The MLTIP provides Group Management Board and selected Other Top Management members with the opportunity to annually invest a part of their short-term incentive in the plan. The key parameters of the MLTIP are as follows:
- Participation in the Long-Term Investment Programs is voluntary, as the programs represent a personal investment by each Group Management Board member and selected Other Top Management member. If there is no participation, the short-term incentive is fully paid out in cash.
- Group Management Board members and selected Other Top Management members may elect to receive a portion of their actual annual short-term incentive – between 25% and 50% – in the form of shares, which will then be blocked for a three-year period (Investment Shares).
Per the plan rules, the relevant share price for the allocation of Investment Shares is calculated on the basis of the average closing price of the shares on the SIX Swiss Exchange in the ten trading days immediately before the payout date (as a rule March 25) of the corresponding short-term incentive.
IPO exception: For the first year, the relevant share price for the acquisition of Investment Shares was the effective purchase price of Sunrise shares on the first trading day after the presentation of the yearly results for 2014 (March 26, 2015).