Operation
Financial, operational and business targets are set at the start of the year by the Committee and bonus levels are determined by the Committee based on performance against those targets.
Individual objectives are set at the start of the year by the Committee and performance against objectives is assessed by the Committee.
Executive Directors are required to defer 25% of any bonus earned into shares, or ADS as appropriate, for three years. They may defer up to an additional 25% of bonus earned, i.e. up to an overall maximum deferral of 50%. Deferred shares vest at the end of the three year performance period.
Deferred bonus shares are eligible for dividend equivalents up to the date of vesting.
The Committee may apply judgement in making appropriate adjustments to individual annual bonus amounts.
Clawback and/or malus provisions apply as
described on page 119.