Hermès will pay its outgoing chief executive Patrick Thomas nearly $1.3 million a year from 2014 to 2017 as part of a 10-year non-compete deal he signed with the luxury goods company. According to the company's last annual report, Thomas, 66, received total remuneration of $2.69 million last year and will receive $1.3 million annually for four years based on an agreement signed with Hermès. The 176-year-old luxury goods maker, known for its printed silk scarves and Kelly bags, said the non-competition deal was signed on November 20th.
In 2004, Thomas became the first person to take the reins of the French luxury goods group who was not a descendant of founder Emile Hermès. He had been group managing director from 1989 to 1997. Thomas will step down in early 2014, leaving Axel Dumas, a sixth-generation descendant of the French company's founder, as chief executive, a role which he had been sharing with Thomas since June as part of an agreed transition.