REpower chief Tulsi Tanti takes 8 pc pay cut in 2009-10
Wind power maker REpower Systems AG chief Tulsi Tanti has taken an 8 per cent pay cut in 2009-10 while the collective compensation paid to board members has increased by more than 2 per cent over the previous fiscal.
The remuneration for 2009-10 fiscal to Tulsi Tanti, among the richest persons in Asia with a net worth of USD 930 million in 2008 as per the Forbes magazine, is still higher than any other director of REpower, according to the annual report of Germany-based firm, which is controlled by India's Suzlon Energy.
Tanti was paid around 32,000 euros (USD 39,267) in 2009-10 against 34,833 euros (USD 42,743) in 2008-09.
Apart from Tanti, the payment of one of the board members, Alf Trede, also declined in FY'10. Trede saw his salary falling to 16,000 euros in FY'10 from 17,417 euros in 2008-09.
But, other directors of the company saw their pay packages rising from the levels in 2008-09. The remuneration of Girish R Tanti, one of the key supervisory board member, increased to 16,000 euros from 12,750 euros.
Like any other German company, REpower has a dual administrative structure, consisting of the executive board and supervisory board. The two boards saw their collective payments rising from the levels in 2008-09.
The company's total supervisory board remuneration rose to 1,20,000 euros in 2009-10, from 1,17,125 euros, and commission paid to executive directors also grew to 19,28,118 euros from 16,63,743 euros.
According to the company, supervisory board members are entitled to reimbursement of expenses, fixed salary and variable payment.
"Each supervisory board member, in addition to a reimbursement expenses, is entitled to a fixed remuneration of 15,000 euro per fiscal year. Moreover, the members have claim to variable compensation of 1,000 euro for each full percentage point by which the consolidated earnings margins before taxes and interest determined has increased compared with the previous year.
The variable remuneration may be capped at an amount of 20,000 euros per fiscal year," it added.
While the report said the chairman of the supervisory board and is entitled to receive twice the aforementioned remuneration, the deputy chairman of the board is entitled to receive one and a half times such remuneration.
Tulsi Tanti's pay included 30,000 euros fixed salary and 2,000 euros variable remuneration.