07/04/2020
S430 Announcement
Section 430 (2B) Companies Act Statement – Mike McCollum
As announced to the London Stock Exchange on 3 April 2020, Mike McCollum stepped down from the Board as Group Chief Executive Officer with immediate effect.
The following information is provided in accordance with section 430 (2B) of the Companies Act 2006.
In accordance with Mike McCollum's service contract, the following payments will be made:
- 12 monthly payments of £50,560 covering 12 months' base salary, pension and benefits from 1 May 2020.
- The Remuneration Committee has used discretion to allow Life assurance and private medical insurance will continue for 12 months from 1 May 2020.
- The Remuneration Committee has determined that good leaver treatment should apply to the 2020 annual bonus for FY2020, which will be based on the original performance conditions, pro rata to 1 April 2020. 20% of any annual bonus will be deferred in shares for two years.
- The Remuneration Committee has determined that good leaver treatment should apply to 2020 Deferred Bonus Plan awards to be granted shortly in respect of the 2019 annual bonus and any Deferred Bonus Plan awards granted in early 2021 in respect of the 2020 annual bonus. These will vest at the normal time together with any dividend equivalent payments.
- No Long Term Incentive Plan awards will be granted in FY2020. The Remuneration Committee has determined that good leaver treatment should apply to outstanding Long term Incentive Plan awards granted in March 2018 and June 2019 over 31,253 and 80,741 shares respectively and will be capable of vesting at the normal vesting date after three years, together with any dividend equivalent payments, subject to the achievement of the performance conditions and in each case will be scaled back pro rata for the proportion of the performance period that has elapsed to 1 April 2020. The 2 year post vest holding period will continue to apply to all vested awards.
- Other vested but unexercised LTIP and deferred annual bonus awards, which are structured as nil cost options, may also be exercised.
- A severance payment of £85,000 gross will be paid to settle any potential claim for unfair dismissal, £30,000 paid immediately and the balance at £4,583 per month for the subsequent 12 months,
- Clawback and malus provisions will continue after cessation of employment.
Other than the amounts disclosed above, there are no other remuneration payments or payments for loss of office. Full details of the leaving arrangements will be set out in the Company's Remuneration Report for the financial year ending 25 December 2020, which will be published in March 2021.
Tim George
Company Secretary
7 April 2020