Profits growth sends BPI directors’ bonuses over £420,000

Executive directors at plastic packaging maker British Polythene Industries (BPI) shared bonuses of more than £420,000 after strong profits growth last year.

The Greenock company’s latest annual report showed that chief executive John Langlands received a £119,000 cash bonus and £170,000 in shares for the company’s 2011 performance.

Together with his £340,000 salary and benefits, his total package was £660,000, up from £640,000 the previous year.

Group finance director David Harris received a total of £140,000 in bonuses as part of a £333,000 package, up from £329,000.

Chairman Cameron McLatchie received £275,000 in salary as part of a £283,000 package. Total boardroom pay rose to £1.51m from £1.45m.

Last month BPI said it was “in better shape than ever” after a strong performance in Europe helped profits grow by 21 per cent last year.

The firm – which makes packaging for industries such as retail, construction and agriculture – said that investment in equipment for its factories on the Continent had improved capacity and product quality.

Langlands said the company was seeing growth in the more resilient areas of the economy such as agriculture and the retail food chain, which now make up a third of sales.

Adjusted profit before tax was £19.1m in 2011, up from £15.8m the year before. BPI has also faced a volatile market for its main raw material, polyethylene polymer, in recent years.

Improved cash generation meant borrowings were reduced from more than £46m to £31m during 2011.