Nomination Committee’s proposal to Husqvarna AGM
The Annual General Meeting of Husqvarna AB will be held on 23 April 2008 in Jönköping, Sweden. The Nomination Committee’s proposal to the meeting includes the following:
• Unchanged number of Board members to be elected by the AGM (9)
• Re-election of Lars Westerberg, Bengt Andersson, Peggy Bruzelius, Börje Ekholm, Tom Johnstone, Anders Moberg, Gun Nilsson and Robert F. Connolly. Peder Ramel declines re-election.
• Election of Ulf Lundahl, Executive Vice-President, L E Lundbergföretagen
• Re-election of Lars Westerberg as Chairman of the Board, and proposed Chairman of AGM
• Increase of fees to Board members by SEK 100,000 to SEK 1.6m for Chairman and by SEK 22,500 to 460,000 for other members.
• Part of fees to be paid in synthetic shares.
• Unchanged principles for appointment of Nomination Committee for AGM 2009.
The proposal includes payment of up to 50% of fees to Board members in the form of synthetic shares. Such shares are not financial instruments in a legal sense, but a cash remuneration based on the trading price of Husqvarna B-shares. This means that fees to Board members would be linked to the long-term development of the company. In the opinion of the Nomination Committee this would be more beneficial to the company than conventional fees. Assuming that the company’s commitment to synthetic shares is hedged, e.g. by repurchase of own shares or through an agreement with a bank, in the judgement of the Committee the synthetic shares would not involve significant additional cost in comparison with conventional fees.
The synthetic shares would be paid during the fifth year after the board member taking office in an amount corresponding to the average trading price of B-shares in connection with the payment. Four payments would be made during the fifth year, each corresponding to 25% of the shares.
The Nomination Committee’s complete proposal will be included in the notice of the AGM.
For more information, please contact Åsa Stenqvist, Senior Vice President, Corporate Communications and Investor Relations, tel. +46 8 738 64 94