Corporate Governance – Compensation Report
The Compensation Report outlines the principles for determining the compensation for the members of the Board of Management and the Supervisory Board of Covestro AG and explains the compensation of the individual members. The Report was prepared by the Board of Management and the Supervisory Board in accordance with the requirements of section 162 of the German Stock Corporation Act (AktG) and conforms to the recommendations of the German Corporate Governance Code (GCGC) as amended on December 16, 2019. Relevant information is published on Covestro’s website.
In December 2020, Covestro AG’s Supervisory Board resolved to revise the compensation system for Board of Management members approved by the Annual General Meeting (AGM) on May 3, 2016, effective January 1, 2021. The total target compensation remained essentially the same. The changes primarily entailed adding a sustainability component to long-term variable compensation, introducing rules for withholding or recovering variable compensation components (malus and clawback), and defining maximum compensation. These modifications were made pursuant to the provisions of the law and the German Corporate Governance Code (GCGC) as amended on December 16, 2019. The compensation system for the Board of Management members, which was revised as described, was approved by the AGM on April 16, 2021, with a majority of 91.66%; it is available on the company’s website.
- Compensation of the Board of Management
- Compensation of the Supervisory Board
- Comparative Presentation of Annual Changes in Compensation and Earnings
- Other Information