Business News

TietoEnator establishes a new Performance Share Plan and share ownership guideline; Option Plan under preparation

Tuesday 30. December 2008 - The Board of Directors of TietoEnator Corporation approved today a new share-based incentive plan (Performance Share Plan 2009-2011) to be offered to the President and CEO and other members of the Leadership Team, share ownerships guideline for the President and CEO and other Leadership Team members and decided to continue preparations to launch an Option Plan for the key personnel of TietoEnator.

Performance Share Plan

The Performance Share Plan 2009-2011 is a part of the remuneration and commitment programme for the management and its purpose is to align the goals of the company’s shareholders and key executives in order to enhance the value of the company. It also aims to ensure the commitment of key executives and to offer them a competitive, ownership-based reward scheme.

The plan includes one three-year earning period, which will begin on 1 January 2009 and will end on 31 December 2011. The potential reward from the plan is based on the on the Earnings per Share (EPS) of TietoEnator in 2011.

The amount reward will be determined and paid to the participants of the plan on the basis of the achievement of EPS target after the financial statements have been prepared before end of April 2012. The reward will be paid in TietoEnator shares.

The rewards to be paid on the basis of the plan will correspond to a maximum of 576 000 TietoEnator shares. In addition to this, accumulated dividends during 2009-2011 related to the shares to be delivered will be compensated to the participants either in cash or by adjusting the number of the shares.

No new shares will be issued in connection with the Performance Share Plan and therefore the incentive plan will have no diluting effect.

Share Ownership guideline

The recommended minimum investment in TietoEnator shares for the President and CEO and members of the Leadership Team corresponds to one time annual gross base salary.

Preparation of the Option Plan

The Board of Directors will continue preparations of a new Option Plan for the key employees of TietoEnator to be proposed for the next Annual General Meeting of the Company.