MEC's losses last year were most significantly impacted by an $81.7 million writedown for several of its properties. That compares to $13.8 million in writedowns during 2002 when the company lost $14.4 million, or 14 cents a share.
Magna Entertainment Corp. chief executive officer Jim McAlpine received a $200,000 bonus last year for his "contribution to the growth and development of MEC during fiscal year 2003," according to proxy material being circulated.MEC, which lost $105.1 million, or 98 cents a share, in 2003, paid over $1 million in bonuses and severance payments to three executives, according to the Toronto Globe and Mail.In addition to McAlpine's bonus, former chief operating officer Roman Doroniuk, who resigned Oct. 30, received a $350,000 bonus and $250,000 severance payment. Ed Hannah, who resigned as executive vice president of corporate development Aug. 29, received a bonus of $233,618.McAlpine's base salary was $409,600 with an annual contractual bonus of $400,000. The additional bonus, which pushed his total compensation over $1 million, was awarded by the company's corporate governance, human resources and compensation committee.In awarding the bonus, it wrote: "This committee remains mindful of the significant amount of executive talent needed to successfully face the many challenges of building a company such as MEC, but is also conscious that profit levels must be taken into account in setting the incentive compensation of the chief executive officer."