2018 Registration document and annual fi nancial report - BNP PARIBAS 79
2CORPORATE GOVERNANCE AND INTERNAL CONTROL
2
Corporate governance report
II. Remuneration of Executive Management
1. Fixed remuneration
In euros
Fixed remuneration
paid in 2018 Comments
Jean-Laurent Bonnafé 1,562,000 Most recent increase in fi xed remuneration dated 25 February 2016 effective as of 1 January 2016
Philippe Bordenave 1,000,000 Most recent increase in fi xed remuneration dated 25 February 2016 effective as of 1 January 2016
2. Annual variable remuneration Assessment of the achievement of the targets set for 2018 At its meeting of 5 February 2019, the Board of directors assessed the achievement of the objectives set in accordance with the remuneration policy.
Group performance criteria (quantitative) The Board of directors reviewed the achievement of the quantitative portion of the annual variable remuneration in terms of the criteria provided for in the remuneration policy.
As regards the criterion of ratio of net earnings per share to net earnings per share for the previous year, its measure was equal to 35.52% of the target variable remuneration for 2018.
As regards the criterion of achievement of the Group s budgeted gross operating income, its measure was equal to 33.61% of the target variable remuneration for 2018.
Personal criteria (qualitative) The Board of directors assessed the quantitative portion of the annual variable remuneration in terms of the application of the criteria provided for in the remuneration policy.
For 2018, the Board determined that Mr Jean-Laurent Bonnafé had principally achieved the following:
■ decisive role in managing the Bank and customer relations;
■ as part of the 2017-2020 strategic plan, solid operational results and robust asset and liability management in a volatile market environment;
■ acceleration of the Group s digital transformation with signifi cant advances on key initiatives such as the customer journey and process automation;
■ Rotation of Group assets in particular in North America (First Hawaiian Bank) and in Eastern Europe (acquisition of the core banking activities of Raiffeisen Bank Polska);
■ Strengthening company commitments to environmental, social and societal issues:
■ promotion of projects with a positive environmental impact,
■ launch of Climateseed, a voluntary carbon offsetting platform intended to maximise the Company s positive impact on the environment,
■ commitment to social entrepreneurship,
■ enhancement of the Code of conduct with additional measures on the whistleblowing system, respect for colleagues and support for victims of harassment,
■ considerable personal involvement in the promotion of gender equality (Commitment made to the UN as a Thematic Champion of its He4She movement),
■ creation of a community of Group customers based on sustainable development (Sustainable Future Forums),
■ commitment to set up a global social framework and the consolidation of fundamental labour rights;
and for Philippe Bordenave, in line with the outcomes assessed for Jean-Laurent Bonnafé:
■ solid operational results and robust asset and liability management as part of the 2017-2020 Development and Transformation Plan and support for the plan especially the fi nancial, cost control and technological innovation aspects;
■ the implementation of systems related to regulatory reforms;
■ the active involvement in issues relating to improving the Group s information systems;
■ fulfi lment of the commitments of Group CSR Policy;
■ and personal involvement in the reviews performed by the SSM.
Summary After taking into account both quantitative and qualitative criteria, and evolution of the Group s operating results, the Board of directors, on the proposal of the Remuneration Committee, set the variable remuneration awarded in respect of 2018 at:
■ EUR 1,470,245 for Jean-Laurent Bonnafé (representing 94% of his target variable remuneration);
■ EUR 941,258 for Philippe Bordenave (representing 94% of his target variable remuneration).
