A description of the company’s system of variable remuneration to the Board and Executive Management, and of each outstanding share and share-pricerelated incentive scheme can be found in note 3.5 in the Annual Report.
For more information on executive remuneration, see Guidelines for the remuneration of senior executives (Word document, 85 kB), adopted by the Annual General Meeting 2023.
Variable cash remuneration to senior executives is conditional upon the fulfillment of defined and measurable criteria. At the beginning of each year the Board of Directors and the Remuneration Committee establish the criteria, including key performance indicators (KPIs) and the target ranges, deemed relevant for the upcoming performance period.
For the Short-Term Incentive (STI) 2023 it has been decided that the President and Group Function heads shall be measured on Group level KPIs and the Division Presidents shall be measured on both Group level and a combination of Division level KPIs. During 2023 the criteria’s have been related to Alleima adjusted EBIT, cash conversion and growth.
The extent to which the criteria for awarding STI have been fulfilled shall be determined after the expiry of 2023.