Remuneration for Senior management
By the decision of the AGM on 24 February 2011, the following guidelines shall apply to remuneration and other employment terms and conditions for the CEO and other senior management. Salaries and other terms and conditions of employment shall be adequate for FinnvedenBulten to constantly attract and retain skilled senior managers at a reasonable cost to the Company. Remuneration in FinnvedenBulten shall be based on principles of performance, competitiveness and fairness. The salaries of senior managers are made up of a fixed salary, bonuses, pension and other benefits.
Every senior manager shall be offered a fixed salary in line with market conditions and based on the senior manager's responsibility, expertise and performance. In addition, the AGM may resolve to offer long-term incentive programs such as share and share pricerelated incentive programs. These incentive programs are intended to contribute to long-term value growth and provide a shared interest in value growth for shareholders and employees. All senior managers may be offered cash bonuses now and again. In the case of the CEO such bonuses may amount to a maximum of 60 percent of the annual fixed salary. In the case of the other senior managers bonuses may not exceed 40 percent of their annual fixed salaries. Bonuses shall primarily be based on developments in the Group as a whole or developments in the division or unit which the person in question is responsible for.
The Board of Directors decides on remuneration policies for the CEO and senior management. These remuneration policies accord with the remuneration guidelines for the CEO and senior management approved and adopted by the AGM. Individual remuneration for the CEO, Executive Vice President and the Group's and Company's CFO are approved by the Board of Directors. All decisions on individual remuneration for senior management lie within the remuneration policy approved by the Board of Directors.
Agreements concerning pensions shall, wherever possible, be based on fixed premiums and must be drawn up in accordance with the levels and practice applying in the country where the senior manager is employed. Senior managers domiciled in Sweden and their employers are entitled to a mutual period of notice of six months. When notice is given by the Company, severance pay shall be paid in the amount of 12 months' salary on top of the above salary during the period of notice.Guidelines for the remuneration of the CEO and senior management