23 Mar 2016 17:11
23 March 2016
These notifications are made in accordance with DR 3.1.4.R.
Vesting of shares under Performance Share Award (PSA)
Awards over ordinary shares of €0.0005 in Inmarsat plc under the Performance Share Award award made in March 2013 have partially vested.
Vesting of the award was dependent on 3-year TSR vs the FTSE350 (excluding Investment Trusts) and 3-year EBITDA growth, measured over the three years to 31 December 2015 and weighed equally. The TSR performance target was met in full; the EBITDA target was not met. Therefore 50% of the total award vested.
Mr Sukawaty received his share award while he held an executive position in the Company.
The PSA is not a HM Revenue & Customs approved plan and on vesting, income tax and social security deductions become payable by the individual.
The share price at which shares were sold on 21 March 2016 was £9.1675 per share. Where shares have been retained they will be added to the existing number of ordinary shares for the relevant individual.
Name | Number of shares vesting including reinvested dividends | Number of shares sold on 21 March 2016 to cover tax/NI | Number of shares retained | Total shareholding |
Andrew Sukawaty | 63,345 | 29,847 | 33,498 | 1,076,825 |
Rupert Pearce | 55,159 | 25,590 | 29,169 | 824,254 |
2016 Performance Share Award
The following contingent awards were made to the two executive directors under the Performance Share Award (PSA) on 23 March 2016 using the mid-market closing price of £9.2975 from 22 March 2016.
Name | Number of ordinary shares awarded under PSA on 23 March 2016 |
Rupert Pearce |
112,564
|
Tony Bates |
87,241 |
The PSA awards for 2016 will vest after three years based upon the following three performance conditions, measured over the three years to 31 December 2018.
Performance measure | Weighting (% of maximum award) | Performance targets |
3-year TSR vs. FTSE50-150 (excluding investment trusts) | 30% | Below median: nil vesting Median: 30% vesting Upper quartile: 100% vesting (straight-line vesting applies between median and upper quartile) |
3-year EBITDA growth p.a. | 30% | Less than 5%: nil vesting 11%: 100% vesting (straight-line vesting applies between 5% and 11%) |
Strategic objectives | 40% | The key areas are: • Global Xpress: Complete successful market entry for next generation Inmarsat-5 satellites · Aviation: Putting in place all key building blocks of the aviation business case which will support material revenues beyond 2017 · L-band: Aggressively work to sustain L-band revenues despite migration of services from L-band to Global Xpress Ka-band, ongoing US sequestration and increasing competition · Strategic contract: Maximise the near and medium term income opportunities from this key strategic contract
Achievement against strategic objectives will be considered as a whole.
There are specific objectives within each area, and further details of the objectives and key achievements will be disclosed in detail at the end of the performance period |
BONUS SHARE AWARD (BSA)
On the same date, BSA awards were made to the two executive directors and nominally converted into shares immediately using the mid-market closing price of £9.2975 from 22 March 2016.
Name | Number of ordinary shares awarded under BSA on 23 March 2016 |
Rupert Pearce | 112,564 |
Tony Bates | 87,241 |
The level of award will not be confirmed until the results for 2016 have been determined in March 2017 and may be lower (but not higher) than the initial award. The shares will vest in equal tranches in March 2018, 2019 and 2020, subject to continued employment. The performance targets are revenue growth (33% of the award) and EBITDA growth (67% of the award) over the 2016 financial year.