Metso's Board of Directors has resolved on the performance measurement of the following Performance Share Plans directed to Metso's top management: PSP 2018–2020 and PSP 2019-2021.
The reason for the timing of the performance measurement is the expected closing of the partial demerger of Metso and the combination of Metso's Minerals business and Outotec, which is currently expected to take place on June 30, 2020, subject to the receipt of all required regulatory and other approvals, including competition clearances. The decision on performance measurement now announced becomes effective upon the closing of the transaction.
The commencement of PSP 2018–2020 was originally announced on December 14, 2017, and the commencement of PSP 2019–2021 on February 6, 2019. The original establishment of the Performance Share Plan structure was originally announced on December 10, 2014.
Based on the performance measurement, the performance targets of PSP 2018–2020 were not achieved and there will be no rewards paid based on this plan. The performance targets of PSP 2019–2021 were partly achieved and a total of 111,166 shares will be paid as a reward based on this plan (this amount refers to a gross amount before the deduction of the applicable payroll tax). The share rewards will become payable, in accordance with the terms of this plan, after the end of the entire three-year plan period in the spring 2022.
The above-mentioned Performance Share Plans as well as the other currently ongoing share-based long-term incentive plans of Metso, comprising the Deferred Share Unit Plans (DSUP 2018–2020 and DSUP 2019-2021), Restricted Share Plans (RSP 2018–2020 and RSP 2019–2021) and the Matching Share plan directed to the President and CEO (MSP 2018–2021), will be transferred upon the closing of the transaction to Metso Outotec Corporation for the part of the key persons who transfer to the service of Metso Outotec in the transaction.
To the extent there are participants in the above mentioned plans PSP 2018–2020 and PSP 2019-2021 and in DSUP 2018–2020 and DSUP 2019–2021, who will after the partial demerger of Metso continue at the service of the present company, to be renamed Neles Corporation, these plans will for the part of these key persons continue as share-based long-term incentive plans of Neles Corporation.
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