New Halfords boss rides off with £1.82m after 75 days’ work

Graham Stapleton

The new Halfords chief executive earned £1.82m, despite only being employed at the company for the final 75 days of the financial year.

Graham Stapleton started work at the bicycle and car parts retailer on January 15 after 12 years at Dixons Carphone, where he rose to chief executive of the group’s software business Honeybee. He replaced outgoing boss Jill McDonald, who joined Marks & Spencer last September.

The package to attract him included an agreement to pay a compensation bonus and replacment bonus, of £696,000 and £269,000 respectively, and he will be granted an award of 185,872 shares equating to £589,000 in 2021.

He also received a pro-rated part of his £535,000 annual salary, was paid a bonus of £116,000 for the performance of Halfords while he was chief executive and received other benefits of nearly £16,000.

Jonny Mason, the finance director who became interim chief executive before leaving the company, earned £655,000, while McDonald received £295,000.

During its 2018 financial year Halfords saw a 5% drop in underlying pre-tax profits, to £71.6m.

Retail, which accounts for around £5 of every £6 the Redditch group generates, saw margins squeezed despite increased sales. However its autocentres were able to lift its gross margins despite only generating a slight improvement in revenues.

Last month Halfords unveiled the former executive chairman of British Airways Keith Williams as its non-executive chairman, replacing the departing Dennis Millard.

Halfords’ AGM, which takes place in Birmingham on July 24, will be asked to approve the directors’ remuneration report.

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