Other information

In accordance with Consob resolution no. 18049 of 23 December 2011, we note that:

  • in drawing up the Policy 2015, the Company did not use external consultants and/or experts;
  • Pirelli has no plans for incentivisation via financial instruments.
  • in defining Policy 2015, Pirell has not used specific payment policies of other companies as a reference. Regarding the remuneration structure for each position, benchmark selection criteria are provided.

Schedule no. 7-bis, adopted with Consob resolution no. 18049 of 23 December 2011, stipulates that the Remuneration Report, in the section provided for by art. 123-ter referring to the members of the administrative bodies, the General Managers, and other Executives with strategic responsibility, must contain at least the information required by the said schedule. Below is a table indicating the required information and stating the part of the Report in which this information is provided:

 

Information required by schedule 7-bis Paragraphs in which - in particular - the required information is provided

Information required by schedule 7-bisParagraphs in which - in particular - the required information is provided
a) bodies or persons involved in the drawing up and approval of the Remuneration Policy, specifying the respective roles and the bodies or individuals responsible for proper implementation of this Policy. 2. “Process” for defining and updating the Policy and persons involved 3. Remuneration Committee
b) any intervention by the Remuneration Committee or other committee competent to do so, describing the composition (with distinction between non-executive and independent directors), the competence and mode of operation; 2. “Process” for defining and updating the Policy and persons involved
3. Remuneration Committee
c) the names of any independent experts involved in drawing up the Remuneration Policy; 14. Other information
d) the aim of the Remuneration Policy, the principles that underlie it, and any changes made to the remuneration policy compared to that of the previous financial year; 1. Principles and examination of risks
13. Changes to the Remuneration Policy in comparison to that of the previous financial year.
e) description of the policies regarding fixed and variable components of the remuneration, with particular regard to indicating relative weighting, within the overall remuneration, and distinguishing between variable components for the short term and the medium to long term;    

The structure of the remuneration for various individuals is described in the paragraphs which indicate the different weightings for fixed/variable; variable short term/variable medium to long term
5. MBO and LTI Plan
8. Remuneration of the Directors of Pirelli & C.
9. The Board of Statutory Auditors
10. Remuneration of Directors vested with special roles
11. General Managers and Executives with strategic responsibility
12. Senior Managers and Executives
The paragraph below indicates and illustrates the functioning of the variable components of the remuneration:  

f) the policy followed regarding non-monetary benefits;   Paragraphs for each position
8. Remuneration of the Directors of Pirelli & C.
10. Remuneration of Directors vested with special roles
11. General Managers and Executives with strategic responsibility 12. Senior Managers and Executives
g) with reference to the variable components, a description of the performance objectives under which they are assigned, distinguishing between the variable components of short term, and medium-long term, and information on the link between the variation in results and variation in remuneration; 5. MBO and LTI Plan  
h) the criteria used for evaluating the performance objectives on which allocation of shares, options, other financial instruments or other variable remuneration components is based; 5. MBO and LTI Plan
i) information aimed at highlighting the consistency of the Remuneration Policy with the pursuit of the long-term interests of the company and with the policy of risk management, where formalised; 1. Principles and examination of risks
5. MBO and LTI Plan
Also for the individual position
8. Remuneration of the Directors of Pirelli & C.
9. The Board of Statutory Auditors
10. Remuneration of Directors vested with special roles
11. General Managers and Executives with strategic responsibility
12. Senior Managers and Executives
j) the terms for accrual of rights (vesting period), any deferred payment systems, and indication of the periods of deferment and the criteria used to determine these periods and, if required, the ex post correction mechanisms; Pirelli has no plans for incentivisation via financial instruments. Regarding the mechanisms for deferment of variable monetary components, see. Paragraph:
5. MBO and LTI Plan
k) information on any clauses for maintaining the portfolio of financial instruments after their acquisition, indicating the periods of retention and the criteria used to determine these periods; Pirelli has no plans for incentivisation via financial instruments.
l) the policy for the procedures provided in the event of resignation or termination of employment, specifying what circumstances lead to legal entitlement and any connections between these procedures and the company’s performance; 6. Compensation in the event of resignation, dismissal or termination of employment
7. Non-competition agreements
m) information on the presence of any insurance cover, whether of a social security or pension nature, other than that which is mandatory;         Paragraphs for each position
8. Remuneration of the Directors of Pirelli & C.
9. The Board of Statutory Auditors
10. Remuneration of Directors vested with special roles
11. General Managers and Executives with strategic responsibility
12. Senior Managers and Executives
n) the remuneration policy followed with respect to: (i) independent Directors, (ii) participation committees and (iii) performance of special roles (chairman, vice president, etc.); 8. Remuneration of the Directors of Pirelli & C.
o) if the remuneration policy has been defined using the remuneration policies of other companies as a reference, and if so, the criteria used for selecting these companies 14. Other information