Board compensation
Remuneration of the Executive Board
The total compensation paid to the members of the Executive Board in the lapsed fiscal year amounted to 2,302 T€ (2007: 1,131 T€) including expenses for pensions totaling 91 T€ (2007: 64 T€). The increase is on one side attributable to the appointment of an additional Executive Board member in April 2008, on the other side, bonus and compensation payments of 733 T€ for the premature retirement of an Executive Board member also accrued in the period under review. In addition, stock options with a fair value of 448 T€ (2007: 220 T€) were issued to the Executive Board. The remuneration of Executive Board members is comprised of fixed and variable components as well as incentives for a long-term increase in the company value. The criteria for the variable remuneration components are stipulated every year in advance. Long-term compensation components consist of stock options with the aim of creating incentives geared towards sustained corporate success. Success targets cannot be subsequently changed. No advance payments to Board members were made.
In the financial year 2008, MediGene made a payment of 6 T€ (2007: 6 T€) to the relief fund to fulfill a pension obligation to a former Executive Board member.
Remuneration of the Supervisory Board
The remuneration paid to the Supervisory Board in 2008 amounted to 233 T€ (2007: 220 T€). The total remuneration received by the Supervisory Board members consists of a fixed component and an allowance for meetings attended. When assessing the extent of Supervisory Board members’ activities, the chairmanship and deputy chairmanship are taken into account. Disclosures on the subscription rights of Board members and employees are shown under item (69). No advance payments were granted to Board members.
Executive Board compensation 2008*)
| Other variable compensation with a long-term incentive | ||||
| Executive Board member | Fixed compensation and severance payments***)
in T€ |
Variable and performance based compensation**)
in T€ |
Number of stock options
no |
Value of options
in T€ |
| Dr Peter Heinrich, Chief Executive Officer Biochemist, Todtenweis-Sand | 270 | 154 | 90.000 | 199 |
| Dr Thomas Klaue, Chief Financial Officer Chemical Process Engineer and Business Economist, Pullach | 211 | 89 | 38.333 | 81 |
| Dr Frank Mathias Chief Operating Officer (from April 1, 2008), Pharmacist, Munich | 240 | 84 | 22.500 | 50 |
| Dr Axel Mescheder, Chief Scientific Officer & Chief Development Officer (from May 19, 2008) Medical Specialist, Wörthsee | 135 | 48 | 25.211 | 54 |
| Dr Ulrich Delvos***), Chief Operating Officer (until May 16, 2008) Medical Doctor, Munich | 880 | 100 | 25.000 | 64 |
| Total | 1.736 | 475 | 201.044 | 448 |
*) Additionally, 91 T€ were spent for Executive Board member pensions.
**) On an accrued basis.
***) Bonus and compensation payments amounting to 733 T€
Supervisory Board compensation 2008
| Supervisory Board member | Fixed compensation
in T€ |
Variable compensation
in T€ |
Variable compensation as long-term incentive
(No. of convertible bonds or stock options) |
Compensation fot individually performed services
in T€ |
| Prof. Dr. Ernst Ludwig Winnaker, Chairman | 48 | 20 | 0 | 0 |
| Prof. Dr. Norbert Riedel, Vice Chairman | 36 | 15 | 0 | 0 |
| Dr. Pol Bamelis, Member | 24 | 10 | 0 | 0 |
| Sebastian Freitag, Member | 24 | 8 | 0 | 0 |
| James Noble, Member (until February 29, 2008) | 4 | 0 | 0 | 0 |
| Dr Thomas Strüngmann, Member (until December 31, 2008) | 22 | 8 | 0 | 0 |
| Dr Mathias Albert Boehringer Member (from July 16, 2008) | 12 | 2 | 0 | 0 |
| Total | 170 | 63 | 0 | 0 |