Glanbia boss Siobhan Talbot has given up her bonus, which last year was worth almost €1.2m in cash and shares.
It comes 12 months after the Glanbia group managing director agreed a new three-year deal to stay-on in the job with a package that included a 22pc hike in her base salary to €1.05m a year, other benefits, including cash in lieu of a pension contribution, worth €344,000 and the potential for bonuses worth more than those figures combined.
That deal was controversial, with a fifth of shareholders voting against it at the group’s annual general meeting last year.
In its annual report published on Monday Glanbia has said Siobhan Talbot and Hugh McGuire, who leads Glanbia Performance Nutrition business, had both voluntarily waived any bonus entitlement to bonuses in 2020.
Other senior executives will receive reduced bonuses, the company said.
“In light of overall group financial performance in 2019 the Remuneration Committee agreed to implement the Operating Executive proposal to reduce certain 2019 annual bonus awards from the amount otherwise determined on a formulaic basis.”
Managers who will still be paid bonuses this year will be paid only in deferred shares, with no cash element.
Last year Glanbia launched a three year growth strategy targeting annual revenues of €6bn by 2022. However, despite higher sales last year, pre-tax profits fell due in particular to challenges faced by its Performance Nutrition division. Last month Glanbia announced a massive product cull to simplify the Performance Nutrition arm.
Glanbia issued several profit warnings in 2019, with the share price tumbling more than 40pc since this time last year. Chief executive Siobhán Talbot blamed everything from international supply chain issues to tariffs and "geopolitical tension".
Glanbia has capacity to spend €140m on a share buyback in coming months as the group completes a massive product cull within its performance nutrition business designed to refocus the division, according to CEO Siobhán Talbot.