Sacked AA boss may lose £150m in shares
A HUGE legal battle is brewing between the AA and its sacked boss over a bonus worth up to £150million.
Executive chairman Bob Mackenzie, 64, was fired for what the road recovery firm called ‘gross misconduct’.
His departure sent the AA’s share price crashing amid rumours of an altercation with a colleague in a bar.
Three years ago he oversaw the firm’s £1.4billion stock market listing and if certain targets are hit in the next few years he stands to be handed 33million shares under a controversial bonus scheme – and these could be worth as much as £150million.
One source said the sacking followed a ‘Jeremy Clarkson’ moment – an apparent reference to the former Top Gear present-
‘He is very unwell and is in hospital’
er’s dismissal from the BBC after he punched a producer.
But Mr Mackenzie’s family hit back by suggesting he had resigned rather than being fired, and has since checked into hospital with mental health problems.
He was both chairman and chief executive of the AA, a combination of roles which is frowned on by many in the City because it concentrates a large amount of power in one person’s hands.
The AA is now braced for a courtroom battle over whether its decision was justified – and whether Mr Mackenzie will receive the lucrative bonus. Insiders said the scene was set for a courtroom fight over whether Mr Mackenzie was a ‘bad leaver’, which would mean he forfeits all the shares for just 1p. All the details of what happened will be made public if the case ever goes before a judge.
However, it is understood that so far even leading shareholders in the AA have been given no information beyond what was in the short stock market statement announc- ing Mr Mackenzie’s sacking on Tuesday. The AA declined to comment yesterday but Mr Mackenzie’s son Peter rejected its allegations of misconduct, saying that his father tendered his resignation due to acute ill health.
He said: ‘A consultant clinical psychologist advised him last week that he needed to take at least six months’ leave. He is very unwell and has been admitted to hospital.’ Stephen Martin, director general of the Institute of Directors, said: ‘This story is an important reminder of the reason why the corporate governance code calls for separation of powers between chairman and chief executive.
‘There would have been considerably less uncertainty this morning had the company not lost its two most senior positions with the removal of one individual.’