BP 2005 Annual Report Download - page 175

Information subject to audit
REMUNERATION OF NON-EXECUTIVE DIRECTORS £ thousand
Current directors 2005 2004
J H Bryan 110 100
A Burgmans 90 53
E B Davis, Jr 110 105
D J Flinta90 n/a
Dr D S Julius 107 75
Sir Tom McKillop 90 38
Dr W E Massey 130 115
H M P Miles 90 75
Sir Ian Prosser 135 110
P D Sutherland 500 390
M H Wilson 105 95
Directors leaving the board in 2005
C F Knightb c 30 90
Sir Robin Nicholsonb d e 32 90
aAppointed on 1 January 2005.
bRetired at AGM on 14 April 2005.
cAlso received a superannuation gratuity of £79,000 following his retirement.
dAlso received £20,000 each year for serving as the board’s representative
on the BP technology advisory council.
eAlso received a superannuation gratuity of £84,000 following his retirement.
AMOCO NON-EMPLOYEE DIRECTORS’ RESTRICTED STOCK PLAN
Non-executive directors of Amoco Corporation were allocated
restricted stock in the Amoco Non-Employee Directors’ Restricted
Stock Plan by way of remuneration for their service on the board of
Amoco Corporation prior to its merger with BP in 1998. On merger,
interests in Amoco shares in the plan were converted into interests
in BP ADSs. Under the terms of the plan, the restricted stock will
vest on the retirement of the non-executive director having reached
age 70 or on earlier retirement at the discretion of the board. Since
the merger, no further entitlements have accrued to any director
under the plan. These residual interests require disclosure under
the directors’ remuneration report regulations 2002 as interests
in a long-term incentive scheme.
Interest in BP ADSs Date on
at 1 Jan 2005 and which director
31 Dec 2005areaches age 70b
J H Bryan 5,546 5 Oct 2006
E B Davis, Jr 4,490 5 Aug 2014
Dr W E Massey 3,346 5 Apr 2008
M H Wilson 3,170 4 Nov 2007
aNo awards were granted and no awards lapsed during the year. The awards
were granted over Amoco stock prior to the merger but their notional weighted
average market value at the date of grant (applying the subsequent merger ratio
of 0.66167 of a BP ADS for every Amoco share) was $27.87 per BP ADS.
bFor the purposes of the regulations, the date on which the director retires from
the board at or after the age of 70 is the end of the qualifying period. If the
director retires prior to this date, the board may waive the restrictions.
SUPERANNUATION GRATUITIES
In accordance with the company’s long-standing practice,
non-executive directors who retired from the board after at least
six years’ service are, at the time of their retirement, eligible for
consideration for a superannuation gratuity. The board is authorized
to make such payments under the company’s Articles. The amount
of the payment is determined at the board’s discretion (having
regard to the director’s period of service as a director and other
relevant factors).
The board made superannuation gratuity payments during the
year to the following former directors: Mr Knight £79,000 and Sir
Robin Nicholson £84,000 (who both retired in 2005) and Mr Maljers
£18,000 (who retired in 2004). These payments were in line with the
policy arrangements agreed in 2002 (see below).
In 2002, the board revised its policy with respect to superannuation
gratuities so that: (i) non-executive directors appointed to the board
after 1 July 2002 would not be eligible for consideration for such a
payment; and (ii) while non-executive directors in service at 1 July
2002 would remain eligible for consideration for a payment, service
after that date would not be taken into account by the board in
considering the amount of any such payment.
This directors’ remuneration report was approved by the board and
signed on its behalf by David J Jackson, company secretary, on
6 February 2006.
BP Annual Report and Accounts 2005 173