Media Releases
STATEMENT ON EXECUTIVE REMUNERATION
Published on 15th September 2017

Statement from Leigh Clifford AO, Qantas Chairman

Qantas has today released its annual report for the 2017 financial year, including disclosures on executive pay.

When we started our turnaround program three years ago, we set very clear performance targets for senior management and linked them to the bonus scheme. About 97 per cent of shareholders voted to approve this approach.

The Qantas turnaround was designed and led by the management team, and the results are clear. Qantas is now one of the best performing airline groups in the world. The company’s market value has risen from $2.5 billion to $10 billion. We have generated around $3.5 billion in profit. We have strengthened our balance sheet, delivered strong returns to shareholders and ordered new aircraft.

The share price has risen by about 350 per cent over three years. And the value of executive bonuses, which are mostly paid in Qantas shares, have risen with it. Shares that were worth $1.26 when they were awarded in 2014 are being paid out when they are worth $5.72. In the case of Alan Joyce, the rise in the share price increased his total remuneration from $10.1 million to $24.6 million.

There is no question that these pay outcomes are high. That’s because they reflect the company’s exceptional performance, including our top ranking for total shareholder return among global airline peers and every company on the ASX100.

For a business that was facing an uncertain future three years ago, and was in no position to pay bonuses to any of its people, the fundamentals that underpin today’s pay disclosures show how far we have come.”

ADDITIONAL INFORMATION

© The Official News Room of Qantas Airways Limited ABN 16 009 661 901