Contracts between the company and members of the Board of Directors or the Group Executive Board that include compensation of these members must only be concluded for a period of less than one year or with a notice period of maximum 12 months in accordance with Art. 29 of the articles of incorporation.
Fixed-term or permanent mandate agreements may be concluded with members of the Board of Directors; however, the effectiveness of the mandate is subject solely to the annual election to the Board of Directors by the General Meeting. No employment contracts exist between BKW and members of the Board of Directors. The members of the Board of Directors are independent and their rights and obligations are based on the norms of company law and the provisions of the articles of incorporation, regulations and mandate agreements.
The employment contracts of the members of the Group Executive Board have been drafted in accordance with the Ordinance against Excessive Remuneration in Listed Companies Limited by Shares. During the reporting period, all Group Executive Board members had permanent employment contracts with a termination period of six months. The employment contracts do not provide for any severance payments.