14 Dec 2015
Section 430(2B) Companies Act 2006 Statement
The following information is provided in accordance with section 430(2B) of the Companies Act 2006.
On 21 October 2015, the Company announced that Jackie Hunt was departing with immediate effect from her role as Chief Executive, Prudential UK & Europe. Ms Hunt resigned as a director of Prudential on 3 November 2015.
Remuneration arrangements in respect of Ms Hunt’s departure have been determined by the Group Remuneration Committee in line with Prudential’s Directors’ Remuneration Policy, which was approved by shareholders in 2014. Further details will be included in Prudential’s 2015 Annual Report which will be published in 2016.
Salary, pension and benefits
Ms Hunt’s salary, pension and benefits will be paid in monthly instalments until 21 October 2016, unless the date is varied. Should Ms Hunt secure an alternative role, these payments will be reduced by its monthly remuneration.
Ms Hunt’s unvested awards under the Prudential annual incentive plan (“AIP”) will be released on the original timetable and remain subject to malus and, where applicable, clawback provisions.
Ms Hunt currently has three outstanding awards under the Group’s long-term incentive plans which were made in 2013, 2014 and 2015. These awards will be treated as follows:
- Ms Hunt’s 2013 award under the Group Performance Share Plan will vest in spring 2016 in line with the original vesting date and subject to the original performance conditions.
- The original performance conditions will continue to apply to Ms Hunt’s outstanding 2014 Prudential LTIP (“PLTIP”) award, which will be subject to time pro-rating to 21 October 2016 (unless the date is varied). This award will vest in spring 2017 in line with the original vesting date, to the extent that the performance conditions are met.
- Ms Hunt’s 2015 PLTIP award will lapse.
- Ms Hunt’s 2013 and 2014 awards will continue to be subject to malus provisions until the normal vesting dates.
Ms Hunt will receive an annual bonus for 2015. This will be determined based on performance achieved: 60 per cent of this award will be paid in cash in the usual way, and 40 per cent will be deferred into shares (to be released in the spring of 2019).This award will be subject to malus and clawback provisions.
Ms Hunt will not receive a bonus for 2016 and she will not be made a PLTIP award in 2016 or any subsequent year.