He has held senior executive roles at Kraft Foods, Coca-Cola Company and Reebok International. He was CEO of the UK company Premier Foods where he led a significant turnaround of the business.