Payment of share rewards based on the share-based incentive program as a directed share issue of own shares of the company without consideration
Neste Corporation, Stock Exchange Release, 4 February 2021 at 4.10 p.m. (EET)
On 4 February 2021, the Board of Directors of Neste Corporation has confirmed the maximum number of shares, 270,000 shares, earned based on the earning period 2018-2020 of the share-based incentive program which commenced in 2016 for the company's key personnel and resolved on the payment of the share rewards earned based on said earning period. This amount means a gross reward from which the applicable taxes will be withheld and the remaining net amount will be paid to the participants in shares. The recipients of the above share rewards comprise 106 key persons.
Neste Corporation announced the commencement of this share-based incentive program with a Stock Exchange Release on 15 December 2015 and the commencement of the earning period 2018-2020 on 12 December 2017.
The share rewards are paid by transferring own shares held by the company without consideration to the participants (directed share issue without consideration). The share rewards are aimed to be paid by 31 March 2021.
The final number of shares to be transferred will be determined based on the terms and conditions of the incentive program by 31 March 2021. The Board of Directors has resolved on this transfer of own shares based on the authorization granted by the Annual General Meeting of Shareholders held on 18 May 2020. The shares to be transferred are of the same class as the company's other shares.
There is an especially weighty financial reason for the company, also taking into account the interests of all the company's shareholders, to deviate from the shareholders' pre-emptive subscription right in the directed share issue without consideration. The shares issued constitute share rewards within the long-term share-based incentive program of the company's Management and these share rewards are, in accordance with the objectives of the incentive program, intended to align the interests of the Management with the interests of the shareholders and to encourage the Management to work on a long-term basis with the aim to increase the shareholder value.
Board of Directors
For more information:
Hannele Jakosuo-Jansson, Senior Vice President, Human Resources, HSSEQ and Procurement. Please contact Neste's media service, tel. +358 50 458 5076 / email@example.com(open on weekdays from 8.30 a.m. to 4.00 p.m. EET)
Matti Kähkönen, Chair of the Board of Directors, Neste, tel. +358 10 458 0902 / Krista Lundell
Neste in brief
Neste (NESTE, Nasdaq Helsinki) creates solutions for combating climate change and accelerating a shift to a circular economy. We refine waste, residues and innovative raw materials into renewable fuels and sustainable feedstock for plastics and other materials. We are the world’s leading producer of renewable diesel and sustainable aviation fuel, developing chemical recycling to combat the plastic waste challenge. We aim at helping customers to reduce greenhouse gas emissions with our renewable and circular solutions by at least 20 million tons annually by 2030. As a technologically advanced refiner of high-quality oil products with a commitment to reach carbon-neutral production by 2035, we are also introducing renewable and recycled raw materials such as waste plastic as refinery raw materials. We have consistently been included in the Dow Jones Sustainability Indices and the Global 100 list of the world’s most sustainable companies. In 2019, Neste's revenue stood at EUR 15.8 billion, with 82% of the company’s comparable operating profit coming from renewable products. Read more: neste.com