Mercedes 2015 Annual Report Download - page 264

E | CONSOLIDATED FINANCIAL STATEMENTS | NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS 271
Board members
Throughout the world, the Group has business relationships with
numerous entities that are customers and/or suppliers of
the Group. Those customers and/or suppliers include companies
that have a connection with some of the members of the
Board of Management or of the Supervisory Board and close
family members of these board members of Daimler AG
or its subsidiaries.
Board of Management and Supervisory Board members and
close family members of these board members may also
purchase goods and services from Daimler AG or its subsidiaries
as customers. When such business relationships exist,
transactions are concluded on the basis of customary market
conditions.
See Note 37 for information on the remuneration of board
members.
37. Remuneration of the members of the Board
of Management and the Supervisory Board
Remuneration granted to the members of the Board
of Management and the Supervisory Board who were active
as of December 31, 2015, affected net profit for the year
ended December 31 as shown in table  E.89.
Expenses for variable remuneration with long-term incentive
effect, as shown in table  E.89, result from the ongoing
measurement at fair value at each balance sheet date of all rights
granted and not yet due under the Performance Phantom
Share Plans (PPSP). In 2015, the active members of the Board
of Management were granted 147,170 (2014: 153,912) phantom
shares in connection with the PPSP; the fair value of these
phantom shares at the grant date was €12.3 million (2014:
€10.1 million). According to Section 314 Subsection 1 Number 6a
of the German Commercial Code (HGB) the overall remu-
neration granted to the members of the Board of Management,
excluding service cost resulting from entitlements to post-
employment benefits, amounted to €38.8 million (2014: €29.9
million). See Note 21 for additional information on share-
based payment of the members of the Board of Management.
The members of the Supervisory Board are solely granted
short-term benefits for their board and committee activities,
except for remuneration and other benefits paid to those
members representing the employees in accordance with their
contracts of employment. No remuneration was paid for services
provided personally beyond board and committee activities,
in particular for advisory or agency services, in 2015 or 2014.
No advance payments or loans were made to members
of the Board of Management or to the members of the
Supervisory Board of Daimler AG.
The payments made in 2015 to former members of the Board
of Management of Daimler AG and their survivors amounted
to €15.5 million (2014: €16.8 million). The pension provisions
for former members of the Board of Management and their
survivors amounted to €235.2 million as of December 31, 2015
(2014: €263.0 million).
Information regarding the remuneration of the members
of the Board of Management and of the Supervisory
Board is disclosed on an individual basis in the Remuneration
Report, which is part of the Management Report.
E Management Report from page 122
Remuneration of the members of the Board of Management
and the Supervisory Board
2015 2014
In millions of euros
Remuneration of the Board of Management
Fixed remuneration 9.1 8.2
Short-term variable remuneration 8.7 5.8
Mid-term variable remuneration 8.8 6.2
Variable remuneration with
a long-term incentive effect
21.1
20.7
Post-employment benefits (service cost) 3.5 2.8
Termination benefits ––
51.2 43.7
Remuneration of the Supervisory Board 3.5 3.6
54.7 47.3
E.89