Harvey Norman
(ASX:HVN) wants to lower the performance hurdles on stock options for its six executive directors as the retailer’s share price fails to get back to its 2007 highs.
Yesterday the company called an extraordinary meeting for April 30, for shareholders to approve the issue of 17.5 million options to executive directors, including Chairman Gerry Harvey and his wife.
Harvey Norman shares are trading around half of the $7.15 exercise price for executive options issued in 2007.
The Australian Finance Review reports that Harvey Norman wants to restore long term incentives for directors and that over the past seven to eight years executives haven’t made money on the options issued.
Mr Harvey is hopeful that shareholders will vote in favour of the resolution.
Harvey Norman’s 2009 net profit was $214 million, that result is lower than the two years before.
