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LONDON (AP) - A substantial bloc of Tesco shareholders have rebelled against the pay of the retail company's senior executive in the United States.

Thirty-eight percent of shareholders at an annual meeting on Friday voted against the remuneration report, which sets out pay for senior executives and directors. Criticism was directed at the 4.3 million pounds ($6.55 million) compensation package for Tim Mason, president and chief executive of Tesco's Fresh & Easy supermarket venture in the United States.

That was half a million pounds better than the previous year, although Fresh & Easy has yet to turn a profit.

As the rebels couldn't muster a majority, the pay report was approved.

Tesco chairman David Reid said it was important to provide strong incentives to develop Fresh & Easy.