Singapore Airlines 2011 Annual Report Download - page 134

SINGAPORE AIRLINES
132
NOTES TO THE FINANCIAL STATEMENTS
31 March 2011
5 Staff Costs (in $ million) (continued)
Share-based compensation expense (continued)
Share-based incentive plans
RSP and PSP are share-based incentive plans for senior executives and key senior management, which
were approved by the shareholders of the Company on 28 July 2005.
The details of the two plans are described below:
RSP PSP
Plan Description Award of fully-paid ordinary shares
of the Company, conditional
on position and individual
performance targets set at the start
of a two-year performance period
based on medium-term Group and
Company objectives.
Award of fully-paid ordinary shares
of the Company, conditional on
performance targets set at the
start of a three-year overlapping
performance period based on
stretched long-term corporate
objectives.
Performance Conditions At both Company and Group level
• EBITDAR# Margin
• Value Added per $
Employment Cost
• Absolute Total Shareholder
Return (TSR) outperform Cost
of Equity (COE)
• Relative TSR against selected
airline peer index companies
Vesting Condition Based on meeting stated
performance conditions over a
two-year performance period, 50%
of award will vest. Balance will
vest equally over the subsequent
two years with fulfillment of service
requirements.
Vesting based on meeting stated
performance conditions over a
three-year performance period.
Payout 0% - 150% depending on
the achievement of pre-set
performance targets over the
performance period.
0% - 200% depending on
the achievement of pre-set
performance targets over the
performance period.
# EBITDAR denotes Earnings before Interest, Taxes, Depreciation, Amortisation and Rent.