DHL 2012 Annual Report Download - page 212
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Please find page 212 of the 2012 DHL annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.Long-Term Incentive Plan for members of the Board
of Management
Since July , the members of the Board of Management
receive s under the Long-Term Incentive Plan. Each
under the entitles the holder to receive a cash settle-
ment equal to the dierence between the average closing price of
Deutsche Post shares during the last ve trading days before the
exercise date and the issue price of the .
e members of the Board of Management each invested
of their xed annual remuneration (annual base salary) as a
personal nancial investment in . e number of s issued
to the members of the Board of Management is determined by
the Supervisory Board. Following a four-year waiting period that
begins on the issue date, the s granted can be fully or partly
exercised within a period of two years provided an absolute or
relative performance target is achieved at the end of the waiting
period. Any s not exercised during this two-year period will
expire. To determine how many – if any – of the granted s can
be exercised, the average share price or the average index is com-
pared for the reference period and the performance period. e
reference period comprises the last consecutive trading days
before the issue date. e performance period is the last trading
days before the end of the waiting period. e average (closing)
price is calculated as the average closing price of Deutsche Post
shares in Deutsche Börse ’s Xetra trading system.
e absolute performance target is met if the closing price of
Deutsche Post shares is at least , , or above the issue
price. e relative performance target is tied to the performance
of the shares in relation to the Europe Index ,
. It is met if the share price equals the index
performance or if it outperforms the index by at least .
A maximum of four out of every six s can be “earned”
viathe absolute performance target, and a maximum of two via
the relative performance target. If neither an absolute nor a relative
performance target is met by the end of the waiting period, the
s attributable to the related tranche will expire without replace-
ment or compensation. More details on the tranches are
shown in the following table:
2008 tranche 2009 tranche 2010 tranche 2011 tranche 2012 tranche s
Issue date 1 July 2008 1 July 2009 1 July 2010 1 July 2011 1 July 2012
Issue price in 18.40 9.52 12.27 12.67 13.26
Waiting period expires 30 June 2011 30 June 2013 30 June 2014 30 June 2015 30 June 2016
e fair value of the Plan and the Long-Term Incentive
Plan was determined using a stochastic simulation
model. As a result, an expense of million was recognised for
nancial year (previous year: million).
See Note . for further disclosures on share-based pay-
ment for members of the Board of Management. A provision for the
and the Plan was recognised as at the balance sheet
date in the amount of million (previous year: million), of
which million was attributable to the Board of Management.
Related party disclosures
. Related party disclosures (companies and Federal Republic
of Germany)
All companies classied as related parties that are controlled
by the Group or on which the Group can exercise signicant inu-
ence are recorded in the list of shareholdings, which can be accessed
on the website, www.dp-dhl.com/en/investors.html, together with
information on the equity interest held, their equity and their net
prot or loss for the period, broken down by geographical areas.
Deutsche Post maintains a variety of relationships with
the Federal Republic of Germany and other companies controlled
by the Federal Republic of Germany.
e federal government is a customer of Deutsche Post
and as such uses the company’s services. Deutsche Post has
direct business relationships with the individual public authorities
and other government agencies as independent individual custom-
ers. e services provided for these customers are insignicant in
respect of Deutsche Post ’s overall revenue.
KfW Bankengruppe (KfW) supports the federal government
in continuing to privatise companies such as Deutsche Post
orDeutsche Telekom . In , KfW, together with the federal
government, developed a “placeholder model” as a tool to privatise
government-owned companies. Under this model, the federal gov-
ernment sells all or part of its investments to KfW with the aim of
fully privatising these state-owned companies. On this basis, KfW
has purchased shares of Deutsche Post from the federal gov-
ernment in several stages since and executed various capital
market transactions using these shares. KfW placed a package
of Deutsche Post shares on the market at the beginning of
September , reducing its interest in Deutsche Post ’s share
capital. KfW’s current interest in Deutsche Post ’s share capital
is . . Deutsche Post is thus considered to be an associate of
the federal government.
Deutsche Post DHL Annual Report
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