Our second report on directors’ remuneration in smaller companies has recently been published. Smaller companies are defined as those companies with a market capitalisation of more than £100m which are listed on the London Stock Exchange main market or on the Alternative Investment Market (AIM) but which are not constituents of the FTSE 350 index.  This group therefore consists of most of the constituents of the FTSE SmallCap index and AIM companies with a market capitalisation of greater than £100m.

To provide context and comparison, we have also included analyses of FTSE 250 companies (excluding investment trusts) where this is relevant.

The report provides detailed analyses of basic salary, salary increases, annual bonus payments, details of annual and long term incentive design, pensions, notice periods and termination payments and other aspects of remuneration policy. It also includes analyses of the structure of the board and board committees and the fees paid to non-executive chairmen, deputy chairmen and non-executive directors.

We have included information from the latest report and accounts of companies with a market capitalisation of greater than £100 million (excluding investment trusts), as at 1 November 2007. The data is taken from annual reports and accounts published before this date which includes companies with financial year ends up to and including 31 July 2007, although not all companies with financial year ends of May, June and July 2007 had published their reports in time for this analysis.

We have also included information from shareholder communications on new plans in FTSE SmallCap and FTSE 250 companies, put forward for approval at AGMs up until December 2007. This information is not readily available for AIM companies.

The report on directors' remuneration in smaller companies is available electronically. Please register for your copy.
N.B. This report is not available to Professional Services Firms and individuals. Corporate applications only.