ScottishPower ex-directors scoop £10m pay-off deals

THREE former ScottishPower directors, including ex-chief executive Ian Russell, left the utility giant with packages worth some £10 million in total, it emerged today.

Mr Russell, who was unseated earlier this year when the group brought in former Allied Domecq boss Philip Bowman as chief executive, received the biggest payout.

According to reports today, he left with a package worth some 4.6m, made up of about 750,000 in basic salary, 100,000 in benefits, 300,000 of pension contributions, plus potential gains on share options and under the long-term incentive plan of 2m and 1.5m respectively.

Meanwhile, Charles Berry, the former head of ScottishPower's UK arm, left with a package worth about 2.4m, comprising a basic salary of around 420,000, some 60,000 in benefits, 198,000 of pension contributions and respective gains on share options and under the long-term incentive plans of 1.1m and 600,000.

Last September, ScottishPower surprised the City by parting company with Mr Berry and fellow director David Nish.

The move was seen as one of the most dramatic boardroom culls in recent Scottish corporate history, and came shortly before German utility heavyweight E.ON announced it was pondering a bid for ScottishPower. E.ON walked away after its ultimate 10.7 billion bid was rejected.

It is understood that Mr Nish left with a payout worth about 2.7m, including respective potential gains on share options and under the company's long-term inventive plan of 1.3m and about 700,000.

A spokesman for ScottishPower said: "The severance payments are based entirely on contractual entitlements."