Air New Zealand chief executive Rob Fyfe will be paid an increased cash bonus for his performance during the past financial year.
Although his base salary remains frozen at $1.2 million, his short-term bonus for the 2008-2009 year will increase from $287,100 to $1,240,800. That will be paid next year.
The airline yesterday reported an adjusted profit of $118 million. Although that is down 19 per cent on the previous year, it is among a small group still in the black.
Chairman John Palmer said Mr Fyfe had outperformed his targets, which were not based just on comparing year-on-year financial performance by Air New Zealand, but comparison to other carriers. Leadership, strategy development, balance sheet strength and dividend flow are also taken into account.
Mr Fyfe was paid a total of $3.09 million following the 2007-2008 year and $2.28 million from the past year.
He said with the addition of long-term share incentives that could top $3 million in next year's figures.