UNBOUNCE - EXAMPLE PAGE-REPORT-ENTERPRISE DOCUMENT-KINGSPAN - Flipbook - Page 94
The table below sets out the performance against targets for each of the executive directors in respect of the year ended
31 December 2021.
Max
opportunity
as % salary
Weighting
Threshold
target
Target for
maximum
Performance
Payout
(% of max.)
Chief
Executive
150%
EPS (93%)
185.6 cent
226.8 cent
305.6 cent
100%
45
100%
Chief
Financial
Officer
150%
305.6 cent
100%
45
100%
Russell Shiels
150%
NPS (7%)
EPS (93%)
NPS in excess of 44
185.6 cent
NPS (7%)
NPS in excess of 44
Divisional
profit (40%)
90% of prior
year
110% of prior
year
119%
100%
EPS (53%)
185.6 cent
226.8 cent
305.6 cent
100%
45
100%
NPS (7%)
150%
Gilbert
McCarthy
NPS in excess of 44
Divisional
profit (40%)
90% of prior
year
110% of prior
year
142%
100%
EPS (53%)
185.6 cent
226.8 cent
305.6 cent
100%
45
100%
NPS (7%)
Following a reduction in bonus
payments to zero in 2020, in light of
stakeholder experiences, the committee
was satisfied that the formulaic
outturn of the bonus plan for 2021 was
an accurate reflection of underlying
company performance, individual
contribution and a holistic evaluation
of wider circumstances. In particular,
the committee considered the record
financial performance of the business,
the continued generation of superior
returns to shareholders, and the
substantial growth in headcount and
operational footprint. The committee
recognised the overall progression
in Group NPS in this, the first year
of implementing the metric, and
noted the continued development in
methodology and survey size, which
it intends to have externally validated
from 2022.
We do not disclose the specific financial
targets for the Divisional MDs, or
performance against them, as these
Measure
Weighting
EPS
TSR
90 - 91
226.8 cent
NPS in excess of 44
are commercially sensitive figures,
which would provide information
that would not otherwise be available
to competitors.
All bonuses earned in excess of 100% of
base salary will be satisfied by the grant
of share awards, which are deferred for
two years.
Performance Share Plan
In 2020, the committee reviewed the
level of awards being granted to the
executive directors, and determined
that an increase in level was merited
and would be within the overall
limits contained in the PSP rules. The
committee proposed to increase grant
levels from 175% to 200% for the CEO
and from 150% to 175% for the other
executive directors. However in February
2021, the committee considered that
it would be appropriate to maintain
the grant of PSP awards at the same
level as prior year, and to postpone
the proposed increased grant pending
an update on the implementation
of the Eversheds Sutherland
recommendations. In August 2021,
following an update to the committee
of progress against the Eversheds
Sutherland’s recommendations and
having considered the detailed actions
taken at both Group and within the
UK Insulation business, the committee
approved an additional grant of 25%
to each of the executives in line with
the prior year’s decision resulting in
total grants for the year of 200% and
175% of salary for the CEO and other
executive directors, respectively.
The committee reviewed the extent
to which the vesting targets in respect
of the PSP Awards granted in 2019
had been met by reference to EPS
and TSR targets over the three-year
performance period to 31 December
2021. In 2019, the committee granted
PSP Awards that were 50% based on
EPS growth targets and 50% based
on TSR targets:
Threshold target
Maximum Target
Performance
Payout (% of max.)
50%
6% CAGR
12% CAGR
18.4% CAGR
100%
50%
Median
Upper quartile
93rd percentile
100%
