The Board of Directors of Tikkurila resolved on new performance share plans
Tikkurila Oyj
Stock exchange release
June 26, 2018 at 9:00 a.m. (CET+1)
The Board of Directors of Tikkurila resolved on new performance share plans
The Board of Directors of Tikkurila Oyj has approved two new share-based incentive plans for the Group key employees. The aim of the new plans is to align the objectives of the shareholders and the key employees to execute Company's strategic transformation in the short-term and increase the value of the Company in the long-term, as well as to retain the key employees at the Company, and to offer them a competitive reward plan based on earning and accumulating the Company's shares.
Share plan 2018-2022
The plan includes three performance periods, calendar years 2018-2020, 2019-2021 and 2020-2022. The potential rewards from the plan will be paid partly in the Company's shares and partly in cash in 2021, 2022 and 2023. The cash proportion is to cover taxes and tax-related costs arising from the reward to the participants. Payment of the reward is conditional to that a participant is employed at the time of the payment. The reward amounts earned through the plan will be capped if the limits set by the Board of Directors for the payable reward are reached.
A participant must hold a minimum of 50 percent of the net number of shares received on the basis of the plan, until his or her total shareholding in the Company equals the value of his or her annual gross salary. Such number of shares must be held as long as the participant's employment or service in a group company continues.
Approximately 10 key employees, including the members of the Management Team, belong to the target group of the plan during the performance period 2018-2020.The potential reward of the plan from the performance period 2018-2020 will be based on the Tikkurila Group's average EBITDA- and net debt- based intrinsic values for 2018-2020. The rewards to be paid on the basis of the performance period 2018-2020 will amount to an approximate maximum total of 130,000 Tikkurila Oyj shares. In addition, the Company will pay taxes and tax-related costs arising from the reward to the participants in connection with the reward payment.
Share plan 2018-2019
The plan includes one performance period, calendar years 2018-2019. The potential reward from the plan will accrue in cash and will be paid partly in the Company's shares and partly in cash in 2020. The cash proportion is to cover taxes and tax-related costs arising from the reward to the participants. Payment of the reward is conditional to that a participant is employed at the time of the payment.
Approximately 30 key employees, including the members of the Management Team, belong to the target group of the plan. The potential reward of the plan will be based to the cumulative revenue and adjusted EBIT from the performance period 2018-2019. The calculable aggregate value of the plan, including portions in shares and in cash, will amount to an approximate maximum of EUR 3.2 million.
Vantaa June 26, 2018
TIKKURILA OYJ
The Board of Directors
For further information, please contact:
Jari Paasikivi, Chairman of the Board of Directors, mobile +358 500 530 375
Sustainable Nordicness
Tikkurila is a leading Nordic paint company with expertise that spans decades. We develop premium products and services that provide our customers with quality that will stand the test of time and weather. We operate in around ten countries and our 3,000 dedicated professionals share the joy of building a vivid future through surfaces that make a difference. In 2017, our revenue totaled EUR 582 million. The company is listed on Nasdaq Helsinki. Nordic quality from start to finish since 1862.
© 2018 GlobeNewswire, Inc. All Rights Reserved.
Berkshire Hathaway Inc. (NYSE: BRK.A) (NYSE: BRK.B) Reports Fourth Quarter and Full Year 2020
