BMW 2010 Annual Report Download - page 160

158
140 STATEMENT ON
CORPORATE GOVERNANCE
(Part of Management Report)
140 Information on the Company’s
Governing Constitution
142 Declaration of the Board of
Management and of the
Supervisory
Board pursuant to
§ 161 AktG
143 Members of the Board of
Management
144 Members of the Supervisory Board
147 Information on Work Procedures
of the Management Board and
Supervisory Board
154 Compensation Report
162 Information on Corporate
Governance Practices
163 Compliance in the BMW Group
Compensation of the Board of Management for the
financial year 2010 (total)
The total remuneration of the current members of the
Board of Management of BMW AG
amounted to euro
18.2 million (2009: euro 10.7 million). The amount com-
prises fixed components (including other remuneration)
of euro 3.7 million (2009: euro 3.7 million) and variable
components of euro 14.5 million (2009: euro 7.0 mil-
lion). The composition
of the Board of Management was
unchanged in 2010 compared to the previous year. The
rules determining the level of board members’ salaries
remained unchanged during the financial year 2010;
differences in salaries compared to the previous year re-
sulted from the timing of appointment periods. Other
remuneration decreased due to the lower level of fringe
benefits paid in the year under report. Variable remu-
neration includes special bonus payments amounting to
euro 770,000 (2009: –) (euro 100,000 per board member,
euro 170,000 to the Chairman). The Supervisory Board
authorised these amounts in the context of the special
bonus payments to employees of BMW AG, based on the
principle of consistency and taking into account senior
management compensation (below board level). This
was in recognition of the fact that the Board of Manage-
ment has undertaken structural measures that have made
it easier for the BMW Group to overcome the economic
and financial crisis.
in euro million 2010 2009
Amount Proportion Amount Proportion
in % in %
Fixed compensation 3.7 20.3 3.7 34.6
Variable compensation 14.5 79.7 7.0 65.4
Total compensation 18.2 100.0 10.7 100.0
Compensation of the individual members of the Board of Management for the financial year 2010 (2009)
In addition, an expense of euro 0.9 million (2009: euro
0.7 million) was recognised in the financial year 2010 for
current members of the Board of Management for the
period after the end of their service relationship. This re-
lates to the expense for allocations to pension provisions
(service cost).
in euro Fixed compensation Variable Compensation
Other compensation*Total
Salary compensation Total
Norbert Reithofer 840,000 17,716 857,716 3,438,500 4,296,216
(840,000) (16,215) (856,215) (1,725,000) (2,581,215)
Frank-Peter Arndt 480,000 21,529 501,529 2,006,625 2,508,154
(440,000) (23,591) (463,591) (910,417) (1,374,008)
Herbert Diess 435,000 18,944 453,944 1,802,344 2,256,288
(420,000) (13,773) (433,773) (862,500) (1,296,273)
Klaus Draeger 480,000 20,016 500,016 2,006,625 2,506,641
(430,000) (74,237) (504,237) (886,458) (1,390,695)
Friedrich Eichiner 435,000 24,747 459,747 1,802,344 2,262,091
(420,000) (93,785) (513,785) (862,500) (1,376,285)
Harald Krüger 420,000 20,473 440,473 1,734,250 2,174,723
(420,000) (78,028) (498,028) (862,500) (1,360,528)
Ian Robertson 420,000 13,987 433,987 1,734,250 2,168,237
(420,000) (54,993) (474,993) (862,500) (1,337,493)
Total 3,510,000 137,412 3,647,412 14,524,938 18,172,350
(3,390,000) (354,622) (3,744,622) (6,971,875) (10,716,497)
* Variable remuneration for the financial year 2010 includes special bonus payments of euro 100,000 per board member (Chairman: euro 170,000).