Diageo chief executive Paul Walsh was awarded a £1.5 million bonus last year to take his total annual remuneration to £2.28 million, according to the latest report and accounts from the international drinks company.
This represents a 30 per cent increase over the £1.75 million he was paid in 2000-01. Walsh, who was appointed chief executive in September 2000, has overseen the repositioning of Diageo's premium drinks portfolio which included last year's purchase of the Seagram drinks business for $1.8 billion.
"Paul has been instrumental in leading the business forward over the past two years and his salary package this year reflects this," a Diageo spokeswoman said. Diageo has also sold its Pillsbury foodstuffs business and its Burger King hamburger chain to focus on its core drinks activities over the past year.
Group operating profits in the year to June 2002 rose by 9 per cent to £2.12 billion, with the premium drinks business accounting for £1.77 billion. The group also returned £1.7 billion to shareholders last year.