Principles for the remuneration of senior officers
The group other senior officers consists 2015 of six persons.
Remuneration to the CEO and other senior officers consists of a fixed salary, any variable remuneration, extra health insurance and those benefits otherwise enjoyed by other Peab employees as well as pension. All pension obligations are defined contribution pensions. The total remuneration paid to each senior officer is based on market terms and the responsibilities and qualifications of the senior officer.
From time to time, senior officers may be offered variable remuneration. Such variable remuneration may not exceed 60 percent of the regular salary and must above all be based on the pre-tax profit of the Peab Group. Variable remuneration is decided upon each financial year. Variable remuneration is settled the year after being earned and may either be paid out as salary or as a one-off pension premium. If variable remuneration is paid out on a one-off basis, certain adjustments are made so as to neutralize the total cost for Peab.
From time to time, senior officers may be offered to participate in a LTI program. For senior officers and the CEO the upper limit is 40 percent of their fixed annual salary. The result of the LTI program is placed in a pension savings in a financial instrument connected to the Peab share.
Variable remuneration for the financial year 2015 was maximized at SEK 2,772 thousand (2,664) for the CEO and a total of SEK 7,682 thousand (7,452) for the other senior officers.
Notice on the part of Peab is a maximum of 24 months and senior officers are required to give a maximum of six months notice. If a severance pay is paid the total remuneration for salary during the period of notice and severance pay may not exceed 24 monthly wages.