Management Remuneration

Guidelines for remuneration to the CEO and other senior executives are adopted by the annual general meeting. The annual general meeting of 9 May 2022 resolved that remuneration to the CEO and other senior executives shall comprise basic salary, variable remuneration, pensions and other remuneration.

All pension benefits are defined contribution plans. Variable remuneration is prepared and approved by the board. The allocation between basic salary and, where applicable, variable remuneration shall be in proportion to the executive’s responsibilities and authorities.

The variable remuneration paid to the chief executive officer is capped at a maximum of 75 percent of annual salary. For other senior executives, the variable remuneration is capped at 0–50 percent of annual salary. The variable remuneration for the chief executive officer and other senior executives is based on the outcome of a number of quantitative parameters against set targets.

The quantitative parameters relate to the company’s share price development, performance of operational management and the focus issues for each financial year.

Remuneration to the CEO and other senior executives

The chief executive officer  has an employment contract with six months notice period. Following termination of employment there is a twelve-month non-competition clause under which the company will compensate the chief executive officer so that he receives the same salary he received at the end of employment. Other senior executives have a three - six-month notice period or such longer period required by law, without severance pay.

The chief executive officer and other senior executives are otherwise not entitled to any compensation in connection with termination of their employment. In 2021 total remuneration to the chief executive officer and senior executives amounted to SEK 10 530 thousand (see breakdown in the table above).

The table below presents an overview of remuneration to the CEO and other senior executives who were also engaged by the company during financial year 2021.

SEKk Director’s fee/basic salary consulting fee (ex. VAT) Defined-contribution pension costs Variable remuneration Total remuneration
CEO 2 880 778 2 160 5 818
Other senior executives 3 060 819 833 4 712
Total senior executives 5 940 1 597 2 933 10 530