FORTUM CORPORATION INVESTOR NEWS 17 DECEMBER 2018 AT 18.55 EET
The Board of Directors of Fortum Corporation has decided to commence the 2019-2021 long-term incentive (LTI) plan for key employees and executives. The 2019-2021 LTI plan is part of Fortum's ongoing LTI programme and follows the same principles as the previous plan.
The objective of the LTI programme is to support the implementation of the company’s strategy, delivery of sustainable long-term value enhancing performance, and to align the interests of the executive management and key employees with its shareholders.
The performance measure applied to the 2019-2021 LTI plan will be based on the total shareholder return measured relative to the peer group comprising selected European utility companies. Potential rewards related to the 2019-2021 LTI plan will be paid in the spring 2022, assuming that the performance target set by the Board of Directors is achieved.
The 2019-2021 LTI plan will comprise approximately 130 participants, including the members of Fortum Executive Management.
The maximum number of shares that may potentially be delivered as a reward under the 2019-2021 LTI plan, based on the currently prevailing price of Fortum’s share, is expected not to exceed 700,000 shares.
In December 2016, Fortum announced an amendment of its LTI programme. The programme complies with the Finnish government ownership guidelines for management remuneration. The combined value of all variable compensation paid to an individual participant under the long and short-term incentive plans may not exceed 120 per cent of the person’s gross annual fixed salary in any year.
For further information regarding the company’s inventive programmes, please see Fortum’s Remuneration Statement: www.fortum.com/governance.
Vice President, Investor Relations and Financial Communications
Måns Holmberg, Manager, Investor Relations & Financial Communications, tel. +358 44 518 1518
Jari Laitinen, Vice President, Compensation and Benefits, tel. +358 40 660 2506