ING Direct 2013 Annual Report Download - page 230

Notes to the consolidated annual accounts of ING Group continued
Three members of the Executive Board of ING Groep N.V. are also members of the Management Boards of ING Bank and NN Group.
Two members of the Executive Board of ING Groep N.V. are also members of the Board of ING U.S.
Key management personnel compensation (Executive Board and Management Boards)
2013
amounts in thousands of euros
Executive
Board of ING
Groep N.V. (1)
Management
Board
ING Bank (2)
Management
Board
NN Group (2, 3)
Named Executive
Officers
ING U.S.
(4)
Total
Fixed compensation
– Base salary 3,309 3,195 3,351 2,569 12,424
– Pension costs 549 938 745 409 2,641
– Retirement benefits
– Termination benefits 765 765
Variable compensation
– Upfront cash 473 395 3,469 4,337
– Upfront shares 473 395 868
– Deferred cash 710 593 1,303
– Deferred shares 710 593 9,198 10,501
– Other 517 517
Total compensation 3,858 6,499 6,837 16,162 33,356
One-time incentive award (5) 8,368 8,368
Total compensation including one-time incentive award 3,858 6,499 6,837 24,530 41,724
(1) Includes their compensation earned in the capacity as Executive Board members. Mr. Hamers was appointed to the Executive Board on 13 May 2013 and
Mr. Hommen stepped down from the Executive Board as per 1 October 2013.
(2) Excluding members that are also members of the Executive Board of ING Groep N.V.
(3) In 2013 the compensation of the Management Board NN Group reflects the extension of the Board by two members.
(4) In 2013 the Named Executive Officers ING U.S. consisted of five persons (in 2012 three Executive Officers).
(5) In 2011, the Named Executive Officers of ING U.S. were granted a one-time incentive award of EUR 8.4 million contingent upon successfully executing
the IPO of ING U.S. The awards consist of EUR 2.0 million in cash and EUR 6.4 million in deferred shares.
Key management personnel compensation (Executive Board and Management Boards)
2012
amounts in thousands of euros
Executive
Board of ING
Groep N.V.
Management
Board
ING Bank (2, 3)
Management
Board
NN Group (1, 2, 3)
Board of
ING U.S. (2) Total
Fixed compensation
– Base salary 2,572 3,336 2,589 2,307 10,804
– Pension costs 311 917 556 337 2,121
– Retirement benefits
– Termination benefits 618 1,255 1,873
Variable compensation
– Upfront cash 434 160 2,136 2,730
– Upfront shares 434 160 594
– Deferred cash 651 240 891
– Deferred shares 651 240 2,364 3,255
– Other 339 339
Total compensation 2,883 6,423 4,563 8,738 22,607
(1)
Next to compensation in his capacity as Board member, one of the new Management Board members received a ‘buy-out’ for the loss of compensation that
he would have received had he not resigned from his former employer. The buy-out consists of a cash amount and shares with a total value of EUR 500,000
at the grant date, which vests in the years 2012–2015.
(2) Excluding members that are also members of the Executive Board of ING Groep N.V.
(3) After publication of the 2012 Annual accounts, a variable reward of EUR 168,750 was awarded to one board member (of which 50% in each of ING Bank
and NN Group), which was pending final approval. The 2012 figures were updated for this award.
In 2013 and 2012, the Dutch Government imposed an additional tax charge of 16% on the income in excess of EUR 150,000 of each
employee who is subject to Dutch income tax. The tax is charged to the company and does not affect the remuneration of involved staff.
The tax imposed on ING for relevant members of the Executive Board and Management Boards amounts to EUR 2.2 million (2012:
EUR 1.4 million), which is not included in the figures in the table above.
Key management personnel compensation (Supervisory Board)
amounts in thousands of euros
Supervisory Board
2013 2012
Total compensation 1,074 806
The table above shows the fixed remuneration, expense allowances and attendance fees for the Supervisory Board for 2013 and 2012. From 1
January 2013, new VAT legislation became effective based on which Dutch members of the Supervisory Board are considered as self-employed
persons who’s compensation is subject to VAT in the Netherlands. The table presented above is including VAT of EUR 0.1 million for 2013.
228 ING Group Annual Report 2013