“Retiring” boss set to get Granada gold

Gerry Robinson, the chair of media and hospitality group Granada, is set to receive almost £10 million from the group over the next three years, even though he will only be acting as a consultant to the company. Robinson can expect to pocket a windfall of about £6million after tax as a result of cashing in his share options in Granada following its merger with contract caterer Compass (see page 13-14). He is due to step down from the board once the merger is completed, but plans to continue working for the combined group, to be called Granada Compass, as a consultant until he turns 55 in October 2003. He will continue to receive his current annual salary of £1,050,000 plus benefits during the period.

Other Granada directors will also benefit. Charles Allen, chief executive, can expect to pocket around £4 million after tax from his share options. However, Allen, who is due to be chair of Granada's media division when it is spun off next month, is expected to reinvest many of his shares in a new investment scheme. Granada Media is to introduce a commitment scheme that will allow senior executives to invest between one and three times their annual salary in shares. Depending on the performance of the shares, that investment will be matched with free shares and options.

Another Granada director, Graham Parrott, has already made a profit before tax of £1,296,043 on four sets of options during the merger period.