_118 2023 UNIVERSAL REGISTRATION DOCUMENT_MICHELIN 3 CORPORATE GOVERNANCE REPORT Management and Supervisory Board compensation policies for 2024 Yves Chapot, General Manager Calculation method The performance criteria and objectives applicable to the General Manager would be determined and assessed in the same way as for the Managing Chairman, except for the specific features linked to the status of General Partner. Annual variable compensation structure These criteria and objectives are presented in the following table which also shows the threshold, target and ceiling values for the quantitative criteria objectives: Criterion Objective Measurement method(1) Min. Target Max. Quantitative criteria and objectives (70% of the target fixed compensation) Net income Profit As a % of fixed compensation 0% 20% 30% Value of the indicator €1,750m €2,000m €2,150m 2024 segment operating income (SOI) (life-for-like vs. 2023) Profit As a % of fixed compensation 0% 25% 37.5% Value of the indicator €3,500m €3,670m €3,800m Growth in free cash flow before acquisitions Profit As a % of fixed compensation 0% 25% 37.5% Value of the indicator €1,500m €1,800m €2,050m TOTAL QUANTITATIVE 0% 70% 105% Quantifiable qualitative criteria and objectives (30% of the target fixed compensation) Implementation of the strategy (deployment of the transformations) Profit Board assessment based on implementation of the Balanced Score Card As a % of fixed compensation 0% 10% 15% Value of the indicator N/A N/A N/A Total Case Incident Rate (TCIR) People As a % of fixed compensation 0% 5% 7.5% Value of the indicator 1.01 0.95 1.00 Percentage of Group management positions held by women People As a % of fixed compensation 0% 5% 7.5% Value of the indicator 22.5% 23.5% 24.5% CO2 emissions (Scopes 1 and 2) Planet As a % of fixed compensation 0% 10% 15% Value of the indicator 2.14 mt 2.04 mt 1.94 mt TOTAL QUANTIFIABLE QUALITATIVE 0% 30% 45% Total quantitative and qualitative excluding net income criterion 0% 80% 120% TOTAL VARIABLE AS A % OF FIXED COMPENSATION 0% 100% 150% MAXIMUM TOTAL VARIABLE (IN €) 1,155,000 (1) For each criterion, a threshold rate, target rate and capped outperformance rate are defined; for performance between the threshold rate and the target rate, or between the target rate and the outperformance rate, the variable compensation is calculated on a straight-line basis.
RkJQdWJsaXNoZXIy NzMxNTcx