ITEMS 9 to 14: The main object of this AGM is the Acquisition of Westfield by Unibail-Rodamco. This operation is strategically consistent and financially acceptable for Unibail’s shareholders. Impacts of shareholding and on governance are also acceptable as the shareholding will remain widespread and the Supervisory Board will still have a majority of independent members.
ITEMS 25 and 26: However, in the event of completion of the Transaction, the remuneration policy of Management Board members will be modified. It will mainly integrate increases of the fixed remuneration (+25% for the Chairman of the Management Board) and of the maximum bonus (+66.67). Hence, the maximum total remuneration will increase from €4 M to €5.6M (+40.6%).
To adopt inflationary American practice is not acceptable and we do not support these resolutions.
Unibail Rodamco SE is a France-based commercial property investment company operating in the commercial real estate industry. The Company is engaged in the development, construction, and management of real estate in Europe. Its assets portfolio is divided into three main business segments: Shopping Centers, which include shopping centers in France, Spain, the Netherlands, Denmark, Sweden, Finland, Poland, the Czech Republic, Slovakia and Austria; Offices, comprising a number of business premises, warehouses and workshops located mainly in the Paris central business district and La Defense; and Convention and Exhibition complexes in Paris through two companies, Viparis and Comexposium, which are jointly owned by the Company and the Paris Chamber of Commerce and Industry (CCIP). Viparis manages a portfolio of venues in Paris, while Comexposium operates as an event organizer in France.
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Item 3: Approve the Remuneration Report The structure is weighted more heavily towards short-term performance. One of the performance metrics for the LTI is the payment of sustainable dividends, which is not considered appropriate as executives can potentially influence the payout level. The LTI also includes relative TSR as a performance metric. Nevertheless, the quantum is not excessive and even maximum potential amounts are moderate. On balance, we recommend shareholders vote in favor. Item 4: Approve the Remuneration PolicyThe main concern with the Company's remuneration policy is that pa...
Item 2: Approve the Remuneration ReportThe remuneration structure is unsatisfactory. The main concern at the Company is that the potential maximum incentive pay including the bonus, matching shares on the deferred portion of the bonus and the LTI amounts to 1000% of base salary, which is considered grossly excessive. Actual incentive pay during the year was1.6 times the ECGS limit. Furthermore, variable remuneration is overly reliant on a single performance metric, benchmark profit before tax. A second performance criteria will be used in the coming year. We note that the Company has adjusted ...
Leadership changes Vittorio Colao was succeeded by Nick Read who was appointed Chief Executive Designate on 27 July 2018 and became Chief Executive on 1 October 2018. Margherita Della Valle joined the Board as Chief Financial Officer on 27 July 2018. Item 15: Advisory vote on the Remuneration ReportThe structure is unsatisfactory. The maximum bonus and total incentive pay exceed guidelines. The quantum for the year was excessive. Pay weighted more towards rewarding long-term performance, but there are overlapping performance conditions as free cash flow was used for both the STI and LTI. A b...
GOUVERNANCELa société n’est pas contrôlée ; pourtant, son conseil ne présente un taux d’indépendance que de 25% selon Proxinvest (33,33% selon la société). Cette situation est principalement due au pacte d’actionnaires conclu entre la société et ses 3 principaux actionnaires, BPIfrance, NSIG et CEA qui ont chacun 2 sièges au conseil (soit 17% du conseil chacun). Or, ils ne détiennent chacun que 11% du capital. Ils sont donc tous les 3 en surreprésentation. C’est cette surreprésentation et le manque d’indépendance du conseil qui explique que Proxinvest ne soutienne, pour chacun de ces 3 actionn...
RémunérationsAu titre de l’exercice 2018-2019, une rémunération exceptionnelle sous forme d’actions gratuites a été attribuée au Directeur Général. S’il est compréhensible que le conseil ait souhaité récompenser son DG pour avoir su gérer au mieux la crise du prix du liège, il semble cependant, très généreux de lui octroyer une rémunération exceptionnelle supérieure à son bonus (111% du bonus annuel précisément). De plus, cette rémunération exceptionnelle représente 35% de son fixe, alors que la politique approuvée par les actionnaires lors de la précédente assemblée générale prévoyait un plaf...
Résolution 7 : la société propose la mise en place d’une clause de non-concurrence, d’une durée identique à celle proposée en 2018 dans le cadre de l’opération avec Siemens (clause qui n’a pas pu être mise en place suite à l’échec de l’opération), mais d’un montant moindre (18 mois contre 24 mois précédemment). Proxinvest apprécie vivement la baisse du montant. Cependant, il excède toujours notre plafond de 12 mois de rémunération fixe + variable annuel ; aussi, nous ne soutenons pas cet engagement. Résolution 9 : La rémunération attribuée au titre de 2018/19 au PDG aurait pu être acceptable ...
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