Login    

Long-term share-based incentive plan 2020-2022

Long-term share-based incentive plan 2020-2022

In 2020, a new long-term share-based incentive plan was defined for the next three years.

LONG-TERM SHARE-BASED INCENTIVE PLAN 2020-2022

In 2020, a new long-term share-based incentive plan was defined for the next three years. Continuing on from the previous version in place during the previous three years, the new share plan provides for three annual attributions (“rolling plan”), each of which coincides with a three-year reference period for performance (2020-2022, 2021-2023, 2022-2024). For each attribution, any disbursement is envisaged after three years (vesting period) in an amount that is tied to the results obtained and will have a maximum value for the Chief Executive Officer of 210% and for Managers with Strategic Responsibilities of 130% of the respective fixed remuneration.The performance conditions applicable for the first attribution of the Plan are connected to the following parameters, two of which are economic-financial indicators and two of which relate to sustainability:

  • Adjusted Net Profit (with weight of 50%) calculated as the sum of adjusted net profit for the years 2020, 2021 and 2022. The degree of achievement of the objective is calculated according to a criterion of linear interpolation between minimum, target and maximum values.

 

incentive1

 

  • Added Value (with a weight of 30%) which reflects the value generation of the regulated business, calculated as the change in the RAB in the period 2020-2022 added to distributed dividends, to treasury shares repurchased and reduced by the change in net debt. The degree of achievement of the objective is calculated according to a criterion of linear interpolation between minimum, target and maximum values.

 

incentive2

 

  • Reductions in natural gas emissions (with a weight of 10%). The degree of achievement of the target is calculated according to a criterion of linear interpolation between minimum, target and maximum values compared to the final emission values recorded at the end of 2016 (48.08 MSmc).

 

incentive3

 

  • Equal representation in terms of gender diversity in Snam's management team (with a weight of 10%), calculated in terms of the % of women managers and middle managers of the total management and middle management figures of the Group. The degree of achievement of the objective is calculated according to a criterion of linear interpolation between minimum, target and maximum values.

 

incentive4

 

The achievement of performance conditions at target, maximum and threshold level respectively entails the accrual of 100%, 133% and 67% of the shares attributed; below threshold level, the percentage will always be zero.

At the end of the vesting period, an additional number of shares will be assigned, defined as “dividend equivalents”, calculated as the equivalent value of dividends not used with respect to the number of shares effectively accrued.

The plan also provides for a two-year lock-up on 20% of the shares assigned, gross of those necessary to fulfil tax requirements.

Compensation Committee

Learn about the members of the Compensation Committee

Read more
Snam’s management team

Meet Snam’s management team

Read more
stock and financial instruments

See all insider transactions on Snam stock and financial instruments

Read more
Page Alert
updated
27 August 2020 - 15:18 CEST