JJB directors are to be incentivised with a reward scheme if they succeed in turning around the fortunes of the ailing sports retailer.
JJB is to call a General Meeting to approve an equity incentive plan to incentivise directors and senior managers.
The plan will award shares to directors Mike McTighe, Keith Jones, Dave Williams and David Adams, alongside several senior managers.
Participants will be able to start receiving new shares if the market capitalisation rises to more than £96.5m. The plan further encourages participants to exceed this hurdle and achieve a target market capitalisation of £193m.
The scheme replaces all earlier long-term incentive plans. Chief executive Keith Jones has relinquished all his entitlements to the 2009 scheme as a result.
JJB non-executive director Richard Bernstein said: “JJB is implementing its turnaround programme. As both a non-executive director and shareholder representative, I believe that it is now appropriate to align shareholders’ interests with those entrusted to deliver on the turnaround. For these targets to be met, a very substantial share price increase will be required. That is the opportunity that I look forward to seeing realised.”