Raute Corporation supplements its long-term incentive scheme
RAUTE CORPORATION STOCK EXCHANGE RELEASE 27 JULY 2022 at 2:00 p.m.
RAUTE CORPORATION SUPPLEMENTS ITS LONG-TERM INCENTIVE SCHEME
The Board of Directors of Raute Corporation has decided on the establishment of a Restricted Share Programme (also “RSP”) as a complementary share-based long-term incentive scheme for the company. The RSP structure is targeted to individually selected key employees of Raute Corporation and its group.
The objectives of the Restricted Share Programme are to retain, motivate and reward individually selected key employees of Raute as well as to align their interests with those of Raute’s shareholders by creating a long-term equity interest for these individuals and, thus, to increase Raute’s shareholder value in the long term.
The Restricted Share Programme consists of annually commencing individual share plans. The commencement of each individual plan is conditional on a separate decision of the Board of Directors.
Each individual plan comprises an overall three-year plan period within which the company may grant fixed share rewards to individually selected key employees with a retention period of up to three years. The share reward will be paid after the retention period applied to the respective individual share grant. The company may choose to pay the granted share rewards in one or several tranches within the limits of the overall three-year plan period.
The first individual plan within RSP, covering the years 2022-2024 (RSP 2022-2024), commences as of the beginning of the year 2022. The aggregate maximum number of shares which may become payable based on RSP 2022–2024 is 72 000 shares (referring to gross reward from which the applicable payroll tax is withheld).
Members of Raute Group’s Executive Board may be covered by the Restricted Share Programme.
The rewards payable based on RSP will at the company’ choice either be paid in listed class A share of Raute or in cash based on the value of the share reward at the time of payment. The payment of the reward is conditional on the individual’s continued employment or service relationship with Raute.
The maximum value of the reward payable to the participants based on RSP is limited by a cap which is linked to Raute’s share price development with a multiplier set by the company.
In addition to the Restricted Share Programme, Raute has a performance-based long-term incentive programme, the establishment of which was announced with a release on February 12, 2021.
Board of Directors
Laura Raitio, Chair of the Board of Directors, mobile number +358 50 386 0004
Nasdaq Helsinki Ltd, main media, www.raute.com
RAUTE IN BRIEF:
Raute is a technology and service company that operates worldwide. Raute’s customers are companies operating in the wood products industry that manufacture veneer, plywood, LVL (Laminated Veneer Lumber) and sawn timber. Its technology offering covers the entire production process for veneer, plywood and LVL and special measurement equipment for sawn timber. As a supplier of mill-scale projects, Raute is a global market leader both in the plywood and LVL industries. Additionally, Raute’s full-service concept includes technology services ranging from spare parts deliveries to regular maintenance and equipment modernizations. Raute’s head office is located in Lahti, Finland. The company’s other production plants are located in Kajaani, Finland, the Vancouver area of Canada, Changzhou, China and in Pullman, Washington, USA. Raute’s net sales in 2021 were EUR 142.2 million. The Group’s headcount at the end of 2021 was 802. More information about the company can be found at www.raute.com.