TRINITY Mirror is said to be taking seriously concerns raised by top shareholders about the rewards bestowed on chief executive Sly Bailey, ahead of the media group’s results on Thursday.
The company’s top shareholders – Schroders, Aviva Investors, Standard Life and Legal & General – collectively own 42 per cent of Trinity Mirror and have been meeting with the company’s chairman-elect David Grigson regarding Bailey’s seemingly disproportionate pay.
Bailey, who joined the publishing group nine years ago, has earned more than £12m in salary, bonuses and other rewards – while the company has lost 90 per cent of its value.
But the board of Trinity Mirror, which publishes the Daily Mirror and the People, is expected to discuss the issue over the next few days and will have a solution to present to shareholders at Thursday’s results.
Numis analyst Lorna Tilbian forecast the group will post pre-tax profits of £91.1m – a 10 per cent drop on last year – with no expected dividend.
In fiscal 2010 Bailey earned £750,000 and pocketed a £660,000 bonus as well as thousands of shares and a £248,000 pension contribution.
Shares on Friday closed at 41p, valuing Trinity Mirror at £105m – down from a stock price of just under £4 when Bailey joined in February 2003.