Reckitt Benckiser – AGM 12 May 2020
Item 2: Remeneration report
ECGS seriously questions the work of the Remuneration Committee: it downwards Rakesh Kapoorns bonus to zero considering the quality of earnings, the shareholder experience and the performance of Mead Johnson Nutrition mto ensure it better reflected this overall performance of the Company, during the Company, during 2019'. Despite a £5bn write-off and £898m fine, the Committee only cut Mr. Kapoorns bonus of 12%. No malus or clawback was applied. However, since his appointment in 2011, Mr. Kapoor received £97.6m plus the estimated value of his share outstanding of £29m, which totals to £14m a year. This remuneration is not appropriate given that he left the Company with a £3.7bn loss, increased debt and decreasing results. We have serious questions about the Remuneration committee conduct and lack of appropriate action to recover the incentive payment.
While the shareholders lose their investments, the Committee approved, in addition to the annual remuneration, a generous buyout offered to Mr. Laxman Narasimhan for leaving PepsiCo. We estimated it at a total on target amount of £8.3m and £14.6m for the maximum payout which are based on the PepsiCo performance.
Item 6: Re-elect Ms. Mary Harris
We strongly recommend to oppose the Chair of the Remuneration committee who failed in their duty of paying no more than necessary and not rewarding for failure.
Reckitt Benckiser Group develops, acquires, produces, distributes and promotes consumer products in the health, hygiene and home categories. Co.'s health category covers treatment products such as pain and flu, and also wellness products in sexual wellbeing, footcare, vitamins and supplements. Co.'s hygiene category consists of personal and home hygiene products. Co.'s geographical segments comprise Europe (ENA) and Africa, Middle East (DvM). ENA comprises Europe, Russia/CIS, Israel, North America, Australia and New Zealand. DvM principally comprises North Africa, Middle East (excluding Israel) and Turkey, Africa, South Asia, North Asia, Latin America, Japan, South Korea and ASEAN.
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