Philips 2006 Annual Report Download - page 104

Philips Annual Report 2006104
Pay-out in 2006
1)
in euros
realized annual
incentive
as a % of base
salary (2005)
G.J. Kleisterlee 1,150,560 112.8%
P-J. Sivignon 219,191 84.6%
2)
G.H.A. Dutiné 433,998 84.6%
T.W.H.P. van Deursen − −
3)
R.S. Provoost − −
3)
A. Ragnetti − −
3)
1) Reference date for board membership is December 31, 2006
2) Pay-out related to period June 15 - December 31, 2005
3) Pay-out not related to period of board membership
Pay-out in 2005
1)
in euros
realized annual
incentive
as a % of base
salary (2004)
G.J. Kleisterlee 1,028,160 100.8%
P-J. Sivignon − −
2)
G.H.A. Dutiné 509,040 100.8%
1) Reference date for board membership is December 31, 2006
2) No pay-out in 2005 since Mr Sivignon joined Philips on June 15, 2005
Pay-out in 2004
1)
in euros
realized annual
incentive
as a % of base
salary (2003)
G.J. Kleisterlee 867,600 86.8%
G.H.A. Dutiné 438,138 86.8%
1) Reference date for board membership is December 31, 2006
For further transparency from now onwards the pay-out
over the past year will be included. Based upon the 2006
results as published in this Annual Report, the realized
annual incentive amounts mentioned in the table below
will be paid to members of the Board of Management
in April 2007.
Pay-out in 2007
1)
in euros
realized annual
incentive
as a % of base
salary (2006)
G.J. Kleisterlee 1,186,618 113.0%
P-J. Sivignon 508,550 84.8%
G.H.A. Dutiné 513,691 93.4%
T.W.H.P. van Deursen 380,190 92.2%
2)
R.S. Provoost 335,551 85.2%
2)
A. Ragnetti 354,893 99.6%
2)
1) Reference date for board membership is December 31, 2006
2) Pay-out related to period of board membership April 1 - December 31, 2006
Special payment Semiconductors transaction
The Supervisory Board has awarded a selected number
of key employees a special payment related to the sale
of a majority stake in the Semiconductors division. Such
payment has also been granted to certain members of
the Board of Management in light of the achievements
that have been realized in this transaction. The amounts
concerned are EUR 400,000 for Mr Van Houten,
EUR 350,000 for Mr Kleisterlee and EUR 300,000 for
Mr Sivignon. See also note 34 of this Annual Report.
Long-Term Incentive Plan
For many years Philips has operated a Long-Term Incentive
Plan (LTIP), which has served to align the interests of the
participating employees with the shareholders’ interests
and to attract, motivate and retain participating employees.
Until 2002, the long-term incentive awards consisted
exclusively of stock options, but since 2003 an LTIP
approved by the General Meeting of Shareholders has
been in place consisting of a mix of restricted share
rights and stock options.
By granting additional (premium) shares after the
grantees have held the restricted shares for three years
after delivery, provided they are still in service, grantees
will be more stimulated to focus on the longer term
as shareholders of the Company.
The actual number of long-term incentives that will be
granted to members of the Board of Management, the
other members of the Group Management Committee,
executives and other key employees depends on the
team and/or individual performance and on the share
performance of Philips and are aimed at median level
6 Financial highlights 8 Message from the President 14 Our leadership 20 The Philips Group