Survey Non-Executive Remuneration

All rights belonging toNorwegian Institute of Directors

Oslo, Feb. 2011/TES

Survey Data

• Data sources: General Meetings Minutes 2010, Annual Reports 2009,

• Participants: Companies listed on Oslo Stock Exchange + state owned companies

• Total number of respondents: 191• Conducted October – Desember 2010

• Currency conversion pr. 22/11• Market Cap Oslo Stock Exchange pr. 12/11• Industry Classification according to Oslo Stock Exchange• Swedish data: Dagens Industri, January 20th, p. 6• Pr. Feb 8th 1€ = 7,8 NOK/ 1NOK = 0.127489 €

Highlights

• Practice and methods for determination of non-executive remuneration are highly variable– Upcoming period vs previous period– Fixed and/or pr meeting (number of meetings usually not known)– Committee participation some times included, sometimes not– Travel Compensation some times included, sometimes not

• Wide span of compensation level– Chairperson NOK 30.000 - NOK 960.000– Board Member NOK 15.000 - NOK 451.000– State owned Companies:

• Chairperson NOK 22.000 - NOK 400.000 • Board Member NOK 8.700 - NOK 235.000

Highlights cont.

• Key numbers (Chairperson/Board Member)– Average NOK 330.000/180.000– Upper quartile NOK 420.000/225.000– Median NOK 300.000/170.000– Lower quartile NOK 200.000/110.000

• Average 10 highest payed: – Chairperson

• Sweden NOK 1 760 000• Norway NOK 695 000 (40% of 1 760 000)

– Board Member• Sweden NOK 470 000- Norway NOK 366 000 (78% of 470 000)

Average Compensation 30 largest companies

• Chairperson- Sweden NOK 1 260 000 (Except Astra Zeneca and ABB)- Norway NOK 470 000 (37% of NOK 1 260 000)

• Board Member- Sweden NOK 395 000 (Except Astra Zeneca og ABB)- Norway NOK 240 000 (60 % of NOK 395 000)

Average pr industry Chairperson

Ener

gi

Fors

ynin

g

Mater

iale

r

Konsu

mva

rer

Forb

ruks

vare

r

Tele

kom

Oslo b

ørs IT

Finan

s

Indu

stri

Helse

vern

Stat

seid

e0

100,000

200,000

300,000

400,000

500,000

Average pr Industry – Board Member

Ener

gi

Mater

iale

r

Konsu

mva

rer

Oslo b

ørs

Fors

ynin

g

Indu

stri IT

Finan

s

Forb

ruks

vare

r

Tele

kom

Helse

vern

Stat

seid

e0

50,000

100,000

150,000

200,000

250,000

Average Compensation

Styreleder - 30 største Styreleder - Alle Styremedlem - 30 største Styremedlem - Alle0

100000

200000

300000

400000

500000

Compensation/Market Cap

Stat

oil

Tele

nor

DnB N

or

Yara

Inte

rnat

iona

l

Norsk

Hyd

roOrk

la

Aker S

olut

ions

Acerg

y

Marin

e Har

vest

Renew

able

Ene

rgy

Corp.

Petro

leum

Geo

-Ser

vice

s

Schi

bste

d

Kongs

berg

Gru

ppen

Fred

. Olse

n En

ergy

Auste

voll

Seaf

ood

Lerø

y Se

afoo

d Gro

up

BW O

ffshor

e Lim

ited

Olav

Thon

Eie

ndom

ssel

skap

Pros

afe

DNO Inte

rnat

iona

l

Cerm

aq SAS

Veide

kke

Bonhe

ur

Fars

tad

Ship

ping

SalM

ar

Ekor

nes

Hafslu

nd A

SA

Norweg

ian

Prop

erty

Tom

ra S

yste

ms

0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000

900,000

1,000,000

Statoil highest Market Cap

Spread Chairperson

700 000 +

600 000 - 699 999

500 000 - 599 999

400 000 - 499 999

300 000 - 399 999

200 000 - 299 999

100 000 - 199 999

0 - 99 999

Comments – Chair Person

• Utvalg: 135 av 180 selskaper notert på Oslo Børs• Dette tilsvarer ca 75 %.• 50 % av styreledere fra NOK 200 000 – 400 000• 17,5 % av styrelederne ligger over NOK 500 000• 20 % av styrelederne ligger under NOK 200 000

• Øvre Kvartil: NOK 420 000• Median: NOK 300 000• Nedre kvartil: NOK 200 000

Fordeling - Styremedlem

400 000 +300 000 - 399 999200 000 - 299 999100 000 - 199 9990 - 99 999

10 best payed Chairpersons

Acergy Farstad Shipping

Marine Harvest

Eltek Prosafe Schibsted Prosafe Production

Public

Norwegian Energy

Company

Statoil Hafslund0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000

900,000

1,000,000

Top 10 - Chairperson (2009)

10 best payed Board member

Pros

afe

Prod

uctio

n Pu

blic

Acerg

y

Pros

afe

Norweg

ian

Ener

gy C

ompa

ny

Tom

ra S

yste

ms

Elte

k

Orkla

Schi

bste

d

Inte

rOil

Expl

orat

ion

and

Prod

.

Stat

oil

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000

400,000

450,000

500,000

Top 10 – Board Member (2009)

10 poorly payed Chairpersons

Olav

Thon

Eie

ndom

ssel

skap

Biote

c Ph

arm

acon

Green

Ree

fers

Comro

d Com

mun

icatio

n

Solv

ang

Dolph

in In

terc

onne

ct S

olut

ions

Inm

eta

Norweg

ian

Car C

arrie

rs

NorDia

g

Namso

s Tra

fikks

elsk

ap

Aktiv

Kap

ital

0

20,000

40,000

60,000

80,000

100,000

120,000

10 poorly payed Board members

Skie

ns A

ktie

møl

le

Medi-S

tim

Comro

d Com

mun

icatio

n

Solv

ang

Norweg

ian

Car C

arrie

rs

DiaGen

ic

Repan

t

Biote

c Ph

arm

acon

Bakka

frost

NorDia

g

Namso

s Tra

fikks

elsk

ap0

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

Nomination Committee

6%

5%

6%

9%

17%

22%

22%

14%

Head of nomination Committee – fixed compensation

70 000 +

60 000 - 69 999

50 000 - 59 999

40 000 - 49 999

30 000- 39 999

20 000 - 29 999

10 000 - 19 999

0 - 9 999

Nomination Committee - Member

1%

17%

20%

46%

16%

Nomination Committee Member – fixed compensation

40 000 +30 000- 39 99920 000 - 29 99910 000 - 19 9990 - 9 999

Nomination Committee Fixed Compensation

• 78 % payes fixed compensation (9% additional compensation pr meeting)

• Key numbers Head/Member of Nomitaion Committee

– Average NOK 29 000/18 000– Upper quartile NOK 40 000/25000– Median NOK 25 000/15 000– Lower quartile NOK 15 000/10 000

Nomination Committee Compensation pr meeting

• Key numbers Head/Member of Nomitaion Committee

– Average pr meeting NOK 7 000/5 500– Upper quartile NOK 10 000/7 500– Median NOK 6 000/5 000– Lower quartile NOK 4 000/3 000