N Brown investors set to revolt over executive bonuses
An influential N Brown investor has asked shareholders to vote against the retailer’s remuneration policy at its annual general meeting on Tuesday, saying that executive bonuses are not linked closely enough to performance.
ISS issued the recommendation to shareholders ahead of the group’s 2018 annual general meeting taking place on Tuesday in Manchester.
The backlash comes after months of decline in the stock market, with N Brown shares falling by more than a third since the beginning of the year. In the first quarter, the owner of Jacamo and Simply Be blamed the challenging conditions in the UK retail market and a double-digit comparative for its flat revenue.
In fact, the group’s product revenue (derived from its fashion operations) tumbled by 2.8% during the first quarter, while its financial services helped boost the total figure with a 9% increase.
In light of these results, CEO Angela Spindler announced in May that a consultation process has been launched to review the future of several of its stores and colleagues. The retailer could potentially close as many as 20 stores across the UK, according to reports.
This week, N Brown sought to reassure investors by saying it takes the "views of shareholders and other bodies seriously" and is open to feedback.
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