Go Back   Eurocardsharing > General Discussions > General Satellite News > Latest Satellite News

Latest Satellite News Discussion, Update Ouch! Virgin Media cuts top bonuses at General Satellite News forum; Ouch! Virgin Media cuts top bonuses UK cable is famous for the rewards it hands out to its hard working ...

LinkBack Thread Tools Display Modes
Update Ouch! Virgin Media cuts top bonuses
Bacteria's Avatar
Posts: 96,016

Level: 124 [♥ Bé-Yêu ♥♥ Bé-Yêu ♥♥ Bé-Yêu ♥♥ Bé-Yêu ♥♥ Bé-Yêu ♥]
Life: 4638 / 4638
Magic: 32005 / 90598
Experience: 68%

Thanks: 1,107
Thanked 5,577 Times in 1,419 Posts
Join Date: Oct 2006
Age: 35
Update Ouch! Virgin Media cuts top bonuses - 13-April-2008, 16:10

Ouch! Virgin Media cuts top bonuses

UK cable is famous for the rewards it hands out to its hard working executives. One UK headline described this year's bonuses as being "slashed". We are not so sure.

Virgin Media, despite missing some key targets during 2007, still managed to award its top six staffers with just over $20m in terms of bonus and share benefits. In fairness this is well down on the $50m shelled out in 2006 (amongst 7 execs), but still sounds like a decent reward for a 9am-5pm job, and a business that still has some major challenges.

For example, and key to the drop in bonus payment, Virgin Media's operating cash flow last year fell from 342m to 321m.

Steve Burch, now yet another name in a hugely long list in CEO's at either NTL or Telewest (now united as Virgin Media) who left unexpectedly in August last year saw his pay and benefits fall from $11.4m to $3.4m, mostly made up of his two-times final salary compensation payment of $1.5m. The current CEO is Neil Berkett, and he must really be suffering the loss in bonus which brings his total package down from $5.1m (when he was only COO) to a miserable $4.3m when he was acting CEO. He has just been promoted to full CEO so can confidently look forward to either a handsome bonus at the end of this year, or an equally generous compensation package when he also unexpectedly leaves, whichever happens sooner.

Virgin Media's executive chairman Jim Mooney's package fell from $7.29m to $5.19m. Virgin Media failed to make its operational cashflow targets last year. Virgin Media's share price has reflected the high opinion the market has for Virgin, tumbling, deteriorating, falling, collapsing and generally not doing very well, from $29.39 a share last July to just $14 now. Oh to be a UK cable boss! It's the closest thing to a licence to print money.

On April 9 Virgin Media went to the markets again with an offer for $1bn of convertible senior notes, due 2016, in order to pay down a portion of its senior debt.
Reply With Quote


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off

Forum Jump

ECS on RSS ECS on Twitter ECS on Facebook ECS on Youtube
Follow us on:

Powered by vBulletin
Copyright 2002 - 2010, Jelsoft Enterprises Ltd.
SEO by vBSEO ©2011, Crawlability, Inc.