The right to performance shares is lost in the event of departure from the Group due to resignation (other than in the case of termination of corporate office in connection with the exercise of pension rights under applicable retirement regimes) or termination for gross misconduct or gross negligence. In the event of dismissal of an executive corporate officer, the Board will decide, pursuant to the AFEP-MEDEF Code, on the outcome of performance shares grantedas from the appointment as executive corporate officer.
When the benefit of performance share grants to the executive corporate officer is maintained in the event of his or her departure prior to expiry of the vesting period, it is motivated by the following considerations:
| Performance share plan dated: | 20/04/2016 | 20/04/2017 | 17/04/2018 |
|---|---|---|---|
| Arithmetic average of performances across the 3 financial years concerned | Arithmetic average of performances across the 3 financial years concerned 20/04/20162017 – 2018 – 2019 |
Arithmetic average of performances across the 3 financial years concerned 20/04/20172018 – 2019 – 2020 |
Arithmetic average of performances across the 3 financial years concerned 17/04/20182019 – 2020 – 2021 |
| For 50%: Growth in comparable sales as compared to a panel of competitors* | For 50%: Growth in comparable sales as compared to a panel of competitors *20/04/2016+1.47 points |
For 50%: Growth in comparable sales as compared to a panel of competitors *20/04/2017+2.7 points |
For 50%: Growth in comparable sales as compared to a panel of competitors *17/04/2018+4.6 points |
| For 50%: Growth in the Group’s operating profit | For 50%: Growth in the Group’s operating profit 20/04/2016+6.99% |
For 50%: Growth in the Group’s operating profit 20/04/2017+3.95% |
For 50%: Growth in the Group’s operating profit 17/04/2018+8.3% |
| Level of achievement of the performance conditions | Level of achievement of the performance conditions20/04/2016100% | Level of achievement of the performance conditions20/04/201782.95% | Level of achievement of the performance conditions17/04/2018100% |
*Panel of competitors: Unilever, Procter & Gamble, Estée Lauder, Shiseido, Beiersdorf, Johnson & Johnson, Henkel, LVMH, Kao and Coty.
The executive corporate officer does not benefit from the payment of a remuneration for his/her position as Director.
There are no plans to supplement the executive corporate officer’s fixed remuneration by granting benefits in kind.
The executive corporate officer benefits from the necessary material resources for performance of his or her office such as, for example, the provision of a car with a driver. These arrangements, which are strictly limited to professional use, are not benefits in kind.
• Additional social protection schemes
The executive corporate officer continues to be treated in the same way as a senior manager during the term of his corporate office which allows him to continue to benefit from the additional social protection schemes and, in particular, the defined contribution pension scheme, and the employee benefit and healthcare schemes applicable to the Company’s employees.
