THE BOARD OF DIRECTORS OF PONSSE PLC RESOLVED ON AN INCENTIVE PLAN FOR KEY
PONSSE PLC STOCK EXCHANGE RELEASE 29 APRIL 2010
THE BOARD OF DIRECTORS OF PONSSE PLC RESOLVED ON AN INCENTIVE PLAN FOR KEY
PERSONNEL
The Board of Directors of Ponsse Plc has decided to continue the share-based
incentive plan for the Group key personnel introduced by the Company in 2008.
The aim of the Plan is to combine the objectives of the shareholders and the key
personnel in order to increase the value of the Company, to commit the key
personnel to the Company, and to offer them a competitive reward plan based on
holding the Company shares. ”The incentive plan for the Group's key personnel is
a part of long-term company development. Throughout Ponsse's 40-year history,
the personnel have been one of the most important resources in the company. The
aim of the incentive plan is to engage key employees in different parts of the
organisation to develop the company even further in the long term and to commit
themselves to common goals,” says Einari Vidgrén, the Chairman of the Board of
Ponsse Plc.
The Plan includes three earning periods, calendar years 2010—2012, 2011—2013 and
2012—2014. The Board of Directors will decide on the earnings criteria and on
targets to be established for them for each earning period. The earnings
criteria of the earning period 2010—2012 are the Ponsse Group´s cumulative cash
flow, operating profit margin on average and total return on Ponsse Plc share.
The potential reward from the earning period 2010—2012 will be paid partly as
the Company's shares and partly in cash. The proportion to be paid in cash is
intended to cover taxes and tax-related costs arising from the reward to the key
personnel. The shares cannot be transferred during a two-year restriction
period. If a key person's employment or service ends during the restriction
period, he or she must gratuitously return the shares given as reward to the
Company.
The president and CEO must hold 50% of the shares paid on the basis of the Plan,
after the restriction period, as long as the value of the Company shares held by
him, in total corresponds to his annual gross salary, and any other member of
the Group Management Team, as long as the value of the Company's shares held by
him or her, in total corresponds to half of his or her annual gross salary.
During the earning period 2010—2012, approximately 20 people belong to the
target group of the Plan. The rewards to be paid on the basis of the earning
period 2010—2012 will correspond to the value of a maximum total of 211,000
Ponsse Plc shares (including also the proportion to be paid in cash).
Vieremä 29 April 2010
PONSSE PLC
Einari Vidgrén
Chairman of the Board
FURTHER INFORMATION
Juho Nummela, President and CEO, tel. +358 400 495 690
DISTRIBUTION
NASDAQ OMX Helsinki Ltd
Main media
www.ponsse.com
Ponsse Plc specialises in the sales, production, maintenance and technology of
cut-to-length forest machines. Its operations are guided by a genuine interest
in its customers and their business operations. The company develops and
manufactures innovative harvesting solutions that follow the principles of
sustainable development and are based on customer needs.
The company was established by forest machine entrepreneur Einari Vidgrén in
1970, and it has been a pioneer of timber harvesting solutions based on the
cut-to-length method ever since. Ponsse is headquartered in Vieremä, Finland.
The Company's shares are quoted on the NASDAQ OMX Nordic List. The Group
operates in approximately 40 countries.
