(Reuters) Activist investor TCI has upped the pressure on loss-making German carmaker Volkswagen (VW), demanding it overhaul its “excessive” executive pay scheme as part of a plan to boost profits and end years of “mismanagement.”
Beset by a diesel emissions cheating scandal and fresh from posting a record loss of 1.6 billion euros ($1.8 billion) for 2015, investors have been riled by news Volkswagen’s top bosses would get millions in bonus payments.In a letter to the executive and supervisory boards, seen by Reuters, Chris Hohn, founder of the $10 billion London-based hedge fund TCI, said paying such large rewards when the company performs poorly was exacerbating its problems.
