CONTROVERSIAL plans to give Corus management "achievable" bonuses came under fire at the company's annual meeting.

The firm's remuneration committee put forward proposals for salary-enhancing payments that were not wholly linked to the company registering a profit.

Previous rules on bonuses requiring Corus made large profits had never been tested as the company made substantial losses since its creation from the merger of British Steel and Hoogovens.

The £828,000 salary of new chief executive Phillipe Varin was also referred to and the board was asked to explain why bonuses were being paid to executives this year amid continuing losses and job cuts.

A majority of shareholders attending the meeting in London voted against accepting the remuneration report from the company, but proxy votes meant that the policy was overwhelmingly accepted.

At the start of the meeting, the chairman of the company's remuneration committee, Eric van Amerongen, said executives would have to achieve financial performance targets before being paid bonuses.

There would have to be a "demonstrable improvement" in the company's financial performance, said Mr van Amerongen, who added: "We are setting demanding targets requiring real and tangible improvements before any bonus payments are made."