Amounts executive directors will actually receive in the 2010 financial year
As previously explained, a very large percentage of the executive directors’ package is made up of variable pay subject to performance. The information below explains what the executive directors who were on the board on 31 March 2009 will actually receive from awards made previously with performance conditions which ended on 31 March 2009, but that will vest in the 2010 financial year.
The executive directors 2008/09 GSTIP is payable in June 2009. Later in 2009, the matching shares from the 2007 deferred share bonus arrangement will vest, as will the GLTI share options granted in 2006. The threshold relative TSR performance target for the 2006 GLTI performance shares was not met and, as such, no shares will vest from this award. In all cases performance was determined as at 31 March 2009 year end. These figures are set out in the table below (only the 2008/09 GSTIP payment is included in the audited section towards the end of the directors’ remuneration report).
| Vittorio Colao | Andy Halford | |
|---|---|---|
| Base salary | ||
| Base salary set in July 2008 (no base salary increase in July 2009)(1) | £975,000 | £674,100 |
| GSTIP (Annual bonus)(2) | ||
| Target (100% of base salary earned over 2009) | £932,452 | £666,075 |
| Percentage of target achieved for the 2009 financial year | 94.5% | 97.6% |
| Actual bonus payout in June 2009 | £881,257 | £650,089 |
| Deferred share bonus | ||
| Number of matching shares awarded in June 2007 | 153,671 | 275,820 |
| Vesting percentage based on two year cumulative free cash flow | 100% | 100% |
| Matching shares vesting in June 2009 | 153,671 | 275,820 |
| GLTI share options | ||
| Exercise price | 135.5p | 115.25p |
| GLTI share options awarded in July 2006(3) | 3,472,975 | 3,062,396 |
| Vesting percentage based on three year earnings per share (‘EPS’) growth | 100% | 100% |
| GLTI share options vesting in 2009 | 3,472,975 | 3,062,396 |
| GLTI performance shares | ||
| GLTI performance share awarded in July 2006(3) | 1,073,465 | 946,558 |
| Vesting percentage based on relative TSR | 0% | 0% |
| GLTI performance shares vesting in 2009 | nil | nil |
Notes:
- (1)
- Michel Combes and Steve Pusey have been appointed as directors with effect from 1 June 2009 and their base salaries are £740,000 and £500,000 respectively.
- (2)
- More information on key performance indicators, against which Group performance is measured, can be found in “Key performance indicators”.
- (3)
- Vittorio Colao’s 2006 awards were granted after joining in October 2006.