Tesco 2012 Annual Report Download - page 81

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Chairman
The Remuneration Committee determines the Chairman’s
remuneration, having regard to time commitment and remuneration
arrangements to Chairmen of other companies of a similar size
and complexity.
Sir Richard Broadbent was appointed Non-executive Chairman from
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thebenefit of a company car and driver.
Between 2 July and 30 November, Sir Richard worked with the
formerChairman Sir David Reid to transition the role. During this period
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five-month period) reflecting the time commitment required in relation
to the transition of the role.
Sir David Reid was Non-executive Chairman until 30 November 2011.
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company car and driver.
Funding of equity awards
Executive incentive arrangements are funded by a mix of newly issued
shares and shares purchased in the market. Where shares are newly
issued the Company complies with ABI dilution guidelines on their issue.
The current dilution usage of Executive plans is c.4% of shares in issue.
Where shares are purchased in the market, these may be held by Tesco
Employees Share Schemes Trustees Limited, in which case the voting
rights relating to the shares are exercisable by the trustees in accordance
with their fiduciary duties.
Change of control
Long-term incentive awards may vest or become exercisable before their
normal vesting date in the event of a change of control of Tesco PLC
subject to the rules of the applicable plans.
Corporate Governance
Membership of
the Remuneration
Committee
Stuart Chambers (Committee Chairman)
Patrick Cescau (to 25 February 2012)
Karen Cook
Ken Hanna
Jacqueline Tammenoms Bakker
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shareholder, nor any day-to-day involvement in running the business of Tesco.
Role of the
Remuneration
Committee
The Committee’s key responsibilities are to:
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needed to run the Company while remaining appropriate in the context of the remuneration arrangements through-
out the Group.
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shareholders and that the level of reward received by Executives reflects the value delivered for shareholders.
As required by the FSA, Tesco Bank has a separate independent remuneration committee. The Group Remuneration
Committee is consulted on, and makes recommendations in relation to the remuneration arrangements for Tesco Bank
employees, with the aim of encouraging consistency with Group remuneration policy, but it does not make decisions in
relation to, or direct, how remuneration is managed within Tesco Bank.
Tesco PLC Annual Report and Financial Statements 2012 77
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