Tesco shareholder block objects to U.S. exec’s pay
New York City A substantial bloc of Tesco PLC shareholders, urged on by U.S. union activists, rebelled against the pay of the retail company’s senior executive in the United States at an annual meeting on Friday. Criticism was directed at the $6.55 million compensation package for Tim Mason, president and chief executive of Tesco’s Fresh & Easy Neighborhood Market division in the United States.
Thirty-eight percent of shareholders voted against Tesco’s remuneration report, which sets out pay for senior executives and directors of the chain.
“The extraordinary opposition vote reflects investor outrage over the excessive pay awarded to Tim Mason, Tesco’s second highest paid executive, despite the dismal performance of the U.S. Fresh and Easy business he oversees,” said Michael Garland, director of value strategies for the CtW Investment Group, which had urged shareholders to oppose the remuneration report.
CtW Investment Group, which works with pension funds sponsored by unions affiliated with Change to Win, a coalition of U.S. unions representing nearly six million members, had called for a vote against the remuneration report. Fresh & Easy has yet to turn a profit since being launched in 2007.
“Tesco shareholders are troubled by the Tesco board’s apparent willingness to modify performance targets to award pay for failure,” CtW’s executive director William Patterson said last month.
As the rebels couldn’t muster a majority, the pay report was approved.
Tesco chairman David Reid said it was important to provide strong incentives to develop Fresh & Easy.
“In almost every country, you incur losses in the first three years. This is nothing unusual,” said Reid, who asserted that losses had peaked, in an Associated Press report.
Target gets set to open in East Harlem
MINNEAPOLIS Target announced that it will open its first store on the island of Manhattan in East Harlem on July 25. According to the company, the store features more space devoted to fresh food, everyday essentials and home basics geared for apartment living. The store is easily accessible with a pedestrian bridge linking mass transit to the store on the second floor of the East River Plaza. A parking deck is also available.
The retailer also said it has tailored the store’s merchandise to reflect the culture of the community. As such, Target said the Harlem store will offer Spanish-language books and movies, multicultural dools and Gospel and Latin music.
As with all Target stores, the new general merchandise store will offer everyday essentials, household products, electronics, clothing and seasonal items. And, it will feature Target’s new expanded food layout offering fresh packaged produce, meats and baked goods, the company reported.
In celebration of the East Harlem store opening, Target said it is launching the Harlem Designer Collections in key stores, predominately on the East Coast, and on Target.com beginning Aug. 1. These collections can be purchased a week earlier at the East Harlem store. The diverse partnership features designs from notables Isabel and Ruben Toledo, renowned designer Stephen Burrows, as well as chef extraordinaire, Marcus Samuelsson.
The IsabelandRubenToledo for Target collection marks the first time Isabel and Ruben have partnered on a retail collection. The collection includes a psychedelic swim assortment with suits and towels in cerulean blues; cutouts and asymmetry make bold statements on one-piece suits ($17.99 to $34.99). The Stephen Burrows for Target collection provides an assortment of knits ($19.99 to $34.99). The Marcus Samuelsson for Target collection offers a range of aprons, placemats, kitchen towels, potholders and napkins, and features an assortment of men’s, women’s and kids’ tees which will only be available at the East Harlem Target store ($3.99 to $19.99).
Amazon.com updates Kindle DX, slashes price
SEATTLE Amazon.com has announced its latest version of its Kindle DX e-reader complete with a lower price, down from $489 to $379. According to the company, the new Kindle DX features a new graphite enclosure and an all new, high contrast electronic ink display with 50% better contrast for the clearest text and sharpest images.
“There’s no turning back once you read on our beautiful new Kindle DX screen,” said Steve Kessel, SVP Amazon Kindle. “With 50% better contrast and darker fonts, you’ll find it easier than ever to read wherever you happen to be, whether it’s outside in bright sunlight or under the low light of your living room. We’re excited to offer the new Kindle DX with free 3G wireless at the lower price of $379.”
The new Kindle DX will begin shipping on July 7, the company reported.