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Investors are angry that the former Morrisons boss is getting a £1 million bonus after five years of failure

Jun 5, 2015, 12:54 IST

Morrisons investors are angry about what they see as a "vastly excessive" pay deal for former boss Dalton Philips, who was sacked in January over poor sales figures.

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The Telegraph reports that shareholders attacked Philips' pay deal at yesterday's annual general meeting (AGM) in Bradford.

Philips is getting a £1 million ($1.5 million) bonus despite his poor performance and in total Philips' pay package for the year is £2.1 million ($3.22 million). That's despite the fact that 2014, his final year in charge, marked the supermarket's worst performance in eight years.

Irishman Philips oversaw five years of falling profits during his tenure. The prolonged decline meant Morrisons, the UK's fourth largest supermarket, this week came close to dropping out of the FTSE 100 index of Britain's leading companies.

Morrisons new chairman Andrew Higginson defended Philips' pay deal, saying Philips was only being paid according to his contract. But he promised a review of the company's remuneration committee.

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Philips was widely criticised during his time at the helm, most famously by Sir Ken Morrison, the supermarket's founding father, who dubbed the management strategy "bullshit" at last year's AGM.

Other investor gripes at this year's AGM included a call for the return of trolleys that accept £1 ($1.50) coins, a question on why Marks & Spencer has better profit margins and an attack on Morrisons TV ads featuring Ant & Dec.

Sir Ken Morrison this year called for investors to be patient with new management.

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