2011 Annual Report - OTCIQ.com

The remaining other compensation of the members of the
Board of Management consists primarily of benefits in kind
from the personal use of company cars and, in some cases,
temporary coverage of rent payments for a second residence,
relocation costs, and real-estate agent fees along with the
income tax levied on this compensation.
Following the adjustment of the premium (the Company’s
website contains an explanation of how this deviates from
the Code), stock-based compensation with a value of €20.14
(according to Section 314, Paragraph 1, Item 6a of the German
Commercial Code) per performance right from the sixth
tranche was included in Board of Management members’ total
compensation for 2011. For purposes of internal communications
between the Board of Management and the Supervisory
Board, the target value is used instead of the above-mentioned
value. The target value is equal to the cash payout amount
of each performance right if at the end of the vesting period
E.ON stock maintains its price and the value-added factor is
100 percent. In 2011, the target value of the rights issued was
€1,350,000 for the Chairman of the Board of Management,
€0.8 million for Dr. Schenck, and €0.6 million for all other Board
of Management members. The German Commercial Code
(Section 314, Paragraph 1, Item 6a, Sentence 9) requires supplemental
disclosure, by year, of the Company’s expenses for all
CEO Letter
E.ON Stock
Combined Group Management Report
Consolidated Financial Statements
Corporate Governance Report
Supervisory Board and Board of Management
Tables and Explanations
tranches granted in 2011 and in previous years and for tranches
existing in 2011. The following expenses in accordance
with IFRS 2 were recorded for performance rights existing in
the 2011 financial year (figures are approximate): Dr. Teyssen
€86,000, Mr. Kildahl €128,000, Mrs. Stachelhaus €128,000,
Prof. Dr. Maubach €136,000, Dr. Reutersberg €136,000, and
Dr. Schenck €19,000.
Additional information about E.ON AG’s stock-based compensation
program can be found in Note 11 to the Consolidated
Financial Statements. As in the prior year, no loans were outstanding
or granted to members of the Board of Management
in 2011 financial year. Page 203 contains additional information
about the members of the Board of Management.
Payments Made to Former Members of the Board
of Management
Total payments made to former Board of Management members
and to their beneficiaries amounted to €9.5 million in
2011 (2010: €25.4 million).
Provisions of €137.7 million (2010: €136.6 million) have been
provided for pension obligations to former Board of Management
members and their beneficiaries.
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