N Brown Group’s executives could be refused their bonuses as shareholders are poised to vote on it tomorrow.
The Simply Be and Jacamo owner’s shareholders have been advised shareholder advisory firm ISS to vote against the proposed bonuses.
ISS has said the proposed renumeration policy should be rejected as they are not representative of job performance.
This follows last month’s news that N Brown would be shutting 20 stores, threatening 240 jobs and incurring a one-off cash cost of between £18 million and £22 million if it closes all 20 stores.
The announcement was made amid N Brown’s first quarter report for the 13 weeks ending June 2, where it recorded a 0.4 per cent dip in group revenue and 2.8 per cent drop of product revenue.
“The Board takes the views of shareholders and other bodies very seriously and will consider feedback provided as part of its commitment to maintaining the highest governance standards,” the company’s board stated.
“The Board has proactively engaged with investors on its remuneration policy. The targets that were set for the year ending February 2018 were seen as stretching and the Committee are comfortable that the targets were achieved.”