Siemens 2013 Annual Report Download - page 145

155 C. Combined Management Report 253 D. Consolidated Financial Statements 357 E. Additional Information

Specifically, the following changes to the remuneration sys-
tem for the Managing Board were adopted by the Supervisory
Board as of fiscal :
> For stock commitments (Bonus Awards and Stock Awards),
the maximum amount of compensation at the time of trans-
fer of Siemens stock after the end of the waiting or restric-
tion period is now limited to not more than % of the re-
spective target amounts. If this maximum amount of com-
pensation is exceeded, the entitlement to any number of
shares associated with the excess will forfeit without re-
placement. For the variable compensation (bonus) paid in
cash, the maximum amount of compensation remains un-
changed at % of the respective target amounts plus the
discretionary possibility of upward revision by % by the
Supervisory Board.
> In addition to the forfeiture rules to maintain the maximum
amounts of compensation for variable compensation (bo-
nus) and long-term stock-based compensation, a maximum
amount for the compensation overall must also be observed.
Beginning with fiscal , it cannot exceed . times the
target compensation. The target compensation comprises
base compensation, the target amount for the variable com-
pensation (bonus), and the target amount for long-term
stock-based compensation, excluding fringe benefits and
pension benefit commitments. Including fringe benefits and
pension benefit commitments of the respective fiscal year,
the maximum amount of compensation for the compensa-
tion overall increases by corresponding amounts.
> The bonus is paid % in cash and % in the form of
Siemens stock commitments (Bonus Awards). The waiting
period remains four years. Consistent with legal require-
ments and with common practice in the market, the payout
of more than % of the performance-based components is
extended over several years.
Furthermore, to take greater account of Managing Board mem-
bers’ individual performance, individual targets will be agreed
for fiscal  at target setting for the variable compensation
(bonus).
Maximum amounts of compensation using the example of the President and CEO for fiscal 2014 (in €)
Compensation after expiration of waiting
or restriction period at transfer of Siemens stock.
Systemic achievable maximum total:
,,
Target
compensation
for fiscal :
,,
Maximum amount
of compensation for
compensation overall
max. . times of target
compensation (base
compensation, target
amount Bonus and
target amount
Long-term stock-based
compensation)
Maximum amounts
of compensation for
stock-based components
max. % of the
respective target amounts
,,
Base compensation
Stock-based
compensation
Cash
compensation
Bonus (cash)
max. % target
attainment add.
+ % adjustment
,,
,,
,,
,,
,,
,
,
,
,,
,, Base compensation
Long-term stock-based compensation
> target parameter: stock price compared
to  competitors
> target parameter: Ø earnings per share
Variable compensation (bonus)
Target amount: ,,
% granted in cash and % in Bonus Awards
Performance-based components with deferred payout
Performance-based components
Including the values of fiscal , a maximum amount of compensation for the compensation
overall of €,, would result.
Non-performance-based components
Compensation overall (without fringe benefits and pension benefit commitments)
1 Including fringe benefits and pension benefit commitments, the maximum amount
of compensation for the compensation overall increases by corresponding amounts.