By Eamon Quinn
Pay for four directors at stock market-listed Leinster house builder Cairn Homes increased to €2.2m last year from just over €2m in 2016, its annual report shows.
Total pay for chief executive Michael Stanley and co-founder Alan McIntosh fell to €797,000 and €525,000 respectively as they received lower annual incentive bonuses, while the pay for Eamonn O’Kennedy and Tim Kenny increased.
Mr O’Kennedy left as group financial director in August and was replaced by Mr Kenny during the year.
The report of the remuneration committee said that “whilst the team have performed exceptionally well, annual incentives are effectively decreased year over year as the ‘hurdle’ for high performance continues to rise”.
It said that its new long-term incentive plan “will further incentivise and align staff to group performance”.
However, the remuneration at Cairn is overshadowed by the huge payments in shares awarded in so-called founder shares to Mr Stanley, Mr McIntosh and Kevin Stanley.
Last August, Cairn paid out over 38.68m in shares worth €60m to this founder group, which are subject to lock-up periods and other conditions.
The annual report shows that Mr Stanley owned over 16.16m ordinary shares and Mr McIntosh owned 36m shares at the end of December.
Mr Stanley said that continuing strong demand from first-time buyers will help it complete more than 800 homes this year and help it achieve its 20% gross margin target. From 2020, it expects to complete up to 1,400 sales a year.