M&S boss gets £600,000 bonus despite bleak results

Steve Rowe took charge at Marks & Spencer in April last year. Picture: Adrian Brooks/Imagewise
Steve Rowe took charge at Marks & Spencer in April last year. Picture: Adrian Brooks/Imagewise
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Marks & Spencer chief executive Steve Rowe has been handed a near-£600,000 bonus despite annual profits tumbling by 64 per cent at the high street chain.

The retail giant’s annual report revealed it paid Rowe £1.6 million in pay and bonuses, although all executive directors missed out on share awards under a long-term incentive plan after failing to hit targets.

• READ MORE: M&S profits slump as clothing sales go into reverse

Rowe, who was promoted to his current role in April last year, picked up a £599,000 bonus on top of his £810,000 salary and £234,000 in pensions and benefits.

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The report also showed he could be in line for a total pay package worth up to £4.7m in cash and shares over the year to April if all targets are met in full.

His pay details come just weeks after M&S reported a gloomy set of annual results, which showed profits diving by nearly two-thirds to £176.4m, while sales in its clothing arm also plunged back into reverse.

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News of his bonus also follows controversial changes to M&S workers’ pay and pensions, although the group has pledged to top up salaries for those worse off as a result of the changes.

• READ MORE: Marks & Spencer to axe 30 clothing stores as profits plunge

Rowe has been leading an overhaul at the group, announcing plans in November to close around 30 UK stores and convert 45 more into food-only shops, while also pulling out of ten international markets.

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