Siemens 2008 Annual Report Download - page 133

To compensate him for short-term and long-term pecuniary disadvantages arising as a result of his change from
GE Healthcare, United Kingdom, to Siemens AG, Peter Y. Solmssen was promised a total amount of €10.518 mil-
lion. It was agreed with Mr. Solmssen that the Company will add this amount to his Siemens Dened Contribu-
tion Benet Plan (BSAV) in January 2009.
Both the number of units and the values of the stock-based compensation components are shown in the follow-
ing table. The stock awards were recorded at the market price of the Siemens stock on the date of commitment
less the present value of dividends expected during the waiting period, because stock awards are not eligible to
receive dividends. The resulting value amounted to €37.65 (2007: €97.94).
Accordingly, stock-based compensation was as follows:
(1)
The fair value of the stock-based compensation relates to stock awards granted in November 2008 and 2007 for scal years 2008 and
2007, respectively.
(2)
After a waiting period of three years, the stock awards will be settled on November 14, 2011 (awards granted for scal year 2007 on
November 9, 2010). Under the stock award agreement, the eligible recipients will receive a corresponding number of Siemens shares
without additional payment.
(3)
Wolfgang Dehen and Dr. Siegfried Russwurm were elected full members of the Managing Board effective January 1, 2008.
(4)
Jim Reid-Anderson was elected a full member of the Managing Board effective May 1, 2008.
(5)
Peter Y. Solmssen was elected a full member of the Managing Board effective October 1, 2007.
(6)
Dr. Klaus Kleinfeld resigned from the Managing Board effective June 30, 2007; Prof. Johannes Feldmayer resigned from the Managing
Board effective September 30, 2007; and Rudi Lamprecht, Eduardo Montes, Dr. Jürgen Radomski, Dr. Uriel J. Sharef and Prof. Dr. Klaus
Wucherer resigned from the Managing Board effective December 31, 2007.
(7)
Deputy members of the Managing Board until December 31, 2007.
(8)
Prof. Dr. Erich R. Reinhardt was elected a full member of the Managing Board effective January 1, 2008 and resigned from the Managing
Board effective April 30, 2008.
(9)
15,494 stock awards with a fair value of €583,349 were granted to Prof. Dr. Erich R. Reinhardt in his capacity as member of the Managing
Board; 11,067 stock awards with a fair value of €416,673 were granted to him pursuant to the service agreement in place as of his mutually
agreed early resignation from the Managing Board.
Corporate Governance Report: Compensation Report 37
Stock-based compensation
(Amounts in number of units or €)(1) Number of units
Stock awards(2) Fair value of stock awards Stock awards(2)
2008 2007 2008 2007
Managing Board members serving
as of September 30, 2008
Peter Löscher 66,402 10,211 2,500,035 1,000,065
Wolfgang Dehen(3) 26,561 – 1,000,022 –
Dr. Heinrich Hiesinger 26,561 7,658 1,000,022 750,025
Joe Kaeser 26,561 7,658 1,000,022 750,025
Jim Reid-Anderson(4) 26,561 – 1,000,022 –
Prof. Dr. Hermann Requardt 26,561 7,658 1,000,022 750,025
Dr. Siegfried Russwurm(3) 26,561 – 1,000,022 –
Peter Y. Solmssen(5) 26,561 – 1,000,022 –
Former Managing Board
members
Dr. Klaus Kleinfeld(6) – – – 750,000
Prof. Johannes Feldmayer(6) – – – –
Rudi Lamprecht(6) – 7,658 – 750,025
Eduardo Montes(6)(7) – 7,658 – 750,025
Dr. Jürgen Radomski(6) – 7,658 – 750,025
Prof. Dr. Erich R. Reinhardt(7)(8) 26,561(9) 7,658 1,000,022(9) 750,025
Dr. Uriel J. Sharef(6) – 7,658 – 750,025
Prof. Dr. Klaus Wucherer(6) – 7,658 – 750,025
Total 278,890 79,133 10,500,211 8,500,290