Harboes Bryggeri A/S : Remuneration Report 2020-2021

CRN (CVR No.): 43 91 05 12

HARBOES BRYGGERI A/S

REMUNERATION REPORT

2020/2021

Remuneration report for the Board of Directors and the Executive Board

This remuneration report constitutes an overview of the total remuneration that each member of the Board of Directors and the Executive Board of Harboes Bryggeri A/S has received during the 2020/21 financial year compared with last year. The Executive Board includes the members who are registered with the Danish Business Authority.

The remuneration of the Board of Directors and the Executive Board in the completed financial year has

been allocated in accordance with the company's remuneration policy, which was approved at the Annual General Meeting on 20 August 2020, and which is available on Harboe's website at https://harboe.com/investor/.

The overall purpose of the remuneration policy is to attract, motivate and retain qualified members of the Board of Directors and the Executive Board, and to ensure a coincidence of interests between the management and the company's

shareholders. The remuneration policy must help to support Harboe's business strategy, long- term interests, sustainability and value creation by supporting Harboe's long-term and short-term goals.

RESULTS FOR THE YEAR

In 2020/2021, Harboe has achieved results in line with expectations, reflecting a significant improvement compared to 2019/2020. Revenue

was slightly lower than the year before due to COVID-19 among other things, which challenged distribution and sales in the Group's international markets outside Europe. Profit before tax increased from DKK -32.1m in 2019/2020 to DKK 3.2m

in 2020/2021.

The improved earnings are based on implemented organisational adjustments and cost savings, as well as an expansion and focusing of international sales activities.

2	Remuneration Report 2020/2021 • Harboes Bryggeri A/ S

Remuneration to the Board of Directors

The Board of Directors is remunerated with a fixed basic fee of DKK

200,000. No remuneration is paid for participation in committee work on the Board of Directors.

FIXED ANNUAL FEE

Members of the Board of Directors receive a fixed annual basic fee, which is approved at the general meeting. The annual basic fee must be in accordance with market practice for comparable listed companies, taking into account the required competences, efforts and amount of work for board members.

The Chairman and the Vice-Chairman shall each receive a supplement for their extended duties.

No members of the Board of Directors receive share-based incentive pay, other variable remuneration or pension contributions. The company covers necessary travel expenses for board members.

EURFee

Member200,000

Chairman400,000

Deputy Chairman	300,000

3	Remuneration Report 2020/2021 • Harboes Bryggeri A/ S

Remuneration to the Board of Directors

			Board of
Name	Position	Year	Directors' fee	Committee fee	Fee total
Bernhard Griese	Chairman	2020/2021	400,000	0	400,000
		2019/2020	190,411	36,986	227,397
Mads Ole Krage	Deputy Chairman	2020/2021	300,000	0	300,000
		2019/2020	152,055	36,986	189,041
Claus Bayer	Member	2020/2021	200,000	0	200,000
	Chairman of the Remuneration Committee	2019/2020	0	0	0
Bettina Køhlert	Member	2020/2021	200,000	0	200,000
	Chairman of the Nomination Committee	2019/2020	0	0	0
Poul Calmer Møller	Member	2020/2021	200,000	0	200,000
		2019/2020	113,699	36,986	150,685
Ruth Schade	Member	2020/2021	200,000	0	200,000
	Chairman of the Audit Committee	2019/2020	0	0	0
Jens Bjarne Søndergaard Jensen	Employee-elected Member	2020/2021	200,000	0	200,000
		2019/2020	113,699	0	113,699
Søren Stampe*	Chairman	2020/2021	0	0	0
		2019/2020	46,027	0	46,027
Søren Malling**	Member	2020/2021	0	0	0
		2019/2020	113,699	0	113,699
Total fees 2020/2021		2020/2021	1,700,000	0	1,700,000
		2019/2020	729,589	110,959	840,548

* Resigned from the Board of Directors in December 2019, ** Resigned from the Board of Directors in August 2020

4	Remuneration Report 2020/2021 • Harboes Bryggeri A/ S

Remuneration to the Executive Board

The remuneration of members of the Executive Board is determined annually. The remuneration and its components are approved by the Board of Directors based on the recommendations given by the Remuneration Committee.

Members of the Executive Board are entitled to an annual remuneration in accordance with the remuneration policy.

The total remuneration may consist of the following fixed and variable remuneration components:

• fixed basic salary,
• defined-contributionpension contribution,

• short-termincentive programme consisting of an annual cash bonus,
• termination and severance pay, and
• non-monetarystaff benefits.

The composition of the remuneration of each individual member of the Executive Board is determined with

a view to attracting and retaining competent key employees, while ensuring that the Executive Board has an incentive to create additional value to the benefit of Harboe's shareholders.

The Executive Board's short-term incentive schemes are directly linked to the financial objectives that

support Harboe's strategy and aim to ensure a coincidence of interests between the individual Executives and Harboe's short-term objectives.

The ordinary notice period on the part of Harboe may not exceed 24 months. In the event of any changes to the control of the company, the control can be extended by six months. A member of the Executive Board may resign from their position with an ordinary notice period of at least 6 months.

The Executive Board will also be provided with the usual work-related benefits including, for example, a company car and telephone.

5	Remuneration Report 2020/2021 • Harboes Bryggeri A/ S