The Board of Directors of SRV Group Plc has decided on a new share-based incentive scheme for key personnel. The purpose of the scheme is to unite the objectives of shareholders and key personnel in order to raise the company’s value, and to strengthen the commitment of key personnel in the company. The scheme covers 28 key SRV personnel.
The scheme’s key indicators are the Group’s operating profit, return on equity and equity ratio. In addition, rewards from the scheme will be influenced by other business segment specific indicators, which have been specified for the years 2012-2013.
When the indicators are met, the bonus will be paid quarterly partly in the company’s shares and partly in cash. A maximum of 404,000 SRV Group shares held by the company and a cash amount corresponding to the value of the conveyed shares for arising taxes will be conveyed without consideration to key personnel within the scope of the scheme. The total recognized IFRS value of shares conveyed over the lifetime of incentive scheme will be approximately EUR 1.8 million with the addition of the cash payments. The theoretical market value is calculated by the Black & Scholes -model used for pricing options with the following criteria: share price EUR 3.60, risk-free interest rate 0.58% and volatility 37 per cent.
Personnel belonging to the scheme must hold at least half of the shares received on the basis of the scheme until 31.12.2014 and at least half until 31.12.2015. If a key individual’s employment ends during the above restriction period, he/she must relinquish the shares to the company without compensation.
SRV Group Plc
Vice President, Communications and Brand
Tel. +358 40 504 3321