Annual General Meeting of Loomis AB (publ)

At today's Annual General Meeting of Loomis AB (publ) the following was resolved:

Board of Directors and auditor

The Annual General Meeting resolved that the number of Board members shall be six with no deputy members. The Meeting re-elected Alf Göransson, Jan Svensson, Ulrik Svensson, Ingrid Bonde and Cecilia Daun Wennborg as board members. Patrik Andersson was elected as new board member. Alf Göransson was re-elected Chairman of the Board. The fee to the board members was determined to a total of SEK 2,450,000 (including fees for committee work) apportioned so that the Chairman of the Board shall receive SEK 700,000 and the other board members, except for the managing director, SEK 325,000 each. The remuneration for committee work was determined to be unchanged and the Chairman of the Audit Committee shall receive SEK 200,000, the Chairman of the Remuneration Committee SEK 100,000, a member of the Audit Committee SEK 100,000 and a member of the Remuneration Committee SEK 50,000. As company auditor, the Meeting re-elected the accounting firm PricewaterhouseCoopers AB, with authorized public accountant Patrik Adolfsson as auditor in charge, for a period of one year. The auditor’s fees were resolved to be paid as per agreement.

Nomination Committee

The Meeting re-elected Jan Svensson (Investment AB Latour, etc.), Mikael Ekdahl (Melker Schörling AB), Marianne Nilsson (Swedbank Robur fonder), Johan Strandberg (SEB Fonder) and Henrik Didner (Didner & Gerge Fonder) as members of the Nomination Committee before the Annual General Meeting 2017. Jan Svensson was appointed Chairman of the Committee.

Dividend

In accordance with the proposal of the Board, the Meeting resolved to declare a dividend of SEK 7.00 per share.

May 4, 2016 was determined as record date for dividend and payment from Euroclear Sweden AB is expected to commence on May 10, 2016.

Guidelines for remuneration to Group Management

The Annual General Meeting resolved on the adoption of guidelines for remuneration to Group Management, principally entailing that the remuneration and terms of employment shall be competitive and in accordance with market conditions, in order to ensure that the Loomis Group will be able to attract and keep competent management employees. The guidelines principally entail that the total remuneration to Group Management shall consist of fixed salary, possible variable remuneration and other customary benefits and pension. The variable remuneration shall have an upper limit and be based on pre-determined targets. Pension rights for members of the Group Management shall be applicable as from the age of 65, at the earliest and shall, to the extent members are not subject to pension benefits pursuant to collective agreement (ITP-plan), be provided pursuant to a defined contribution pension plan. The Board shall be entitled to deviate from the guidelines in individual cases if there are particular grounds for such deviation. The complete guidelines are published on the company website.

Incentive Scheme

The Meeting resolved, in accordance with the Board proposal, on the implementation of a share and cash based incentive scheme (the “Incentive Scheme”). The implementation of the Incentive Scheme principally entails that 1/3 of any annual bonus earned may be paid in the form of class B shares in Loomis with delayed payment and subject to continued employment with Loomis.

Approximately 350 key employees will participate in the Incentive Scheme and thereby be entitled to receive a part of the annual bonus in the form of shares in Loomis, provided that certain predetermined and measurable performance criteria are met. The existing principles relates to result improvements and are set as close to the local business as possible and aim for long term profitability of the group.

Provided that the applicable performance criteria are met, the annual bonus will be determined at the outset of 2017 and be payable by (i) 2/3 in cash at the outset of 2017 and (ii) 1/3 in class B shares (the “Bonus Shares”) at the outset of 2018. The number of Bonus Shares to which each participant will be entitled shall be determined by the ratio between the available bonus and the share price at the time of determination of the bonus. Distribution of Bonus Shares in accordance with (ii) presupposes that the participant is employed by Loomis as of the last day of February 2018. If the total accrued bonus amounts to less EUR 4,200, the whole bonus will be paid out in cash in accordance with (i) above.

Furthermore, in order to enable Loomis’ delivery of Bonus Shares in accordance with the Incentive Scheme, the Meeting resolved to enter into a share swap agreement with a third party, whereby the third party in its own name shall acquire and transfer shares in the company to employees participating in the Incentive Scheme.

CEO comments

Loomis has a long and successful history and today holds the position as the world's leading specialist in cash handling with more than 23,000 employees operating in over 400 branches in more than 20 countries. Since the IPO in 2008, Loomis has grown from SEK 11.3 billion in revenue and an operating margin of 6.6 percent, to revenues of SEK 16.1 billion and an operating margin of 10.6 percent in 2015. Meanwhile, the market capitalization has evolved from just over SEK 4 billion upon the listing in 2008, to about SEK 17.1 billion today.

Cash is an important part of society. Today, more than three quarters of all transactions in the world are made with cash, and the amount of cash in the world increases with about 1 percent per year. We can conclude that, despite an increasing share of alternative means of payment methods, the amount of cash globally continues to increase. Cash still represents a very large proportion of total number of transactions made. Our view is that this will persist for a long time. In addition, the global outsourcing trend of cash management services has just begun. All in all, these opportunities give us great reassurance in a continued good development for Loomis and its shareholders.

This press release is also available at: www.loomis.com

May 2nd, 2016

Alf Göransson
Chairman of the Board

Phone: 46 8 522 920 99 (switchboard)

Loomis offers secure and effective comprehensive solutions for the distribution, handling, storage and recycling of cash and other valuables. Loomis’ customers are banks, retailers and other companies. Loomis operates through an international network of more than 400 branches in more than 20 countries. Loomis employs more than 23,000 people and had revenue in 2016 of SEK 16 billion. Loomis is listed on Nasdaq Stockholm Large-Cap list.

Loomis AB discloses the information provided herein pursuant to the Swedish Securities Market Act and/or the Financial Instruments Trading Act. The information was submitted for publication at 7.55am CEST on May 2nd, 2016.

Tags: