TDC Group Annual Report 2011(6,4MB) - TDC Annual Report 2011
TDC Group Annual Report 2011(6,4MB) - TDC Annual Report 2011
TDC Group Annual Report 2011(6,4MB) - TDC Annual Report 2011
You also want an ePaper? Increase the reach of your titles
YUMPU automatically turns print PDFs into web optimized ePapers that Google loves.
<strong>TDC</strong> <strong>Group</strong> <strong>Annual</strong> <strong>Report</strong> <strong>2011</strong><br />
Deferred bonus<br />
The value of the bonus which the Corporate Management Team members are obliged to defer at the beginning of 2012<br />
amounted to DKK 8.6m. The value of the bonus which the Corporate Management Team members and other executives have<br />
the opportunity to defer at the beginning of 2012 amounted to DKK 15.4m. The value of potential matching shares amounted<br />
to DKK 9.8m.<br />
Liabilities arising from share-based remuneration amounted to DKK 15m at 31 December <strong>2011</strong>, compared with DKK 0m at 31<br />
December 2010.<br />
Performance share units<br />
<strong>2011</strong><br />
Outstanding<br />
at 1 January Granted Transferred Exercised Forfeited<br />
Outstanding at<br />
31 December<br />
<strong>2011</strong> grant to the Corporate Management Team 0 318,195 13,754 0 0 331,949<br />
<strong>2011</strong> grant to other managers 0 1,035,363 (13,754) 0 (51,558) 970,051<br />
None of the outstanding performance share units at 31 December <strong>2011</strong> were exercisable. The fair value at grant were DKK<br />
31.88 per unit for the <strong>2011</strong> grant. The fair value of the <strong>2011</strong> grant is calculated using a Monte Carlo simulation model with an<br />
interest rate of 1.38%, a volatility for <strong>TDC</strong> of 20.3%, an average correlation between <strong>TDC</strong> and peers of 49.1% and a share<br />
price at the time of grant of DKK 48.45.<br />
Share options for certain employees in Danish enterprises<br />
<strong>TDC</strong> had a revolving share-option programme for employees in <strong>TDC</strong>’s domestic enterprises. The programme ceased in 2006<br />
and was replaced by another long-term incentive programme. At 31 December <strong>2011</strong>, there were no outstanding share<br />
options, compared with 5,595 at 31 December 2010. No share options were exercised in <strong>2011</strong> or 2010.<br />
No expenses resulted from the Danish share-option programme in <strong>2011</strong> or 2010.<br />
Employee Share Grant<br />
In December 2010, <strong>TDC</strong> made a one-time grant for free of shares in <strong>TDC</strong> to all <strong>TDC</strong> employees, representing a value for each<br />
employee of DKK 12,000. The grant resulted in a total cost of DKK 145m, which was recognised as a special item in 2010. For<br />
Danish employees, the granted shares are locked up for a seven-year period in order for the shares to be exempt from income<br />
tax for the employees.<br />
122
Change language