Board of Management remuneration in financial year 2017
Board of Management remuneration in 2017 pursuant to Section 314 Subsection 1 No. 6 of the German Commercial Code (HGB)
The total remuneration granted by Group companies (excluding retirement benefit commitments) to the members of the Board of Management of Daimler AG is calculated as the total of the amounts of
- the base salary in 2017,
- the half of the annual bonus for 2017 payable in 2018 and measured as of the end of the reporting period,
- the half of the medium-term share-based component of the annual bonus for 2017 payable in 2019 with its value at the end of the reporting period (entitlement depending on the development of Daimler’s share price compared with the Dow Jones STOXX Auto Index),
- the value of the long-term share-based remuneration (PPSP) at the time when granted in 2017, and
- the taxable non-cash benefits in 2017.
For both of the share-based components — the second 50 % of the annual bonus and the PPSP with a long-term orientation — the amounts actually paid out can deviate significantly from the values described depending on the development of the Daimler share price and on the achievement of the relevant target parameters. Upward deviation is possible only as far as the maximum limits described above. Both components can also be zero.
The possible limits with regard to the annual bonus and the PPSP are shown in B.49 and B.50.
The total remuneration of the Board of Management for the financial year 2017 amounts to €35.0 million (2016: €31.8 million). Of that total, €9.5 million was fixed, that is, non-performance-related remuneration (2016: €10.0 million), €15.3 million (2016: €11.6 million) was short-term and medium-term variable performance-related remuneration (annual bonus with deferral), and €10.2 million was variable performance-related remuneration granted in the financial year 2017 with a long-term incentive effect (2016: €10.2 million). (See table B.51)
B.51 Board of Management remuneration in 2017
|Variable remuneration |
| Remuneration (PPSP) |
Number Value when granted
|Short-term||Medium-term||(2017: at share price €67.49) |
(2016: at share price €62.94)
|In thousands of euros|
|Dr. Dieter Zetsche||2017||2,008||1,978||1,978||39,315||2,653||8,617|
|Dr. Wolfgang Bernhard1||2017||92||90||90||–||–||272|
|Renata Jungo Brüngger||2017||812||800||800||15,446||1,043||3,455|
|Dr. Thomas Weber||2017||–||–||–||–||–||–|
1 Board of Management remuneration paid until Feb. 10, 2017
2 Board of Management remuneration paid from March 1, 2017
The granting of non-cash benefits in kind, primarily the reimbursement of expenses for security precautions and the provision of company cars, resulted in taxable benefits for the members of the Board of Management in 2017 as shown in table B.52.
B.52 Taxable non-cash benefits and other fringe benefits
|In thousands of euros|
|Dr. Dieter Zetsche1||167||618|
|Dr. Wolfgang Bernhard2||9||131|
|Renata Jungo Brüngger||108||107|
|Prof. Dr. Thomas Weber||–||129|
1 (2016: including an anniversary bonus of €418,464)
2 Board of Management remuneration paid until Feb. 10, 2017
3 Board of Management remuneration paid from March 1, 2017
4 For the fulfillment of disclosure obligations pursuant to Section 285 No. 9a of the German Commercial Code (HGB), this amount is reduced by €197,508 for the year 2017 (2016: €208,136). The corresponding fringe benefits were granted and borne by a subsidiary and are thus not included in the remuneration to be disclosed in the annual financial statements of the parent company, Daimler AG.