The general meeting decides on the remuneration of the members of the Board of Directors. The Annual General Meeting decided on 17 March 2010 that the Board members are paid monthly remuneration as follows:
It was also decided that the Board members and deputy members be paid 500 euros in attendance remuneration for each Board meeting and committee meeting in which the member has participated.
The remuneration of the members of the Board of Directors or its committees is not paid in the form of company shares. The members of the Board are not subject to a share-related remuneration scheme.
In 2010, the Board had seven meetings, the audit committee three meetings, and the remuneration committee two meetings.
In 2010, the following remuneration was paid to the members of the Board:
|
Name |
Position |
Work on the Board |
Audit committee | Remun-eration
committee |
Total
|
Total
|
|
Lauri Virkkunen |
Chairman from 1 July 2010 |
10 100 |
|
500 |
10 600 |
|
|
Timo Karttinen |
Second Deputy Chairman until 16 March 2010, First Deputy Chairman from 17 March 2010 |
15 500 |
|
1000 |
16 500 |
17 000 |
|
Arto Lepistö |
Chairman until 16 March 2010, Second Deputy Chairman from 17 March 2010 |
16 550 |
1500 |
1000 |
19 050 |
22 700 |
|
Ari Koponen |
Member |
11 900 |
|
|
11 900 |
12 400 |
|
Ritva Nirkkonen |
Member |
11 900 |
1500 |
|
13 400 |
13 900 |
|
Anja Silvennoinen |
Member |
10 400 |
1500 |
|
11 900 |
13 400 |
|
Risto Autio |
Member |
11 900 |
1500 |
|
13 400 |
12 150 |
|
Timo Rajala |
First Deputy Chairman until 16 March 2010, Chairman 17 March-30 June 2010 |
8550 |
|
500 |
9050 |
17 000 |
|
Timo Ritonummi |
Deputy member |
5400 |
|
|
5400 |
5400 |
|
Jussi Hintikka |
Deputy member |
5400 |
|
|
5400 |
5400 |
|
Juha Laaksonen |
Deputy member |
5400 |
|
|
5400 |
5400 |
|
Kari Koivuranta |
Deputy member |
5400 |
|
|
5400 |
5400 |
|
Pekka Kettunen |
Deputy member |
5400 |
|
|
5400 |
5400 |
|
Jukka Mikkonen |
Deputy member |
5400 |
|
|
5400 |
5400 |
|
Jorma Tammenaho |
Deputy member (Member of the Board until 18 March 2009) |
5400 |
|
|
5400 |
7150 |
|
TOTAL |
|
134600 |
6000 |
3000 |
143 600 |
148 100 |
The Group applies a remuneration system whose general principles were accepted by the Board of Directors of Fingrid Oyj on 23 October 2007. The remuneration committee approves the remuneration to be paid to the President and other members of the executive management group on the basis of principles specified by the Board of Directors. Moreover, the committee confirmed the principles for determining the bonus of the executive management group in its meeting of 12 December 2007.
The total salary of the members of the executive management group consists of a fixed basic salary, perquisites and merit pay conforming to the remuneration system of the company.
The performance criterion in the merit pay system of the company is composed of the strategic indicators of the company. From 1 January 2010, remuneration is based on the three-year average of the strategic indicators. Moreover, by virtue of the decision of the remuneration committee, the bonus can be raised by a maximum of 1.2 times on the basis of personal performance. The remuneration committee of the Board of Directors assesses the fulfilment of the performance criteria and decides on the potential payment of a bonus to the members of the executive management group. The maximum amount of the bonus payable to the President is 35 per cent and to the members of the executive management group 25 per cent of the annual salary.
The members of Fingrid’s executive management group have no share and share-related remuneration schemes or additional pension schemes.
The table below indicates the salaries and benefits of Fingrid’s President and other members of the executive management group in 2010:
|
|
Fixed basic salary |
Varying merit pay |
Other employment benefits such as perquisites |
2010 total |
|
|
President |
184 047 |
45569,54 |
11 520 |
241136,54 |
227 848 |
|
Executive management group |
822303,49 |
108641,87 |
60557,58 |
991502,94 |
981 905 |
|
TOTAL |
1006350,49 |
154211,41 |
72077,58 |
1232639,48 |
1209753 |
The service terms of the President have been specified in a written President’s service contract which is approved by the Board of Directors.
The retirement age and accumulated pension of the President are determined in accordance with general employee pension legislation. The President does not have a supplementary pension provided by the company.
The mutual period of notice of the President is six months. If the company dismisses the President, an amount of money corresponding to six months’ fixed salary is paid to the President in addition to the salary for the period of notice.