BT 2010 Annual Report Download - page 73

71BT GROUP PLC ANNUAL REPORT & FORM 20-F
ADDITIONAL INFORMATION FINANCIAL STATEMENTS REPORT OF THE DIRECTORS REVIEW OF THE YEAR OVERVIEW
REPORT OF THE DIRECTORS REPORT ON DIRECTORS’ REMUNERATION
Additional
Committee Member’s fee Chairman’s fee
Audit £10,000 £15,000
Remuneration £10,000 £10,000
Nominating £5,000 £5,000
Other Board committees £5,000 £5,000
Patricia Hewitt, as Senior Independent Director, chairman of the
Remuneration Committee and chairman of the Pension Scheme
Performance Review Group, receives total fees of £150,000 per
annum. Carl Symon receives an additional annual fee of £70,000 as
chairman of the Equality of Access Board (a Board committee),
which was established on 1 November 2005.
An additional fee of £2,000 per trip is paid to those non-executive
directors travelling regularly from overseas to Board and Board
committee meetings on an inter-continental basis.
To align further the interests of the non-executive directors with
those of shareholders, the company’s policy is to encourage these
directors to purchase, on a voluntary basis, £5,000 of BT shares
each year. The directors are asked to hold these shares until they
retire from the Board. This policy is not mandatory. Current
shareholdings are shown on page 72.
No element of non-executive remuneration is performance-
related. Non-executive directors do not participate in BT’s bonus or
employee share plans and are not members of any of the company
pension schemes.
Directors’ service agreements and contracts of appointment
The dates on which directors’ initial service agreements/letters of appointment commenced and the current expiry dates are as follows:
Chairman and executive directors Commencement date Expiry date of current service agreement or letter of appointment
Sir Michael Rake 26 September 2007
I Livingston 1 June 2008
T Chanmugam 1 December 2008 The contract is terminable by the company on 12 months’ notice and by the
G Patterson 1 June 2008 director on six months’ notice.
Non-executive directors
C Brendish 1 September 2002 Letters of appointment were for an initial period of three years. The
C G Symon 14 January 2002 appointments were extended for three years in 2005 and by a further three
years in 2008. The appointments are terminable by the company or the
director on three months’ notice.
P Hodkinson 1 February 2006 Letter of appointment was for an initial period of three years. The
appointment was extended for three years in 2009. The appointment is
terminable by the company or the director on three months’ notice.
J E Daniels 1 April 2008 Letters of appointment are for an initial period of three years and are
P Hewitt 24 March 2008 terminable by the company or the director on three months’ notice.
T Ball 16 July 2009
Former directors
H Lalani 7 February 2005 The contract was terminable by the company on 12 months’ notice and by
the director on six months’ notice. The contract was terminated on
11 January 2010.
M van den Bergh 1 September 2000 Letter of appointment was for an initial period of three years. The
appointment was extended for three years in 2003 and extended for a
further three years in 2006. The appointment was terminable by the
company or director on three months’ notice. The appointment terminated
at the conclusion of the Annual General Meeting on 15 July 2009.
M Alahuhta 1 February 2006 Letter of appointment was for an initial period of three years. The
appointment was extended for three months in February 2009. The
appointment terminated on 31 May 2009.
D Lathen 1 February 2007 Letter of appointment was for an initial period of three years and was
terminable by the company or the director on three months’ notice.
Appointment terminated on 31 January 2010.
There are no other service agreements or material contracts, existing or proposed, between the company and the directors.
There are no arrangements or understandings between any director or executive officer and any other person pursuant to which any
director or executive officer was selected to serve. There are no family relationships between the directors.