HSBC 2002 Annual Report Download - page 183

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H Sohmen has elected to waive any fees
payable to him by HSBC Holdings.
A fee of £25,000 (2001: £25,000) was paid to
Sir Wilfrid Newton, a former Director, in respect of
his role as Chairman of the HSBC Bank plc
committee overseeing the construction and
occupation of the new HSBC headquarters.
Following the dissolution of this committee,
payment of the fee ceased, with effect from 31
December 2002.
Pensions
There are separate schemes for UK-based and
overseas-based employees: the UK scheme has a
normal retirement age of 60; retirement ages for
overseas schemes vary in accordance with local
legislation and practice. With three exceptions (see
paragraphs below on C F W de Croisset, D J Flint
and W R P Dalton), the executive Directors are
members of defined benefit pension schemes, having
joined HSBC at a time when these were the norm.
The pension arrangements for Sir John Bond,
S K Green, A W Jebson and Sir Keith Whitson to
contractual retirement age of 60 are provided under
the HSBC Bank (UK) Pension Scheme. The
pensions accrue at a rate of one-thirtieth of
pensionable salary per year of pensionable service in
the UK. In addition, until 2001, supplementary
provision was made for S K Green, via an employer
contribution to a personal pension plan, with £1,123
having been made during 2001.
C F W de Croisset is eligible for pension
benefits which are supplementary to those accrued
under the French State and Compulsory
arrangements. The amount of this supplementary
pension, payable from age 60, currently accrues at
the rate of €6,098 per annum for each year of service
(maximum 18 years) as an executive Director of
CCF. The whole cost of this benefit is met by CCF.
The pension arrangements for W R P Dalton to
contractual retirement age of 60 are provided on a
defined benefit basis (details of which are set out in
the table below) under the HSBC Canada Pension
Plan A, at an accrual rate of one-thirtieth of
pensionable salary per year of pensionable service
until his transfer to the UK in 1998. Since taking up
his appointment in the UK, he has joined the HSBC
Holdings Overseas (No.1) Pension Plan on a defined
contribution basis, with an employer contribution in
respect of 2002, including a bonus waiver of
£400,000 (2001: £300,000), of £529,000 (2001:
£429,000).
The pension arrangements for D J Flint to
contractual retirement age of 60 are provided
through an executive allowance paid to fund
personal pension arrangements set at 30 per cent of
basic salary. This is supplemented through the
HSBC Holdings plc Funded Unapproved Retirement
Benefits Scheme on a defined contribution basis with
an employer contribution during 2002 of £80,092
(2001: £78,150). The intention of these arrangements
is to provide benefits broadly comparable to an
accrual rate of one-thirtieth of pensionable salary for
each year of pensionable service.
The pension arrangements for D G Eldon are
provided under the HSBC International Staff
Retirement Benefits Scheme. Pension accrues at a
rate of one twenty-seventh of pensionable salary per
year of pensionable service.