WHSmith chief executive Kate Swann could be in line to receive a further £2.6m as well as her £3.3m salary and share payouts.
The outgoing boss of the books and stationery retailer received £3.3m in salary and long-term share payouts in the final year of her 10-year tenure, according to the company’s annual report.
She could also receive a further £2.6m if long-term incentive plans pay out when she steps down next summer.
After several years of complaints from shareholders over executives’ bonuses, culminating in investors in 30% of its shares failing to back the executive pay committee in 2011, Swann’s successor Steve Clarke is to be paid 8.7% less.
Clarke, who at present runs the retailer’s high street business, is entitled to a maximum bonus of £768,000 and his basic pay will be £480,000. Swann’s basic salary is £525,000 while her maximum bonus is £1.1m.
Clarke has also signed up to a clause that would allow his bonus to be rescinded should any serious problem that would “have warranted summary dismissal” arise.