BMW 2005 Annual Report Download - page 133

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132
In addition, an amount of euro 0.5 million (2004:
euro 0.5 million) has been granted as benefits for
current members of the Board of Management after
the end of their employment relationship. This
relates to the expense for allocations to pension pro-
visions. In total, the aggregated amount of paid and
committed components was euro 12.7 million.
The amount paid to former members of the
Board of Management and their dependants in
2005 was euro 2.6 million (2004: euro 2.5 million).
Pension obligations for former members of the Board
of Management and their dependants are covered
by pension provisions, measured on an IAS 19 basis,
of euro 37.0 million (2004: euro 36.8 million*).
2. Compensation of the Supervisory Board
Responsibilities
The compensation of the Supervisory Board is de-
termined by shareholders’ resolution at the Annual
General Meeting. Compensation is currently based
on shareholders’ resolutions taken at the Annual
General Meeting on 18 May 1999 and §15 of the
Statutes of BMW AG. The Statutes (Articles of
Incorporation) of BMW AG can be accessed via the
Internet.
Components of compensation
In addition to the reimbursement of expenses, the
members of the Supervisory Board receive a fixed
remuneration and a bonus based on the level of the
dividend.
Compensation of the Supervisory Board for the
financial year 2005
On the basis of the proposed dividend, the compen-
sation of the Supervisory Board for activities during
the financial year 2005 amounted to euro 2.5 million
(2004: euro 2.4 million), comprising a fixed compen-
sation of euro 0.1 million (2004: euro 0.1 million) and
a variable compensation of euro 2.4 million (2004:
euro 2.3 million).
None of the members of the Supervisory Board
performed advisory, agency or other services for the
BMW Group in a personal capacity in 2005. In con-
sequence, no additional compensation was paid. It
is BMW Group’s policy and practice, not to enter
into contractual relationships with members of the
Supervisory Board requiring them to provide per-
sonal services, in particular advisory and agency
services, in return for compensation (cf. Section 4.4
of the BMW Group Corporate Governance Code).
Corporate Governance 126
Members of the
Supervisory Board 126
Members of the
Board of Management 129
Corporate Governance in
the BMW Group 130
Principles for the compensation
of the Board of Management
and Supervisory Board 131
Declaration of the Board of
Management and of the
Supervisory Board pursuant to
§161 AktG 133
*adjusted in accordance with Note [8] (b)
in euro million 2005 2004
Amount Proportion Amount Proportion
Fixed compensation
0.1 4.0% 0.1 4.3 %
Variable compensation
2.4 96.0% 2.3 95.7 %
Total compensation
2.5 100% 2.4 100 %