Anger over Anheuser-Busch InBev’s €1bn bonuses

ANGER is brewing over executive bonuses totalling more than €1 billion (£836 million) at Anheuser-Busch InBev triggered after the beer producer cut its huge debt two years ahead of target following the acquisition of the maker of Budweiser.

Directors’ bonuses were tied into how rapidly the world’s biggest brewer could cut debt and, with the target now reached, chief executive Carlos Brito is in line for a windfall of more than €100m, with 40 executives in total reaping the rewards.

Belgian MP Dirk Van der Maelen said: “No one can be worth that kind of money. Indeed, companies with the highest bonuses are not necessarily the best run. Just look at the financial sector.”

The brewer of Beck’s and Stella Artois reported earlier this month in its full-year results that net debt had fallen sharply by the end of 2011 to trigger the options, half of which are due to vest at the start of 2014.

Belgium-based Inbev took over Budweiser-brewer Anheuser Busch in late 2008 and then rapidly sold off non-core business and cut costs at the US brewer dramatically to bring its hefty debt down sharply.

One AB InBev shareholder said: “Clearly, the Anheuser Busch acquisition has been good for shareholders but, in hindsight, the bonuses were set very generously considering the cash-generative nature of brewing and the programme of disposals the group had agreed.”