Mariah eyes Packer’s hand­some pay

NewsMail - - NEWS - – John Rolfe

JAMES Packer is eat­ing into his pri­vate com­pany’s sav­ings by pay­ing him­self up to hun­dreds of mil­lions of dol­lars more than the profit the busi­ness has been mak­ing.

The lat­est ac­counts from Con­sol­i­dated Press Hold­ings re­veal Mr Packer paid him­self a div­i­dend of

$186 mil­lion in 2016-17, even though the com­pany made a bot­tom line profit of

$73 mil­lion.

In the pre­vi­ous fi­nan­cial year, the 50-year-old ty­coon paid him­self div­i­dends of $252 mil­lion – four times the com­pany’s net in­come of $64 mil­lion.

It’s un­der­stood Mr Packer boosted his pay­outs for two rea­sons: CPH has low­ered its debt and it got a wind­fall from Crown Re­sorts.

The amounts Mr Packer is tak­ing from CPH show a seis­mic shift in the way he runs his pri­vate com­pany.

In the eight prior fi­nan­cial years to 2015-16, his div­i­dend was less than what the com­pany earned.

Now he is pay­ing him­self more than com­pany prof­its by dip­ping into CPH’s sav­ings – its re­tained earn­ings.

Curtin Univer­sity ac­count­ing ex­pert Lee Smales said Mr Packer could “pretty much do as he pleases – in­clud­ing mak­ing a pay-off to Mariah Carey”.

Mr Packer faces re­ported de­mands for a multi-mil­lion­dol­lar pay-off from the en­ter­tainer.

The cou­ple split in Oc­to­ber 2016 af­ter dat­ing for 18 months. She re­port­edly asked for a $50-mil­lion set­tle­ment.

EX­PEN­SIVE BREAK: Mariah Carey and James Packer.

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