Information  X 
Enter a valid email address

GlaxoSmithKline PLC (GSK)

  Print      Mail a friend       Annual reports

Friday 14 February, 2014

GlaxoSmithKline PLC

Director/PDMR Shareholding

RNS Number : 1635A
GlaxoSmithKline PLC
14 February 2014
 



Notification of Transactions of

Directors and Persons Discharging Managerial Responsibility

 

Vesting of Conditional Share Awards

 

This notification sets out information relating to the vesting of conditional share awards under the GlaxoSmithKline 2009 Performance Share Plan (the Performance Share Plan) and the 2009 Deferred Annual Bonus Plan (the Deferred Annual Bonus Plan).

 

This announcement covers vesting of awards made to Corporate Executive Team members in 2010 and 2011.  It also covers vesting of awards made to senior executives in 2011 who have subsequently been appointed as Persons Discharging Managerial Responsibility.

 

2010 Performance Share Plan Awards

70% of the total 2010 grant of conditional share awards under the Performance Share Plan was subject to a three year performance period which ended on 31 December 2012. The extent to which these awards vested was announced on 5 March 2013. 30% of the total 2010 award was subject to a four year performance period from 1 January 2010 to 31 December 2013. The performance condition for these awards was based on total shareholder return (TSR).

 

For the four year period 1 January 2010 to 31 December 2013, the Company's TSR ranked 9th (i.e. below median against a comparator group of 10 pharmaceutical companies including GSK) and therefore the Remuneration Committee has confirmed that the conditional awards subject to measurement over the four year period lapsed in full.

 

The table below shows the awards over Ordinary Shares or American Depositary Shares (ADS) that lapsed on 13 February 2014, including dividends reinvested since the date of grant:

 


Awards which have lapsed

 

Ordinary Shares

ADS

Sir Andrew Witty*

152,714


Dr M Slaoui*


48,037

Mr S Bicknell

16,860


Ms D Connelly


23,156

Mr A Hussain

45,008


Mr W Louv


13,417

Mr D Redfern

19,119


Ms C Thomas

29,352


Mr D Troy


25,619

* denotes an Executive Director

 

2011 Performance Share Plan Awards

The awards made to the individuals listed in the table below were subject to the following performance conditions measured over the three year performance period from 1 January 2011 to 31 December 2013:

a)   25% of the award was subject to an adjusted free cash flow target.  The Company achieved adjusted free cash flow performance above threshold for the three year period and the Remuneration Committee has confirmed that 52% of this element of the award vested, i.e. 13% of the total award.

b)   25% of the award was subject to a TSR measure.  For the three years ending 31 December 2013, the Company's TSR ranked 7th (i.e. below median) against a comparator group of 10 global pharmaceutical companies including GSK and therefore the Remuneration Committee has confirmed that this element of the award lapsed in full.

c)   25% of the award was subject to an R&D New Products sales measure.  The Company achieved New Product Sales above threshold for the three year period and the Remuneration Committee has confirmed that 65.4% of this element of the award vested, i.e. 16.3% of the total award.

d)   25% of the award was subject to a Business Diversification measure, measuring sales in Vaccines, Consumer Healthcare, Dermatology and Emerging Markets Asia Pacific and Japan.  The Company achieved sales above threshold for the three year period and the Remuneration Committee has confirmed that 41.9% of this element of the award vested, i.e. 10.5% of the total award.

 

Therefore 39.8% of the total award vested.

 

The table below shows the proportion of these Performance Share Plan awards that vested and lapsed on 13 February 2014, including dividends reinvested since the date of grant:

 


Awards which have vested

 

Awards which have lapsed

 

Ordinary Shares

ADS

Ordinary Shares

ADS

Sir Andrew Witty*

196,634


297,421


Mr S Dingemans*

90,845


137,408


Dr M Slaoui*


68,345


103,376

Mr S Bicknell

23,596


35,690


Ms D Connelly


28,553


43,188

Mr A Hussain

57,952


87,656


Mr W Louv


19,926


30,139

Mr D Redfern

33,034


49,966


Ms C Thomas

46,405


70,191


Mr D Troy


36,451


55,134

Mr P Vallance

66,855


101,123


* denotes an Executive Director



2011 Deferred Annual Bonus Awards

 

In 2011, the following individuals elected to defer part of their 2010 annual bonus into shares under the Deferred Annual Bonus Plan (Deferred Shares).  These awards are matched up to one-for-one depending on the achievement of performance measures (Matching Shares).  The performance measures were the same as for the 2011 PSP awards described above and were measured over the same three years to 31 December 2013. 

 

Individuals could elect whether to defer part of their bonus on a pre or post tax basis.  For awards to UK-based individuals, Deferred and Matching shares were granted as nil-cost options over Ordinary Shares.  For awards to US-based individuals, awards of Deferred and Matching shares were granted as conditional awards of ADSs (co-investment shares in the case of post tax Deferred Shares for US-based individuals).

 

The table below shows the Deferred Shares that vested on 13 February 2014, including dividends reinvested since the date of grant:

 


Nil Cost Option over Ordinary Shares

 

Conditional Awards of ADSs/Co-Investment Shares (ADSs)

Vested

Vested/Released

Sir Andrew Witty*

37,182


Dr Moncef Slaoui*


21,848

Mr S Bicknell

7,912


Ms D Connelly


5,280

Mr W Louv


2,392

Mr D Redfern

8,837


Ms C Thomas

1,967


Mr D Troy


10,950

Mr P Vallance

17,569


* Denotes an Executive Director

 

For the three year period 1 January 2011 to 31 December 2013, the Company achieved performance as set out in the 2011 PSP section above and the Remuneration Committee has confirmed that 39.8% of the award of Matching Shares will vest on the third anniversary of the award and that the balance lapsed.  The table below shows the Matching Shares that will vest on 24 February 2014, the third anniversary of the Award, including dividends reinvested since the date of grant:


Nil Cost Option over Ordinary Shares

 

Conditional Awards over ADSs

Vested

Lapsed

Vested

Lapsed

Sir Andrew Witty*

14,799

22,383



Dr Moncef Slaoui*



8,696

13,152

Mr S Bicknell

3,149

4,763



Ms D Connelly



2,103

3,179

Mr W Louv



955

1,442

Mr D Redfern

3,518

5,319



Ms C Thomas

783

1,184



Mr D Troy



4,359

6,591

Mr P Vallance

6,993

10,576



* Denotes an Executive Director

The above nil cost options in respect of Deferred Shares and Matching Shares can be exercised until 23 February 2021.

 

2011 Performance Share Plan Awards to senior executives who have since been appointed PDMRs

 

The conditional awards granted in 2011 to senior executives who have since been appointed PDMRs, were dependent on EPS performance (50% of the award) and operational performance targets (remaining 50% of award) over the period 1 January 2011 to 31 December 2013.

 

The table below shows the proportion of these Performance Share Plan conditional awards that vested and lapsed on 13 February 2014.

 


Awards vesting

Awards lapsed

Ordinary Shares

Ordinary Shares

Mr R Connor

4,260

2,224

Mr P Thomson

6,868

6,868

Ms E Walmsley

76,309

14,104

Mrs V Whyte

6,868

6,868


Awards vesting

Awards lapsed

ADSs

ADSs

Mr James Ford

3,923

3,923

 

 

The Company, Executive Directors and PDMRs were advised of these transactions on 13 February 2014.

 

The fair market values of an Ordinary Share and of an ADS of GlaxoSmithKline plc at the point of vesting on 13 February 2014 were £16.53 and US$55.06 respectively.

 

This notification is made in accordance with Disclosure and Transparency Rule 3.1.4R(1)(a).

 

 

Sonja Arsenić

Corporate Secretariat

 

14 February 2014


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

a d v e r t i s e m e n t