RATH : 2021 RATH AG Remuneration Report

RATH AG

Remuneration Report 2021

www.rath-group.com

RATH AG

Remuneration Report 2021

CONTENTS

PRINCIPLES OF THE REMUNERATION POLICY	4
MANAGEMENT BOARD REMUNERATION	4
	Overview	4
	Variable/performance-related remuneration components	4
	Fixed and other remuneration components	5
	Remuneration of former members of the Management Board	6
SUPERVISORY BOARD REMUNERATION	6

RATH AKTIENGESELLSCHAFT

REPORT ON THE REMUNERATION

OF THE MANAGEMENT BOARD AND SUPERVISORY BOARD 2021

PRINCIPLES OF THE REMUNERATION POLICY

The remuneration report of RATH Aktiengesellschaft ("RATH AG" or the "Company") unifies the

­remuneration of the Management Board and the Supervisory Board, taking into account the principles used to determine such remuneration.

The principles of the remuneration (the Remuneration Policy) of the members of the Management Board and the Supervisory Board of RATH AG were submitted to the Annual General Meeting on June 02, 2021, for voting and adopted. In the past business year 2021, there was no deviation from or adjustment to the group's remuneration policy.

MANAGEMENT BOARD REMUNERATION

OVERVIEW

The remuneration of the Management Board comprises fixed and variable/performance-related ­components and is structured as follows for the 2021 business year:

OTHER

TOTAL

TITLE

NAME

FUNCTION

FIXED

VARIABLE

REMUNERATIONS

2021

K€

K€

K€

K€

Andreas Pfneiszl

Member of the

235

96

10

341

Management Board

Member of the

DI

Ingo Gruber

235

93

10

338

Management Board

680

OTHER

TOTAL

TITLE

NAME

FUNCTION

FIXED

VARIABLE

REMUNERATIONS

2020

K€

K€

K€

K€

Andreas Pfneiszl

Member of the

217

0

10

227

Management Board

Member of the

DI

Ingo Gruber

217

0

10

227

Management Board

454

VARIABLE/PERFORMANCE-RELATED REMUNERATION COMPONENTS

At RATH AG, performance-related remunerations are not granted via stock options but are dependent on variable success criteria. Part of this is a predefined target achievement regarding the operating results and qualitative and quantitative goals.

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RATH AKTIENGESELLSCHAFT

REPORT ON THE REMUNERATION OF THE MANAGEMENT BOARD AND SUPERVISORY BOARD 2021

The amount of the variable remuneration is limited to 50 % of the basic salary. Any amount exceeding this is credited as variable remuneration to the subsequent years. If the consolidated result falls below a defined minimum amount, this gives rise to a penalty, which is also carried forward to subsequent years and leads to a reduction in future variable salary components.

The variable/performance-related remuneration was regulated as follows for 2021:

ANDREAS PFNEISZL

	PORTION	THEREOF PORTION	ACTUAL		GOAL		RANGE
IN K€						K€		K€
Monetary targets:		85 %
Sales-related				53 %	47	42		80 % to 120 %
Profit-related:
EBITDA				47 %	39	38		80 % to 120 %
Individual goals:		15 %
Product launch				100 %	10	14
Overall target achievement		100 %			96	94
DI INGO GRUBER
	PORTION	THEREOF PORTION	ACTUAL		GOAL		RANGE
IN K€						K€		K€
Monetary targets:		70 %
Sales-related				43 %	30	28		80 % to 120 %
Profit-related:
EBITDA				57 %	39	38		80 % to 120 %
Individual goals:		30 %
Production start of new product,				100 %	24	28
facility concept
Overall target achievement		100 %			93	94

FIXED AND OTHER REMUNERATION COMPONENTS

The members of the Management Board were granted entitlements to pension benefits - life insurance. These are paid by RATH AG to the insurance company once a year. The amount of the pension entitlement is contractually fixed at € 10,000 per year and Management Board member and is not subject to indexation/increase in value. In the event of premature termination of the employment relationship, the contributions paid up to this point in time become vested for the Management Board.

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