Aviva 2009 Annual Report Download - page 116

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Aviva plc Directors’ remuneration report continued
Annual Report and Accounts 2009
Fees earned in 2009 by the NEDs are set out in Table 18 below.
Table 18: NEDs fees paid in 2009
Committee Chairman/Membership
Senior
Board membership independent Corporate Risk and
fees director
Remuneration Audit Nomination
Responsibility Regulatory Total fees
Lord Sharman, Chairman £495,000 £495,000
Nikesh Arora £37,714 £2,993 £2,993 £43,700
Wim Dik £20,756 £1,647 £1,647 £24,050
Mary Francis £63,000 £10,000 £10,000 £397 £19,375 £102,772
Richard Goeltz £63,000 £20,000 £10,000 £5,000 £98,000
Euleen Goh £63,000 £10,000 £5,000 £78,000
Carole Piwnica £63,000 £10,000 £10,000 £83,000
Leslie Van de Walle £41,238 £2,623 £1,373 £45,234
Russell Walls £63,000 £35,000 £5,000 £5,000 £108,000
Scott Wheway £63,000 £20,000 £5,000 £88,000
Following a review in March 2009 of Aviva’s fees against market benchmarks the following changes in NEDs’ emoluments were
made with effect from 1 April 2009:
— The fee for chairing the Risk and Regulatory Committee (inclusive of membership fee) was increased from £17,500 pa to
£20,000 pa (an increase of 14.3%)
— A new fee of £10,000 (inclusive of membership fee) was introduced for chairing the Corporate Responsibility Committee
— Other fees remained unchanged
The following changes to NED responsibilities took place during the year:
— Nikesh Arora ceased to be a member of the Board, Nomination Committee and Risk and Regulatory Committee on 5 August
2009.
— Wim Dik retired from the Board, Corporate Responsibility Committee and Risk and Regulatory Committee on 29 April 2009.
— Leslie Van de Walle joined the Board on 6 May 2009 and joined the Remuneration Committee and Risk and Regulatory
Committee on 24 September 2009.
— Mary Francis joined the Nomination Committee on 2 December 2009.
Senior executives’ remuneration
The total compensation paid during the year to key management personnel, being those having authority and responsibility for
planning, directing and controlling the activities of the Company, including the Company’s EDs and NEDs (as required to be
disclosed by International Accounting Standard 24) was £61 million
(2008: £53 million) and is set out in note 59 to the Accounts.
EDs’ pension arrangements
The positions of the EDs with respect to accumulated pension benefits under the defined benefits section of the ASPS is set out in
Table 19 below.
Table 19: EDs’ Pension Benefits
Philip
Andrew Moss Scott Mark Hodges Andrea Moneta
£’000 £’000 £’000 £’000
Benefit Type Defined
benefit
Defined
benefit
Defined
benefit
Defined
contribution
Accrued annual pension at 31 December 2008 21 395 81 —
Accrued annual pension at 31 December 2009 22 400 85 —
Gross increase in accrued pension over the year 1 5 4 —
Increase (decrease) in accrued pension net of inflation over the year — (15) — —
Employee contributions during the year — 8 — —
Defined contribution employer contributions during the year — — — 61
Transfer value of accrued pension at 31 December 2008 231 6,300 660 —
Transfer value of accrued pension at 31 December 2009 350 7,544 1,062 —
Change in transfer value during the period less employee contributions 119 1,236 402 —
Transfer value of net increase (decrease) in accrued pension less employee contributions 17 (279) 50 —
Age at 31 December 2009 (years) 51 55 44 44
Notes
1. Accrued pensions shown are the amounts that would be paid annually on retirement based on service to the end of the year.
2. Benefits deriving from Additional Voluntary Contributions (AVCs) paid by directors are excluded from the amounts above.
3. The change in transfer value allows for fluctuations in the transfer value due to factors beyond the control of the Company and directors, such as changes in stock market conditions. The
transfer values have been calculated in line with the relevant legislation and using actuarial assumptions agreed by the Trustee. These assumptions were revised during the year resulting in higher
transfer values.
4. Mr Scott opted out of the ASPS on 30 June 2009. For the first three months of 2009 Mr Scott made regular member contributions of 5% of salary. Mr Scott then switched to making salary
sacrifice contributions at the same rate for the final three months of his Scheme membership. Salary sacrifice contributions are excluded for the figures above.
5. Mr Moneta opted out of the Scheme on 30 June 2009. Contributions shown are for the period to this date.
6. No former Directors received any increase in retirement benefits in excess of the amount to which they were entitled, on the later of the date when the benefits first became payable, or
31 March 1997.
7. The transfer value of net increase (decrease) in accrued pension shows the value of the increase (decrease) in accrued pension net of inflation, over the year net of contributions.