Qantas 2012 Annual Report Download - page 53

Download and view the complete annual report

Please find page 53 of the 2012 Qantas 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.

Page out of 156

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148
  • 149
  • 150
  • 151
  • 152
  • 153
  • 154
  • 155
  • 156

FOR THE YEAR ENDED 30 JUNE 2012
Directors’ Report continued
Annual Incentive
also referred
to as the Short
Term Incentive
Plan or STIP
(continued)
How are STIP awards disclosed in the remuneration tables?
Non-statutory Remuneration Table
The full value of any current year STIP award is disclosed in the table on page 47.
Statutory Remuneration Table
Disclosure of STIP awards in the statutory remuneration table on page 49 is more complicated. In the statutory
remuneration table, STIP awards are disclosed as either:
— A “cash incentive” for any cash bonus paid or
— As a “share-based payment” for any component awarded either in deferred shares or deferred cash which
is exposed to share price movements during the restriction period
Where STIP awards involve deferral over multiple reporting periods, they are reported against each period
in accordance with accounting standards.
What were the STIP measures for the year ended 30 June 2012?
Strategic Objective Performance Measures
Scorecard
Weighting Comment
Delivering
sustainable returns
to shareholders
— Underlying Profit Before Tax
— Underlying Unit Cost (per
Available Seat Kilometre - ASK)
— Operating cash flow to net debt
% The STIP scorecard is heavily weighted
to financial performance.
Underlying PBT is the key budgetary and
financial performance measure for the
Qantas Group and therefore it is selected
as the primary performance measure under
the STIP scorecard.
50 per cent of the total STIP scorecard
outcome is determined based on Underlying
PBT performance.
Safety is always
our first priority
— People safety % The objective of the people safety target
is to reduce employee injuries.
Building on the
strong domestic
business
— Domestic market share
— Frequent Flyer
membership numbers
— Punctuality: Qantas domestic
and Jetstar domestic
— Customer Experience - Net
Promoter Score (NPS) for Qantas
domestic and Jetstar domestic
.% To support the strategic initiative of
“building on the strong domestic business”,
STIP targets were set for key measures of
operational performance across both the
Qantas and Jetstar domestic businesses.
Transforming
Qantas
International
— Strengthen networks,
partnerships and ventures
— Execution of the transformation
agenda in Engineering and
Catering
— Punctuality: Qantas international
— Customer Experience - NPS:
Qantas international
.% To support the strategic initiative of
“Transforming Qantas International”,
targets were set across key measures
of operational performance in the Qantas
international business as well as progress
of key strategic initiatives. These initiatives
included strengthening our airline
partnerships and alliances as well as
transformation projects in Engineering
and Catering.
Growing Jetstar
in Asia
— Launch Jetstar Japan
— Restructure of Jetstar in Vietnam
— Punctuality: Jetstar international
and Jetstar Asia
— Customer Experience - NPS: Jetstar
international and Jetstar Asia
% To support the strategic initiative of
“Growing Jetstar in Asia”, targets were
set across key measures of operational
performance in the Jetstar international
and Jetstar Asia businesses as well as
progressing key ventures in Asia.
Total %
Remuneration Report (Audited) continued
051