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2011/12 Annual Report Lenovo Group Limited 67
Long-Term Incentive Program
In February 2012, the Chairman/CEO and senior management received an annual award comprised of SARs and RSUs
under the LTI Program. Details of the grant as well as all outstanding awards for executive and non-executive directors as
ofMarch31,2012undertheLTIProgramaresetoutinthe“Long-TermIncentivesSchemes”sectionofthisreport.
Fiscal Year 2011/12 Employees Review
Fixed Compensation
As a part of its annual review, the Committee was presented with an overview of the market pay trends in February 2011
in advance of a merit based pay review for all employees conducted in June 2011. The review incorporated input from
several external survey providers and formal assessments of individual performance. The approved market-based merit
increases were effective from July 1, 2011.
Performance Bonus
Performance bonus for general employees is based on individual performance and performance of their respective
businessunitor“PerformanceGroup”.Forfiscalyear2011/12,therewereatotalof39differentPerformanceGroups
within the Company each with their unique performance metrics and targets. For the fiscal year 2011/12 performance
bonus, mid-year progress payment was made in December 2011, and full payment based on annual business outcomes
will be trued-up in June 2012 based on approved final bonus funding.
FINAL
BONUS
PAYOUT
Bonus
Target
Performance
Group Score
Individual
Performance
Modifier
+
+
=
Performance Group scores may range from 0% to 300% based on final results against targets. Individual Performance
Modifiers range from 0% to 150% and are linked to the employee Performance Ratings and progress against established
Key Performance Indicators (KPIs).
Long-Term Incentive Program
For fiscal year 2011/12, 7.2% of eligible employees (excluding executive directors) received an award under the LTI
Program. These awards were granted in February 2012.
Emoluments of Directors for FY2011/12 and Five Highest Paid Individuals
Details of the emoluments of Directors and the five highest paid individuals are set out in note 11 to the financial statements.