annual report 2004 - Severočeské doly a.s.

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Cash and In-kind Income
Information about all pecuniary income and income in kind received in the accounting period by executives and
members of the Supervisory Board from the issuer and from persons controlled by the issuer:
Board of Directors
In 2004, members of the Board of Directors received CZK 3,240,000 in fees; bonuses from the distribution of the profit
from 2003 amounted to CZK 6,715,000.
Supervisory Board
In 2004, members of the Supervisory Board received CZK 1,530,000 in fees; bonuses from the distribution of the profit
from 2003 amounted to CZK 2,079,000; income in kind amounted to CZK 118,000.
Executives
In 2004, the company’s executives received base pay totalling CZK 17,354,000; bonuses tied to the company’s results
came to CZK 21,119,000 and other pecuniary income and income in kind totalled CZK 910,000. Remuneration
for positions in the bodies of controlled companies came to CZK 1,131,000; bonuses from the distribution of the 2003
profit amounted to CZK 92,000.
Principles of Remuneration
The remuneration of members of the Board of Directors and Supervisory Board is governed by the principles approved
by the company’s General Meeting on 28 June 2002.
Members are due monthly remuneration in the scope approved by the Board of Directors. The company’s General
Meeting may also award bonuses for the financial results achieved by the company.
The total volume of resources available for fees and bonuses is subject to approval by the company’s General
Meeting.
The company may also provide resources and equipment, in accordance with approved principles, that are required
for a particular position, i.e. use of an office, communication technology, a company car. The terms and conditions
applicable to the use of such resources and equipment are governed by general regulations and by internal management
documents.
Members of the Board of Directors and Supervisory Board are insured to cover liability of the members of company
bodies for damage caused.
The remuneration of executives is governed by principles approved by the company’s Board of Directors.
Under these principles, a base pay is set, plus the amount of quarterly and annual bonuses. Bonuses are tied
to financial results (profit) and the fulfilment of other tasks connected with the holding of a position. Communication
technology and company cars may be assigned for particular positions.
Other matters are governed by the collective agreement.
Information on Securities
The number of shares issued by the company which are owned by members of statutory bodies, other executives
of the issuer, and members of the Supervisory Board, including the next of kin of these persons, is immaterial
and these persons did not engage in trading in such securities during 2004. Options and similar agreements
where the underlying assets are participating securities in favour of these persons have not been concluded.