39. Remuneration together with profit-sharing paid and due or potentially due to the Management Board, the Supervisory Board and other members of key executive personel of the Parent Company and the ORLEN Group companies

The Management Board’s, the Supervisory Board’s and other key executive personnel’s remuneration includes short-term employee benefits, post-employment benefits, other long-term employee benefits and termination benefits paid, due and potentially due during the period.

 20142013
(restated data)
Remuneration of the Management Board Members of the Parent Company 12 12
Remuneration and other benefits 7 6
Bonus paid for the previous year 5 6
Bonus potentially due to the Management Board Members, of the Parent Company to be paid in the next year² 6 5
Remuneration paid to the Management Board Members of the Parent Company performing the function in the previous years 1 1
Remuneration and other benefits¹ 1 -
Remuneration due to Management Board Member, to be paid in the next year - 1
Remuneration and other benefits of the key executive personnel 175 173
Other key executive personnel of the Parent Company 35 34
Key executive personnel of the subsidiaries belonging to the ORLEN Group 140 139
Remuneration of the Supervisory Board Members of the Parent Company 1 1

 

1) paid remuneration due to severance pay and paid bonus for 2011
2) bonus for 2014 estimated assuming, full realization of bonus goals by the Management Board Members and for 2013 on the basis of forecast goals realization

39.1. Bonus systems for key executive personel of the ORLEN Group

In 2014 there has been an amendment to the Bonus Regulations for Councillor Concern and directors that are directly reporting to the Management Board of PKN ORLEN and other key positions of ORLEN Group aiming to the higher level of standardization and improvement of bonuses motivating characteristics.

The regulations applicable to PKN ORLEN Management Board, directors directly reporting to the Management Board of PKN ORLEN entities and other key positions of ORLEN Group have certain common features. The persons subject to the above mentioned systems are remunerated for the accomplishment of specific goals set at the beginning of the bonus period, by the Supervisory Board for the Management Board Members and by the Management Board for the key executive personnel. The Bonus Systems are consistent with the Concern’s Values, so as to promote the cooperation between individual employees in view to achieve the best possible results for the ORLEN Group. The goals so-said are qualitative or quantitative and are accounted for the end of the year for which they were set. Regulation gives the possibility to promote employees, who significantly contribute to the achieved results.

39.2. Remuneration regarding non-competition clause and dissolution of the contract because of dismissal from the position held

According to agreements, Members of the PKN ORLEN Management Board are obliged to obey a non-competition clause for 6 or 12 months, starting from the date of termination or expiration of the contract. In the period, they are entitled to receive remuneration in the amount of six or twelve basic monthly remuneration, payable in equal monthly installments. In addition, agreements include remuneration payments in case of dissolution of the contract because of dismissal from the position held. Remuneration in such a case is six or twelve basic monthly remuneration.

As far as other companies of ORLEN Group are concerned, Management Board members are typically obliged to obey a non-competition clause for 6 months, starting from the date of termination or expiration of the contract. In the period, they receive remuneration in the amount of 50% of six months base salary remuneration, payable in 6 equal monthly installments. Furthermore, severance pay for dismissal from the position held amounts to three or six times basic monthly remuneration.