Ashok Leyland managing director Vinod K Dasari will take a 21% hit in his annual remuneration for the current fiscal to Rs 2.20 crore against the R2.79 crore he drew last fiscal. Hit hard by a 21% drop in overall sales till December 2013, coupled with sluggishness in the economic scenario, particularly on the commercial vehicles front, the board of directors and the compensation committee of Hinduja flagship Ashok Leyland has decided to effect a cut in its managing director's remuneration.
The company has decided to seek shareholdersí nod through a postal ballot notice. Dasari was paid R2.79 crore in 2012-13 and Rs 2.48 crore in 2011-12.
Meanwhile, in the quarter ended December 31, 2013, the company reported a loss of Rs 167.20 crore compared to a profit of Rs 74.14 crore in the same quarter last fiscal. For the nine-month period ended December, the company reported a 21% drop in total sales to 71,141 units compared to 90,546 units in the same period last fiscal. While the M&HCV segment reported a decline of 25% in sales, the LCV segment witnessed a 13% drop in the said nine-month period.
The company said it had reported a net profit of R566 crore and R434 crore, respectively, in 2012-13 and 2011-12, on a turnover of R12,882 crore and R12,543 crore.