Remuneration Report
This Remuneration Report sets out the Company’s policy on Directors’ remuneration for 2009 and, so far as practicable, for subsequent years. In framing this policy the Committee has given full consideration to the provisions of the Code.
The Company’s policy for Executive Director remuneration is that total remuneration (basic remuneration plus short term and long term remuneration) should reward both short and long term results, delivering competitive rewards for target performance.
The Company’s policy for basic Director remuneration is to pay competitive market salaries and associated benefits, having regard to the Directors’ experience, the size and complexity of the job and any other relevant factors, such as business sector expertise.
Share ownership is encouraged. Equity-based reward programmes align the interests of Executive Directors with those of shareholders and the long term success of the Group.
The Committee considers that a successful remuneration policy needs to be sufficiently flexible to take account of future changes in the Company’s business environment and in remuneration practice. Any changes in policy for years after 2009 will be described in future Remuneration Reports. Any statements in this Report in relation to remuneration policy for years after 2009 should be considered in this context.