Reebok 2010 Annual Report Download - page 35

To Our Shareholders Compensation Report 31
Executive Board Total Compensation in 2010
€ in thousands
Non-performance-related
compensation components
Performance-
related
compensation
component
Compensa-
tion component
with long-term
incentive effect 1) Total
Annual
fixed salary Other benefits Performance Bonus LTIP Bonus 2009/2011
Herbert Hainer (CEO) 1,373 28 2 ) 1,752 1,680 4,833
Glenn Bennett 3 ) 497 14 510 840 1,861
Robin J. Stalker 550 16 2 ) 555 840 1,961
Erich Stamminger 700 37 2 ) 1,022 1,080 2,839
Total 3,120 95 3,839 4,440 11,494
1) The indicated amount corresponds to the amount placed in the reserves for the 2010 financial year based on the forecasted degree of target
achievement as at the balance sheet date. The amount of a possible payout is not specified therewith. Only if targets are met will payment be
due following the approval of the annual consolidated financial statements for the period ending on December 31, 2011.
2) Other benefits comprise entertainment expenses, contributions to pension insurance and non-monetary benefits resulting from the provision
of a company car.
3) In accordance with Glenn Bennett’s contract, the following compensation components were granted in US dollars: fixed annual salary
$ 660,000, car allowance $ 18,000, Performance Bonus $ 677,000. An exchange rate of 1.3279 $/€ (annual average rate 2010) was used as
the basis for calculation.
Executive Board Total Compensation in 2009
€ in thousands
Non-performance-related
compensation components
Performance-
related
compensation
component
Compensa-
tion component
with long-term
incentive effect 1) Total
Annual
fixed salary Other benefits Performance Bonus LTIP Bonus 2009/2011
Herbert Hainer (CEO) 1,250 27 2 ) 1,512 1,400 4,189
Glenn Bennett 3 ) 431 25 581 700 1,737
Robin J. Stalker 500 13 2 ) 612 700 1,825
Erich Stamminger 700 36 2 ) 1,107 900 2,743
Total 2,881 101 3,812 3,700 10,494
1) The indicated amount corresponds to the amount placed in the reserves for the 2009 financial year based on the forecasted degree of target
achievement as at the balance sheet date. The amount of a possible payout is not specified therewith. Only if targets are met will payment be
due following the approval of the annual consolidated financial statements for the period ending on December 31, 2011.
2) Other benefits comprise contributions to pension insurance and non-monetary benefits resulting from the provision of a company car.
3) In accordance with Glenn Bennett’s contract, the following compensation components were granted in US dollars: fixed annual salary
$ 600,000, car allowance and other benefits $ 34,190, Performance Bonus $ 810,000. An exchange rate of 1.3932 $/€ (annual average rate
2009) was used as the basis for calculation.
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2) Herbert Hainer and Erich Stamminger were both first appointed on April 1, 1997. Robin J. Stalker was first
appointed on January 1, 2001. For Glenn Bennett, instead of his first appointment date (April 1, 1997),
January 1, 2000, is used for the calculation of his pension entitlements. His base amount totals 20% of the
pension entitlements.
Executive Board compensation in detailExecutive Board compensation in detail
The total compensation paid to our
Executive Board in the 2010 financial
year amounted to € 11.494 million (2009:
€ 10.494 million).
Benefits in case of resignation from Benefits in case of resignation from
office as Executive Board memberoffice as Executive Board member
All Executive Board members have
individual contractual pension
commitments which essentially include
the following provisions:
Pension commitments
The retirement pension commences with
the termination of the Executive Board
mandate upon reaching the age of 65.
In the case of permanent occupational
disability or survivor’s benefits in the
case of death, different provisions apply.
– The retirement pension is determined
in accordance with a modular system,
i.e. starting from a base amount
totalling 10% of the pensionable
income, a module of 2% of the
pensionable income is formed for each
full year of tenure as an Executive
Board member, which currently
corresponds to the fixed annual
salary indicated in the adjacent
table.2) The retirement pension can
reach a maximum level of 40% of the
pensionable income.
– In the event of occupational disability
of an Executive Board member prior
to reaching the retirement age, he
receives a disability pension amounting
to the pension entitlements achieved up
to this point.
– If an Executive Board member dies
during the term of his service contract
or after retiring, the spouse is entitled
to a survivor’s benefit amounting to
50%, dependent children are entitled
to a half-orphan’s pension of 15% or
an orphan’s pension of 30% of the
pension entitlements. The maximum
limit of the survivor’s benefits is 100%
of the pension entitlements. If an
Executive Board member dies during
the term of his service contract, his
spouse receives or, alternatively, any
dependent children additionally receive
the pro-rata annual fixed salary for the
month of death and the following three
months but no longer than until the
agreed end date of the service contract.
In the event that an Executive Board
member leaves the company prior
to reaching the retirement age, the
non-forfeiture of the pension entitlement
will be in line with the legal provisions.
From the second year of pension
payments, the current pension payments
will increase by at least 1% of the amount
of the prior year pension and additionally
by any income from the pension trust
fund allocable to the respective Executive
Board member.