Incentive programs

Key principles of the valid long-term incentive plan

Share-based incentive plan 2017-2023

(LTI Plan 2017-2019, LTI Plan 2018-2020, LTI Plan 2019-2021, LTI Plan 2020-2022 and LTI Plan 2021-2023)  

On February 14, 2017, the Board of Directors of Raute Corporation decided on the establishment of a new performance and share value based long-term incentive program for Raute Group's top management. The aim of the plan is to align the objective of the company's management with the shareholders in developing the company value and to commit the management to achieving the strategic targets of the company through offering them a competitive long-term incentive scheme.

The program consists of annually commencing individual three-year plans. The individual plan may either comprise a three-year performance period or a one-year performance period followed by a two-year restriction period. The potential reward attained under the individual plan will be paid after the three-year plan period. The potential reward will either be paid in listed series A shares of Raute or in cash.  

The commencement of each individual plan, the length of the performance period within the plan, the performance criteria, the eligible participants thereof and the earning opportunity is subject to a separate decision of the company's Board of Directors in each case. 

In accordance with the ownership recommendation the company abides by, each participant in the plan is expected to accrue and, after attaining, to retain in his/her ownership an amount of the company's shares that is double the value of the gross value of the earnings opportunity allocated to him/her in the most recent ongoing plan. Each participant in the plan is expected to use 50 per cent of the net bonus he/she receives from the plan to accrue his/her share ownership until such ownership meets the level recommended above. Share ownership accrues either by retaining ownership of bonuses received as shares or by acquiring shares through cash bonuses received under the plan.

Terms and Conditions of Raute Corporation's Long-term Incentive Programme 2017.

Expired option schemes and share-based incentive programs