BP 2012 Annual Report Download - page 254

42. Remuneration of directors and senior management
Remuneration of directors
$ million
2012 2011 2010
Total for all directors
Emoluments 12 10 15
Gains made on exercise of share options ––2
Amounts awarded under incentive schemes 314
Total 15 11 21
Emoluments
These amounts comprise fees paid to the non-executive chairman and the non-executive directors and, for executive directors, salary and benefits
earned during the relevant financial year, plus cash bonuses awarded for the year. There was no compensation for loss of office in 2012 (2011 nil and
2010 $3 million).
Pension contributions
During 2012 two executive directors participated in a non-contributory pension scheme established for UK employees by a separate trust fund to which
contributions are made by BP based on actuarial advice. Two US executive directors participated in the US BP Retirement Accumulation Plan during
2012.
Office facilities for former chairmen and deputy chairmen
It is customary for the company to make available to former chairmen and deputy chairmen, who were previously employed executives, the use of
office and basic secretarial facilities following their retirement. The cost involved in doing so is not significant.
Further information
Full details of individual directors’ remuneration are given in the directors’ remuneration report on pages 127-145.
Remuneration of directors and senior management
$ million
Total for all senior management 2012 2011 2010
Total for all senior management
Short-term employee benefits 27 34 25
Pensions and other post-retirement benefits 333
Share-based payments 34 27 29
Total 64 64 57
Senior management, in addition to executive and non-executive directors, includes other senior managers who are members of the executive
management team.
Short-term employee benefits
In addition to fees paid to the non-executive chairman and non-executive directors, these amounts comprise, for executive directors and senior
managers, salary and benefits earned during the year, plus cash bonuses awarded for the year. Deferred annual bonus awards, to be settled in shares,
are included in share-based payments. There was no compensation for loss of office paid in 2012 (2011 $9 million and 2010 $3 million).
Pensions and other post-retirement benefits
The amounts represent the estimated cost to the group of providing defined benefit pensions and other post-retirement benefits to senior management
in respect of the current year of service measured in accordance with IAS 19 ‘Employee Benefits’.
Share-based payments
This is the cost to the group of senior management’s participation in share-based payment plans, as measured by the fair value of options and shares
granted accounted for in accordance with IFRS 2 ‘Share-based Payments’. The main plans in which senior management have participated are the EDIP,
DAB, SVP and RSP. For details of these plans refer to Note 40.
252 Financial statements
BP Annual Report and Form 20-F 2012