Former Mothercare chief executive Ben Gordon has received a £5m severance package.
Gordon’s package includes a £658,000 payment for loss of office and £3.97m from a long-term incentive plan that vested when he exited the retailer in October.
Gordon, who spearheaded Mothercare’s international expansion, left “by mutual consent” following three profit warnings last year. It has been squeezed by supermarkets and online players on its home turf and is shutting 110 stores, leaving it with 200 shops.
Mothercare posted a group pre-tax loss, after exceptional and other items, of £102.9m in the year to March 31.
Former Lovefilm boss Simon Calver took over as chief executive at the end of April.