Barclays 2011 Annual Report Download - page 66

Remuneration report continued
Letters of appointment
The Group Chairman and non-executive Directors have individual letters of appointment. Each non-executive Director appointment is for an initial six
year term, renewable for a single term of three years thereafter. For the Group Chairman the notice period from Barclays is 12 months, and potential
compensation for loss of office is 12 months fees and contractual benefits. For non-executive Directors, the notice period from Barclays is six months
and potential compensation for loss of office is six months fees. The effective dates of the letters of appointment are shown in Table 21. Sir Richard
Broadbent resigned as a non-executive Director with effect from 30 September 2011 and did not receive a termination payment. All current non-
executive Directors will be standing for re-election at the 2012 Annual General Meeting.
Total Shareholder Return
Figure 2 shows the value, at 31 December 2011, of £100 invested in Barclays on 31 December 2006 compared with the value of £100 invested in the
FTSE 100 Index. The other points plotted are the values at intervening financial year ends. The FTSE 100 Index is a widely recognised performance
comparison for large UK companies and this is why it has been chosen as a comparator to illustrate Barclays total shareholder return.
Table 21: Effective dates of letters of appointment
Effective
date
Group Chairman
Marcus Agius 1 January 2007
Non-executive Directors
David Booth 1 May 2007
Alison Carnwath 1 August 2010
Fulvio Conti 1 April 2006
Simon Fraser 10 March 2009
Reuben Jeffery III 16 July 2009
Sir Andrew Likierman 1 September 2004
Dambisa Moyo 1 May 2010
Sir Michael Rake 1 January 2008
Sir John Sunderland 1 June 2005
Sir Richard Broadbent 16 July 2009
Additional information on deferred bonuses
Deferred bonuses are payable only once an employee meets certain conditions, including a specified period of service, such that the related costs are
recognised over that period. This creates a timing difference between the communication of the bonus pool (being the total bonus awards granted that
are decided upon by management and approved by the Committee) and the charges that appear in the income statement for any year. As such, set
out in Tables 22 to 24 are the components of remuneration that relate to management’s and the Board’s decisions on the bonus pool reconciled to the
income statement charge, recognised in accordance with accounting standards.
Table 22: Years in which the income statement charge arises
Bonus Pool Component Expected Grant Date
Expected
Payment Date(s)1
Year(s) in which Income
Statement Charge Arises2
Current year cash bonus • February 2012 • February 2012 • 2011
Current year share bonus • February/March 2012 • February 2012 to September 2012 • 2011
Deferred cash bonus • March 2012 • March 2013 (33.3%) • 2012 (48%)
• March 2014 (33.3%) • 2013 (35%)
• March 2015 (33.3%) • 2014 (15%)
• 2015 (2%)
Deferred share bonus • March 2012 • March 2013 (33.3%) • 2012 (48%)
• March 2014 (33.3%) • 2013 (35%)
• March 2015 (33.3%) • 2014 (15%)
• 2015 (2%)
Notes to Table 22:
1 Payments are subject to all performance conditions being met prior to the expected payment date. In addition, employees receiving a deferred cash bonus may be awarded a service credit
of 10% of the initial value of the award at the time that the final instalment is made, subject to continued employment.
2 The income statement charge is based on the period over which performance conditions are met.
Year ended 31 December £
06
Source: Datastream
07 08 09 10 11
100
100
72
25
44 43 29
107
77
98
110108
FTSE 100 Index
Barclays PLC
Figure 2: Total Shareholder Return
64 Barclays PLC Annual Report 2011 www.barclays.com/annualreport