Volvo 2015 Annual Report Download - page 154

152
GROUP PERFORMANCE 2015 NOTES
Long-term incentive
program (equity-settled
plan version)
Shares granted conditional under the plan but not yet allotted (in thousand shares)
Vesting year
Beginning of
the year Granted 2015 Cancelled/ forfeited 2015 Allotments during 2015
End of the
year Cost 2015 (SEK M)
1
Year 2011 incentive program 2014/2015 582 0–4–575 32.0
Year 2012 incentive program 2015/2016 1,098 0–23–763313 22.4
Year 2013 incentive program 2016/2017 425 0–9–22395 10.8
Year 2014 Incentive program 2017/2018 441 024–19446 13.2
Year 2015 incentive program 2018/2019 01,571 –29 0 1,543 35.3
Total 2,546 1,571 –40 –1,378 2,699 83.6
1 The fair value of the payments is determined based on the share price at the grant date reduced by the discounted value of expected dividends connected with the
share during the vesting period. The cost for the program is recognized over the vesting period. The cost includes social security cost.
Average number
of employees
2015 2014
Number of
employees of which women, % Number of employees of which women, %
AB Volvo
Sweden 322 50 303 48
Subsidiaries
Sweden 19,854 21 21,113 21
Western Europe
(excl. Sweden) 22,146 15 23,390 16
Eastern Europe 5,792 21 6,292 20
North America 15,427 19 14,767 19
South America 6,074 15 6,718 14
Asia 18,005 13 19,306 13
Other countries 2,573 16 2,735 15
Group total 90,193 18 94,625 17
Board members1 and other
senior executives
2015 2014
Number
at year-
end
of which
women,
%
Number
at year-
end
of which
women,
%
AB Volvo
Board members1933 9 22
CEO and other senior executives 10 30 16 19
Volvo Group
Board members1471 23 499 20
Presidents and other
senior executives 624 22 676 21
1 Excluding deputy Board members.
The cost for the cash-settled version of the incentive program amounted
to SEK 6 M (8) including social security cost during 2015, and the total
liability amounted to SEK 6 M (14) as of December 31, 2015.
The allotment during the year 2015 mainly pertained to the shares
granted under the program during the years 2011 and 2012. In addition to
that a number of program participants leaving the company are deter-
mined to be “good leavers” and are therefore entitled to accumulated
allotment of shares. During 2015, for the equity-settled plan, a total of
1,377,988 shares (1,238,755) have been allotted to participants, and an
additional 175,399 shares (53,036) are allotted to participants when the
employees leave the company. For the cash-settled plan, a total of SEK
13 M (15) has been allotted during 2015.
The total cost for the 2015 incentive program over the vesting period
2015 to 2018/2019 is estimated to SEK 179 M including social security
cost. Actual cost will be impacted by changes in the share price.
Wages, salaries and other
remunerations 2015 2014
SEK M Board and Presidents1of which variable
salaries Other employees Board and Presidents1of which variable salaries Other employees
AB Volvo 56.8 5.3 356 30.4 7.4 323.6
Subsidiaries 684.6 75.5 39,360.1 557.0 57.2 36,621.9
Group total 741.4 80.8 39,716.1 587.4 64.6 36,945.5
Wages, salaries and other
remunerations and social
costs 2015 2014
SEK M Wages, salaries remun Social costs Pension costs Wages, salaries remun Social costs Pension costs
AB Volvo2412.8 123.1 119.7 354.1 108 .6 105.6
Subsidiaries 40,044.7 8,871.7 4,219.9 37,178.9 8,009.3 4,027.2
Group total340,457.5 8,994.8 4,339.6 37,532.9 8,117.9 4,132.8
1 Including current and former Board members, Presidents and Executive
Vice Presidents.
2 The Parent Company’s pension costs, pertaining to Board members and
Presidents are disclosed in Note 3 in the Parent Company.
3 Of the Volvo Group’s pension costs, SEK 89 M (78) pertain to Board members
and Presidents, including current and former Board members, Presidents and
Executive Vice Presidents. The Volvo Group’s outstanding pension obligations
tothese individuals amount to SEK 600 M (448).
The cost for non-monetary benefits in the Volvo Group amounted to SEK 3,007 M
(2,405) of which SEK 80 M (46) to Board members and Presidents.
The cost for non-monetary benefits in the Parent Company amounted to SEK
14.4 M (17.3) of which SEK 1.5 M (2) to Board members and Presidents.