Virgin Australia executives' pay packages shrink VIRGIN Australia chief executive John Borghetti's remuneration fell marginally last financial year as he missed out on long-term incentives worth almost $1 million because of the airline's $98m annual loss. The airline's annual report shows that Mr Borghetti received $2.658m compared with $2.7m the year before, but his package would have been $993,000 better off if long-term incentives related to financial performance had been awarded. The figure included a base pay of $1.65m, up from $1.3m the previous year, a cash bonus of $775,000 and shares from the short-term incentive program worth $147,000. A Virgin spokeswoman said the short-term bonuses included the completion of strategic goals such as the implementation of the Sabre reservations system and the acquisitions of regional carrier Skywest and the majority stake in Tigerair Australia. Mr Borghetti's Qantas rival Alan Joyce took home $3.3m, up from $2.8m the previous year when he forwent a bonus due to Qantas posting an annual loss. Mr Joyce's base pay remained unchanged at $2.1m. On a statutory level, which includes shares that did not vest, Mr Joyce was at $5.1m compared with Mr Borghetti's $3.65m. Other Virgin executives' pay packages also shrunk. Chief financial officer Sankar Narayan's package fell from $1.545m in fiscal 2012 to $1.275m while chief operating officer Sean Donahue earned $1.183m last year compared with $1.383m the previous year.