ANNUAL REPORT 2021 slide image

ANNUAL REPORT 2021

LUNDBECK ANNUAL REPORT 2021 E CONTENTS CONSOLIDATED FINANCIAL STATEMENTS NOTE 3 3 EMPLOYEE COSTS - CONTINUED Remuneration of the registered Executive Management Equity- and 59/111 year to year. The CEO has a target of up to 100% and a maximum of up to 117% of the fixed annual base salary. The other registered Executive Management members have a target of up to 33.33% and a maximum of up to 50% of the fixed annual base salary. All registered Executive Management members may receive payment below target and potentially no payment in case of performance below target. cash- Total settled Salary DKKm Cash bonus Pension DKKm DKKm Other incentive benefits programs DKKm DKKm Total DKKm Tax indemni- fication¹ DKKm after tax indemni- Remuneration of key management personnel fication DKKm 2021 Short-term employee benefits Deborah Dunsire', President and CEO Lars Bang, Executive Vice President, 9.9 8.0 0.2 4.2 22.3 34.3 56.6 Retirement benefits Other social security costs Product Development & Supply 4.1 1.3 1.1 0.2 2.3 9.0 9.0 Equity- and cash-settled incentive programs Anders Götzsche, Executive Vice President, CFO Total 2021 DKKm 2020 DKKM 104 96 10 11 1 1 12 11 127 119 5.1 1.6 1.3 0.2 0.5 8.7 8.7 Per Johan Luthman, Executive Vice President, Research & Development 4.0 1.3 1.1 0.2 1.8 8.4 8.4 Jacob Tolstrup, Executive Vice President, Commercial Operations Total Key management personnel are defined as persons who report directly to the registered Executive Management. 4.0 1.3 1.0 0.2 2.2 8.7 8.7 27.1 13.5 4.5 1.0 11.0 57.1 34.3 91.4 Remuneration of the Board of Directors 2020 Deborah Dunsire¹, President and CEO Lars Bang, Executive Vice President, 9.6 9.1 0.4 3.9 23.0 2.7 25.7 Product Development & Supply 4.0 1.8 1.1 0.2 2.2 9.3 9.3 Anders Götzsche, Executive Vice President, CFO 5.0 24 2.4 1.3 0.2 2.3 11.2 11.2 Per Johan Luthman, Executive Vice President, Research & Development 3.8 1.7 1.0 0.2 1.1 7.8 7.8 Jacob Tolstrup, Executive Vice President, Commercial Operations Total 3.9 1.7 1.0 0.2 1.9 8.7 8.7 26.3 16.7 4.4 1.2 11.4 60.0 2.7 62.7 1) According to the employment agreement with Deborah Dunsire, Lundbeck is entitled to pay the difference in taxation on investment return from personal assets between the U.S. and Denmark. Each of the registered Executive Management members participates in a short-term incentive program that provides an annual cash bonus based on the achievement of predetermined targets for the preceding financial year. The short-term incentive payment levels will be determined by the Board of Directors from The total remuneration of the Board of Directors for 2021 amounted to DKK 8.5 million (DKK 7.5 million in 2020). The amount includes fees for participation in the Audit Committee of DKK 0.7 million (DKK 0.7 million in 2020), the Remuneration Committee of DKK 0.7 million (DKK 0.7 million in 2020), the Scientific Committee of DKK 0.9 million (DKK 0.7 million in 2020) and travel allowances of DKK 1.1 million (DKK 0.8 million in 2020) for board members with permanent residence outside of Europe. The remuneration for 2021 is consistent with the remuneration approved at the Annual General Meeting held on 23 March 2021. The members of the Board of Directors held a total of 44,113 Lundbeck shares at 31 December 2021 (47,313 shares in 2020). The total remuneration of the chairman of the Board of Directors amounted to DKK 1.7 million (DKK 1.7 million in 2020). The total remuneration of the deputy chairman of the Board of Directors amounted to DKK 1.2 million (DKK 1.2 million in 2020). These amounts include fees for participation in Board committees.
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