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| Pay boosts for Shell and Rolls-Royce bosses despite profits slide | Pay boosts for Shell and Rolls-Royce bosses despite profits slide |
| (about 2 hours later) | |
| The chief executives of UK titans Shell and Rolls-Royce will receive pay boosts despite profits falling last year. | The chief executives of UK titans Shell and Rolls-Royce will receive pay boosts despite profits falling last year. |
| Shell chief executive Ben van Beurden will see his pay package rise 54% to 8.59 million euros (£7.5m) due to a long-term bonus scheme. | Shell chief executive Ben van Beurden will see his pay package rise 54% to 8.59 million euros (£7.5m) due to a long-term bonus scheme. |
| Warren East, the boss of aircraft engine maker Rolls-Royce, will be handed a pay rise and a £916,000 bonus. | Warren East, the boss of aircraft engine maker Rolls-Royce, will be handed a pay rise and a £916,000 bonus. |
| It comes after Rolls-Royce posted its biggest ever loss last year, although underlying profit beat expectations. | It comes after Rolls-Royce posted its biggest ever loss last year, although underlying profit beat expectations. |
| Meanwhile, Sir Martin Sorrell, chief executive of advertising giant WPP, has been awarded £41.5m after securing a maximum payout from the firm's long-term incentive plan. | Meanwhile, Sir Martin Sorrell, chief executive of advertising giant WPP, has been awarded £41.5m after securing a maximum payout from the firm's long-term incentive plan. |
| WPP, which Sir Martin has built into one of the world's largest ad agencies, recorded a 13% rise in pre-tax profit last year. | WPP, which Sir Martin has built into one of the world's largest ad agencies, recorded a 13% rise in pre-tax profit last year. |
| Prime Minister Theresa May and major investors have called on UK firms to justify bumper pay packets for their senior executives. | Prime Minister Theresa May and major investors have called on UK firms to justify bumper pay packets for their senior executives. |
| Pay rise | Pay rise |
| Mr East secured his bonus after the firm exceeded targets on profits - once one-off costs were stripped out - and on cash flow. | Mr East secured his bonus after the firm exceeded targets on profits - once one-off costs were stripped out - and on cash flow. |
| He secured a total pay package of £2.1m for 2016, including the bonus and a £925,000 salary, according to the firm's annual report. | He secured a total pay package of £2.1m for 2016, including the bonus and a £925,000 salary, according to the firm's annual report. |
| His yearly salary is set to then increase by 2% to £943,000 from September. | His yearly salary is set to then increase by 2% to £943,000 from September. |
| Rolls-Royce was pushed to a pre-tax loss of £4.6bn in 2016 after it agreed to pay £671m to settle corruption cases with UK and US authorities and wrote off £4.4bn from the fall in the pound. | Rolls-Royce was pushed to a pre-tax loss of £4.6bn in 2016 after it agreed to pay £671m to settle corruption cases with UK and US authorities and wrote off £4.4bn from the fall in the pound. |
| Mr van Beurden's pay deal last year was boosted by a potential 4.4 million euros from a long-term shares bonus scheme. | Mr van Beurden's pay deal last year was boosted by a potential 4.4 million euros from a long-term shares bonus scheme. |
| His annual salary was little changed at 1.46 million euros, while his annual bonus was cut by a third to 2.4 million euros, according to Shell's annual report. | |
| Shell, the UK's biggest oil company, saw profits fall from $3.8bn (£3bn) to $3.5bn in 2016, due to the cost of its record-breaking purchase of BG Group, and a lacklustre performance from its oil and gas trading arm. | Shell, the UK's biggest oil company, saw profits fall from $3.8bn (£3bn) to $3.5bn in 2016, due to the cost of its record-breaking purchase of BG Group, and a lacklustre performance from its oil and gas trading arm. |
| A Shell spokesperson said: "Shell's executive compensation reflects delivery of our strategy, measured by both short-term and long-term targets. | |
| "There is a clear alignment between the company's performance and our compensation policies." |