On May 4th, 2007 and April 23rd 2008, the AGM approved long-term equity settled performance-based incentive programmes to be offered to no more than 30 senior executives within the Group. The purpose is to offer a remuneration package to ensure that remuneration within the Group helps align executives with shareholder interests, that the proportion of remuneration linked to company performance increases and that it encourages executive share ownership. In order to implement the performance based share programmes, the Board of Directors was authorised by the AGM's to decide on acquisitions of own shares on the stock exchange. The performance based share programme 2007 was based on no more than a total of 1,250,000 shares and the 2008 programme was based on no more than 1 860 000 shares.
The first programme was launched on June 15th, 2007, with a vesting period up to May 1st, 2010, and the second programme was launched on June 30th, 2008 with a vesting period up to May 1st 2011. The programmes have two different award elements; a bonus based award and a savings based award. The award is dependent on certain performance criteria, including growth in earnings per share and total shareholder return relative to a defined peer group.