4 Determining method and approval
At the request of the Nomination and Compensation Committee, the Board of Directors determines in February the compensation for both Board and Executive Group Management Members. In addition, the previous financial year’s target attainment (Group Financial Targets, Individual Targets, Leadership Factor as well as the share allocation multiple) for Executive Group Management Members is assessed and set by the Board of Directors, as proposed by the Nomination and Compensation Committee.
All Members are present when the Board of Directors determines compensation for Board Members; there are no special rules of abstention. The CEO is present when determining compensation for Executive Group Management Members, unless his own target attainment is under review or his compensation is under discussion.
The compensation is subject to approval by the Annual General Meeting. The Annual General Meeting grants final approval of the maximum compensation for the Board of Directors (BoD) and the Executive Group Management (EGM), as follows:
- total amount of fixed aggregate compensation in cash of the Board of Directors for the one-year term from the current Annual General Meeting until the conclusion of the next Annual General Meeting (prospective);
- compensation in form of a fixed number of shares for the Board of Directors for the one-year term of office expiring at the current Annual General Meeting (retrospective);
- total amount of fixed aggregate compensation in cash to the Executive Group Management for the period from 1 July of the ongoing year to 30 June of the following year (prospective);
- total amount of variable compensations for the Executive Group Management (i.e. Cash Bonus and Long-Term Incentive in form of shares) for the completed financial year (retrospective).
Compensation vote at the 2025 AGM
