8. 2022 and 2023 Executive Key Management Personnel Remuneration 8.1 CEO Target Remuneration The Board determines any increases to reward for the CEO based on his performance and relative to external benchmarks. When comparing Mr Perreault’s total reward to the reward of CEOs across the pharmaceutical/biotechnology peer group, Mr Perreault lags the median – specifically on the LTI component, currently sitting at 81% of the Total Target Direct Compensation median. 8.1.1 2022 CEO Target Remuneration In 2022, the Board determined that Mr Perreault would receive a 3% increase to FR, taking this to US$1,803,530. Mr Perreault’s STI percentage remained set at 120% of his FR for target performance and his maximumpayout opportunity capped at 240% of his FR for outstanding performance. This maximum opportunity was increased from 180% in the prior year due to the framework change where the Board increased the maximum STI opportunity to 200% of target from 150%. There was no increase applied to his LTI target, remaining at 400% of FR (also maximum opportunity). However, given FR has increased the monetary value of the maximum opportunity has increased. 8.1.2 2023 CEO Target Remuneration In 2023, the Board has determined that Mr Perreault will receive a 3.5% increase to FR – US$1,866,654 effective 1 September 2022. There will be no change to Mr Perreault’s STI target, remaining at 120% with a maximum opportunity of 240%. An increase in the LTI target from 400% of FR to 450% of FR has been applied – this is also the maximum opportunity. These changes increase Mr Perreault’s Total Target Direct Compensation from US$11,181,886 to US$12,506,582. Mr Perreault’s target reward for 2023 is displayed below, along with the 2023 comparison to CEOs in our pharmaceutical/biotechnology peer group. 2023 CEO Target Remuneration and Peer Group Comparison – US$ 1,866,654 1,723,546 2,239,985 2,332,238 8,399,943 12,111,053 12,506,582 15,420,773 ● Peer Group CEO – median ● P Perreault 2023 Total Target Direct Compensation 2023 LTI Target 2023 STI Target 2023 Fixed Reward 8.2 2022 Executive KMP Realised Remuneration 8.2.1 2022 CEO Realised Remuneration Below we have disclosed the CEO ‘realised’ remuneration. This is a voluntary disclosure which the Board believes is simple and affords a transparent view of what the CEO’s actual take-home pay was in 2022. These outcomes are aligned with the CEO’s and CSL’s performance during 2022, as well as being aligned to CSL’s longer term performance. This information has not been prepared in accordance with the Australian accounting standards. See section 7.1 Table 10 for the Statutory Remuneration disclosure that has been prepared in accordance with the Australian accounting standards. 2022 CEO Realised Remuneration – USD 0% 20% 30% 50% 70% 90% 10% 40% 60% 80% 100% ● 2022 Fixed Reward ● 2022 STI Received ● 2022 LTI Received 1,905,517 3,029,931 7,775,435 Mr Perreault’s total ‘realised’ remuneration for 2022 was US$12,710,883 and this is a 72% decrease from the prior year. The decrease was as a result of legacy Option and Performance Right LTI plans ceasing in 2021. All LTI awards that vested in 2022 were granted under the framework introduced in 2017. CSL Limited Annual Report 2021/22 89
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