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ABOUT UNILEVER GOVERNANCE FINANCIAL STATEMENTS SHAREHOLDER INFORMATION
101Unilever Annual Report and Accounts 2012 Financial statements
4 Share-based compensaton plans
The fair value of the awards at the grant date is calculated using pricing models and recognised over the vesting period of the
grantas aremuneration cost with a corresponding increase in equity. The value of the charge is adjusted to reflect expected and
actual levels of awards vesting, except where the failure to vest is as a result of not meeting a market condition. Cancellations
of equity instruments are treated as an acceleration of the vesting period and any outstanding charge is recognised in the income
statement immediately.
As at 31 December 2012, the Group had share-based compensation plans in the form of performance shares, share options
and other share awards.
The numbers in this note include those for Executive Directors shown in the Directors’ Remuneration Report on pages 62 to 81 and
those for key management personnel shown in note 4A on page 95. Non-Executive Directors do not participate in any of the share-
based compensation plans.
The charge in each of the last three years is shown below, and relates to equity settled plans:
Income statement charge
 mllon
2012
€ million
2011
€ million
2010
Performance share plans (147) (93) (120)
Other plans (6) (12) (24)
(153) (105) (144)
Performance Share Plans
Performance share awards are made under the Management Co-Investment Plan (MCIP) and the Global Share Incentive Plan (GSIP).
The MCIP allows Unilever’s managers to invest up to 60% of their annual bonus in shares in Unilever and to receive a corresponding
award of performance-related shares. Under GSIP Unilever’s managers receive annual awards of NV and PLC shares. The awards
ofboth plans will vest after three years between 0% and 200% of grant level, depending on the satisfaction of performance metrics.
The performance metrics of both MCIP and GSIP are underlying sales growth, operating cash flow and core operating margin
improvement. There is an additional target based on relative total shareholder return (TSR) for senior executives.
A summary of the status of the Performance Share Plans as at 31 December 2012, 2011 and 2010 and changes during the years ended
on these dates is presented below:
2012
Number of
shares
2011
Number of
shares
2010
Number of
shares
Outstanding at 1 January 18,642,656 17,240,376 17,536,148
Awarded 7,036,147 9,587,934 9,292,689
Vested (6,277,057) (6,688,229) (8,626,746)
Forfeited (1,370,645) (1,497,425) (961,715)
Outstanding at 31 December 18,031,101 18,642,656 17,240,376
2012 2011 2010
Share award value nformaton
Fair value per share award during the year 2502 €22.91 €21.49
Addtonal nformaton
At 31 December 2012, there were options outstanding to purchase 16,823,830 (2011: 24,196,358) ordinary shares in NV or PLC in respect
of share-based compensation plans of NV and its subsidiaries and the North American plans, and 9,418,749 (2011: 10,396,180) ordinary
shares in NV or PLC in respect of share-based compensation plans of PLC and its subsidiaries.