06 October 2004

Corporate Governance: Commission recommendation on Directors' Renumeration

The Commission adopted a Recommendation on directorsf remuneration that should ensure listed companies disclose their policy on directorsf remuneration and tell shareholders how much individual directors are earning and in what form, and ensure shareholders are given adequate control over these matters and over share-based remuneration schemes.

The non- binding Recommendation includes four areas:

Remuneration Policy: all listed companies should release a statement of their policy on directorsf remuneration for the following year.

Shareholders meeting: remuneration policy for directors should be on the agenda of the shareholdersf general meeting.

Disclosure of the remuneration of individual directors: this should also include detailed information about the remuneration and/or emoluments of individual directors.

Approval of share and share option schemes.

Press release
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