Edit

ID NEWS: Pay package for new Ahold ceo causes furor

A generous remuneration package of approximately $10 million for Anders Moberg, new ceo of Royal Ahold, Zaandam, The Netherlands, has created a backlash for the international giant's supervisory board.

Reuters reports that Dutch pension funds, local media, a company union official and investors are indignant at the size of the package, considering the problems with which Ahold is beset. Not least among these problems is several years of overstated profits of more than $800 million that were discovered at its U.S. Foodservice subsidiary, Columbia, MD, earlier this year. Among the most vociferous protesters, says Reuters, are the Netherlands' two largest pension funds, PGGM and ABP, which own a combined 1% of Ahold.

The controversy could force the supervisory board to resign, according to the report. "All the international problems were under this supervisory board. We expect a supervisory board to supervise. They have failed. They are responsible," Reuters quotes FNV union representative Jos Brocken as saying.

Ahold, for its part, supports the package as in line with that of Moberg's peers in retail groups outside the Netherlands.
. . . . .
For news analyses and all market intelligence to help you grow your customers' business, sign up for ID Report by visiting:
http://www.idmagonline.com/idmagazine/mgmt_report_signup.jsp

Trending

More from our partners