The Board of Directors of Konecranes Plc has decided to establish a new Performance Share Plan
KONECRANES PLC STOCK EXCHANGE RELEASE February 1, 2023 at 8:30 p.m. EET
The Board of Directors of Konecranes Plc has decided to establish a new Performance Share Plan
The Board of Directors of Konecranes Plc has decided to establish a new Performance Share Plan 2023 (the “Plan”) for Konecranes key employees. The purpose of the Plan is to align the objectives of Konecranes’ shareholders and key employees and thus to increase the value of the company, to commit key employees to the company and to reward them for achieving set targets.
The potential rewards are directly linked to Key Performance Indicators (KPIs) supporting long-term shareholder return, and the Plan has a three-year performance period from 2023 to 2025.
The Plan has two performance criteria: the cumulative adjusted Earnings per Share (EPS) for the financial years 2023-2025 with a 60 percent’s weighting and the compound annual growth rate (CAGR) for Sales for the financial years 2023-2025 with a 40 percent’s weighting. Adjustments to the EPS include defined restructuring costs, mergers and acquisitions related deal costs and other unusual items. The targets for the three-year performance period have also been decided by the Board of Directors.
The target group of the Plan consists of a maximum of 170 Konecranes key employees. The rewards to be paid on the basis of the performance period 2023-2025 correspond to the value of a maximum total of 700,000 Konecranes Plc shares, and the payment of the potential rewards takes place in 2026, if plan term conditions are met.
The potential rewards from the Plan will be paid partly in Konecranes Plc shares and partly in cash. The cash proportion is intended to cover taxes and tax-related costs arising from the rewards to the plan participants. As a rule, no reward will be paid if a plan participant's employment or service ends before the reward payment.
The Board of Directors proposes to the Annual General Meeting of Shareholders to be convened later this year, that the Board of Directors be authorized to decide on the share issue, or the transfer of treasury shares needed for the implementation of the Plan.
KONECRANES PLC
Kiira Fröberg
Vice President, Investor Relations
FURTHER INFORMATION
Kiira Fröberg,
Vice President, Investor Relations,
tel. +358 (0) 20 427 2050
Konecranes is a world-leading group of Lifting Businesses, serving a broad range of customers, including manufacturing and process industries, shipyards, ports and terminals. Konecranes provides productivity enhancing lifting solutions as well as services for lifting equipment of all makes. In 2021, Group sales totaled EUR 3.2 billion. The Group has approximately 16,500 employees in around 50 countries. Konecranes shares are listed on the Nasdaq Helsinki (symbol: KCR).
DISTRIBUTION
Nasdaq Helsinki
Major media
www.konecranes.com