|Wages and salaries||141.2||140.5|
|Defined contribution plans||18.2||17.4|
|Defined benefit plans||-1.6||-1.6|
|SHARE-BASED INCENTIVE PLAN|
|Other social security expenses||11.4||12.9|
|Average number of personnel||3,137||3,192|
The number of personnel in each segment is presented in Note 1, Operating segments.
The management's employee benefits are presented in Note 28, Related party transactions.
The Board of Directors of Orion Corporation has decided on a new share-based incentive plan for the key persons in the Group. The share-based incentive plan has earning periods, and the Board of Directors will annually decide the beginning and duration of the earning periods in 2010, 2011 and 2012. The Board of Directors will decide the earning criteria for each period and targets to be set for them at the beginning of each earning period. Two earning periods, calendar year 2010 and calendar years 2010–2012, commenced upon implementation of the plan. A prerequisite for participation in the earning periods 2010 and 2010–2012 and for receipt of remuneration based on these earning periods is that the key person holds the Company’s shares as determined by the Board of Directors. The potential remuneration under the plan for the earning period 2010 is dependent on the Orion Group’s profit performance and fulfilment of the above-mentioned participation prerequisite, and for the earning period 2010–2012 on the total return on Orion Corporation B shares.
This potential remuneration will be paid in 2011 based on the earning period 2010, and in 2013 based on the earning period 2010–2012, in both cases partly in the form of the Company’s B shares and partly in cash. The shares paid on the basis of the earning period 2010 cannot be transferred during a restricted period that ends on 31 December 2012. A key person whose employment or service in a Group company ends during the restricted period must return the shares received as remuneration to the Company without compensation.
The incentive plan target group comprises approximately 30 persons. The total maximum amount of remuneration to be paid on the basis of the incentive plan is 500,000 Orion Corporation B shares and a cash payment corresponding to the value of the shares.
The share-based remuneration was granted on 5 March 2010. The fair value of the shares granted for the earning period 2010 was EUR 16.94, which was the share price of B shares on the granting date. The anticipated dividends have not been separately taken into account because the recipient of the benefit is entitled to dividends relating to the benefit. The costs due to the plan are recorded as expenses during the restricted period.
The average weighted fair value of the remuneration granted based on the total return on Orion Corporation B shares for the earning period 2010–2012 was 7.18. The fair value has been determined using the binary asset-or-nothing call option method. The anticipated dividends have not been separately taken into account because dividends are taken into account in determining the share-based remuneration.
During the period, 65,606 (2009: 44,806) B shares were transferred as share-based remuneration for 2009 based on the Company’s earlier (2007) incentive plan. The price per share of the transferred shares was EUR 16.47, which was the volume weighted average quotation of Orion Corporation B shares on 1 March 2010. The total transaction price of the transferred shares was EUR 1,080,564. The shares received as remuneration cannot be transferred during a restricted period of two years from the date they were received, except in some special cases.
|Assignments in accordance with the Auditing Act||0.0||0.0|
|Consultation on taxation||0.1||0.1|