Rarely has a company's annual report been as keenly anticipated as that published by the Jefferson Smurfit Group yesterday. And for good reason. Irish public companies were dragged into a regime of full disclosure of what their directors are paid only under threat of legislation from the Tanaiste, Ms Harney.

Given the contents of the Smurfit annual report published yesterday, shareholders have good reason to be grateful that plcs were forced into a reporting regime where shareholders receive information to which they are perfectly entitled. So far, only Allied Irish Banks and Jefferson Smurfit Group have produced annual reports where remuneration is broken down to individual directors.

The AIB report produced few surprises. AIB's executive directors are paid very well, with chief executive Mr Tom Mulcahy earning almost £1 million (€1.27 million) in salary, bonus and other elements of his package.

But AIB shareholders have little reason to quibble. Shareholders have received a steady income from dividends and have seen their shares rise from under €2 10 years ago to more than €11 today.

Smurfit shareholders have had an altogether different experience. Under the tutelage of Dr Michael Smurfit, the group has lurched through the cyclical troughs and peaks of the international packaging industry. Smurfit shares bought 10 years ago are worth less now - and that does not even take into account the effect of inflation on their investment.

Against that background, the Smurfit group's remuneration committee deemed it appropriate to pay Dr Smurfit more than €4.6 million last year. That included a €3.1 million bonus for a period when Smurfit's shares fell 40 per cent from their 2000 high.

The same remuneration committee - Mr Peter Gleeson, Mr Ray MacSharry and Mr James Thompson - also deems it appropriate to pay Dr Smurfit's two brothers more than the chief operating officer to whom they report. Remarkably, the annual report does not attempt to explain this inconsistency.