Stock exchange release
December 19, 2012 02:45 PM EEST
Metso's Board of Directors decides to continue the long-term incentive plan for senior management
Metso Corporation's stock exchange release on December 19, 2012 at 1:45 p.m.
Metso's Board of Directors has decided to continue the share-based incentive
plan for the Group's senior management approved in December 2011. The aim of the
plan is to combine the objectives of shareholders and management to increase the
value of the company, commit management to the company, and offer managers a
competitive reward plan based on a long-term shareholding in Metso.
The plan approved in 2011 includes three performance periods, equivalent to the
2012, 2013, and 2014 calendar years. The Board of Directors is responsible for
setting the performance criteria and targets to be used at the beginning of
performance period. The plan will cover around 100 Metso managers during the
2013 performance period.
The potential reward generated by the plan for the 2013 performance period will
be based on the net sales growth of the services business, Metso's return on
capital employed (ROCE) before taxes, and earnings per share (EPS). Payment will
be made at the end of an approximately two-year vesting period, in 2016, partly
in company shares and partly in cash. The proportion paid in cash is intended to
cover the taxes and tax-related costs arising from payment incurred by
participants. Should a participant's employment or service end for reasons
related to the participant concerned before payment falls due, no payment will
be made. The reward for each performance period may not exceed 120% of a
participant's annual total base salary.
The potential rewards to be paid on the basis of the 2013 performance period
will correspond to a maximum total of approximately 460,000 Metso shares. Final
allocations and the maximum total number of shares will be decided in January
2013. The Metso shares to be transferred as part of possible rewards will be
obtained in public trading and, as a result, the incentive plan will not have a
diluting effect on Metso's share value.
Metso is a global supplier of technology and services to customers in the
process industries, including mining, construction, pulp and paper, power, and
oil and gas. Our 30,000 professionals based in over 50 countries deliver
sustainability and profitability to customers worldwide. Expect results.
www.metso.com , www.twitter.com/metsogroup
For further information please contact:
Merja Kamppari, Senior Vice President, HR, Metso, tel. +358 20 484 3119
Harri Nikunen, Chief Financial Officer, Metso, tel.+358 20 484 3010
VP, Investor Relations
NASDAQ OMX Helsinki Ltd