Grant of share options

RNS Number : 0950Z
Johnson Service Group PLC
07 January 2011
 



7 January 2011

 

Johnson Service Group PLC

 

Grant of share options

 

Johnson Service Group PLC ("the Company") announces the following changes to its incentive programmes for its executive directors and senior management.

 

The grants have been made under the Company's Long Term Incentive Plan ("LTIP"), and replace all existing outstanding share-based awards. The new awards have been designed to ensure alignment between the incentivisation of the Executive Directors and senior management of the Company and the interests of its shareholders.

 

Under the LTIP the following nil cost options were granted on 6 January 2011:

 

Name

Position

Number of LTIP options




John Talbot

Executive Chairman

 

7,500,000

Yvonne Monaghan

Finance Director

 

2,500,000

Chris Sandler

Managing Director,

Textile Rental Division

 

2,000,000

Paul Ogle

Managing Director,

Drycleaning Division

 

1,850,000

Kevin Elliot

Managing Director,

Facilities Management Division

1,850,000

 

In addition, a further 651,000 nil cost options have been granted to members of the Company's senior management. Where senior management members held previously granted options these have also been forfeited.

 

The performance condition for the awards made under the LTIP will be linked to the Company's Total Shareholder Return ("TSR"), which represents the Company's share price plus any dividends paid on or after 16 November 2009 and any other capital distributions over the vesting period. The performance period runs from the date of the grant until the 30 day period following the announcement of the Company's preliminary results for the year ending 31 December 2013.

 

Under the performance conditions one third of the award will vest immediately if at any time during the vesting period, for a period of 30 days, the average TSR is equal to or exceeds 40 pence.

 

The remaining two thirds of the award will vest by reference to the Company's average TSR for the 30 day period following announcement of the Company's preliminary results for the year ending 31 December 2013. None of the remaining two thirds of the award will vest if the average TSR is equal to or less than 40 pence. The whole of the remaining two thirds of the award will vest if the average TSR is equal to or greater than 60 pence. Vesting of the award will be on a straight line basis between these points.

 

In addition, in line with their previous LTIP arrangements, the remaining two thirds of the award for John Talbot and Yvonne Monaghan will be subject to an additional performance testing on the same basis as above, including the 40p and 60p vesting benchmarks, for the 30 day period following release of the Company's interim results for 2011.

 

On 7 January linked awards were granted under the LTIP Approved Section ("Approved Section") to the Directors listed below at an exercise price of 30.75p. In addition a further 1,365,840 Approved Section options at an exercise price of 30.75p have been granted to members of the Company's senior management team. The award under the Approved Section has been granted to allow, where possible, the participant to receive part of the gain which may have been received on the LTIP award tax efficiently and for the Company to make national insurance contribution savings. The participant will receive the same gross gain he would have received had he only been granted the LTIP award and not been granted the LTIP award and the Approved Section award. At the time of exercise, to the extent that there is a gain on the Approved Section award, the options granted under the LTIP award will be forfeited to the same value.

 

Name

Position

Number of Approved Section options







Yvonne Monaghan

Finance Director

 

97,560

Chris Sandler

Managing Director,

Textile Rental Division

 

97,560

Paul Ogle

Managing Director,

Drycleaning Division

 

97,560

Kevin Elliot

Managing Director,

Facilities Management Division

97,560

 

 

Enquiries:

Johnson Service Group PLC


John Talbot, Executive Chairman

Yvonne Monaghan, Finance Director

Tel:  01928 704600

Tel:   01928 704600

 

Investec Investment Banking


Michael Lacey-Solymar

Martin Smith

Tel:  020 7597 4000

Tel:  020 7597 4000

 


This information is provided by RNS
The company news service from the London Stock Exchange
 
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