UTV's directors did not receive any bonuses in 2006 after the Belfast-based television and radio broadcaster failed to reach its earnings target, according to its annual report.

As a result, chief executive John McCann earned £405,891 (€594,441) in salary and benefits last year compared with £529,105 in 2005. That represented a cut of 23 per cent in his pay package and was in spite of a 5.2 per cent increase in his basic salary and fees to £374,500.

Bonuses paid to UTV directors are capped at 50 per cent of their basic salaries at year-end and are dependent on meeting earnings targets. UTV declined to say what target had been set for 2006 but the report states that "earnings growth of 11 per cent is required in order to achieve the maximum 50 per cent bonus in 2007."

It was the second year running that Mr McCann's pay package had declined in value. In 2004, he earned £597,614 in salary and benefits. Mr McCann actually earned more in 2003 than he did last year. Three years ago, his total remuneration was £406,429.

Jim Downey, UTV's commercial director, saw his overall remuneration decline last year by 23 per cent to £174,716.

The nine executive and non-executive directors who served on UTV's board during the year were paid £1 million between them, compared with just over £1.1 million a year earlier.

UTV experienced mixed fortunes in 2006. While its revenues rose by 22 per cent to £113.6 million and its operating profit was up 6 per cent to £27.4 million, its share price in Dublin declined by 20 per cent from €6.50 to €5.19. This was the result of weak TV advertising revenues in Britain.