34 – Share based payments Index28293031323334 Long Term Incentive (LTI) plans LTI plans with similar conditions are granted annually to the Executive Board and selected Senior Managers in the Group. On the vesting date, shares will be granted to the participants. The number of bonus shares is determined depending on the achievement of defined performance criteria. The performance criteria and their corresponding typical weightings for the Executive Board members are defined in the Remuneration Policy and as of 2022 are as follows: Relative Total Shareholder Return (30%), Clean CCS (Current Cost of Supply) ROACE (40%), ESG targets (30%). Based on predefined criteria (e.g., fatalities, Total Recordable Injury Rate (TRIR), process safety – also in comparison to industry benchmarks), a Health & Safety Malus of between 0.8 and 1.0 is applied to the overall target achievement for Executive Board members. In case of severe incidents, the Remuneration Committee may reduce the payout to zero. For Senior Managers, as of 2022, the following performance criteria apply: Relative Total Shareholder Return (30%), Free Cash Flow (35%), and ESG targets/Transformation targets (35%). The defined performance criteria may not be amended during the performance period of the LTI plans. However – in order to maintain the incentivizing character of the program –the responsible governing body for Senior Managers has the discretion to adjust the threshold/ target/ maximum levels of the Free Cash Flow, in case of material changes in external factors such as oil and gas prices. The adjustment can be made in both directions. Disbursement is made in cash or in shares. Since 2022, the OMV Petrom LTI plan payment has been made in shares only. Executive Board members and Senior Managers as active participants of the plans are required to build up an appropriate volume of shares and to hold those shares until retirement or departure from the company. For Senior Managers, if the eligibility of the LTI plan lapses but they are still in active employment with the company, the shareholding requirement expires when the last LTI plan is paid out. The shareholding requirement is defined as a percentage of the annual gross base salary, for the Executive Board, and as a percentage of the respective Target Long-Term Incentive for Senior Managers. Executive Board members have to fulfill the shareholding requirement within five years after the initial respective appointment. Until fulfillment of the shareholding requirement, disbursement takes the form of shares whilst thereafter the plan participants can decide between cash or share settlement. As long as the shareholding requirements are not fulfilled the granted shares after deduction of taxes are transferred to a trustee deposit, managed by the Company. For payments in shares the grant date fair values are spread as expenses over the three years performance period with a corresponding increase in shareholders’ equity. In the case of assumed cash-settlements a provision is made for the expected future costs of the LTI plans on the statement of financial position date based on fair values. (XLSX:) Download Long-Term Incentive Plans 2023 plan 2022 plan 2021 plan 2020 plan Start of plan 01/01/2023 01/01/2022 01/01/2021 01/01/2020 End of performance period 12/31/2025 12/31/2024 12/31/2023 12/31/2022 Vesting date 03/31/2026 03/31/2025 03/31/2024 03/31/2023 Shareholding requirement Executive Board Chairman 200% of annual gross base salary 200% of annual gross base salary 200% of annual gross base salary 200% of annual gross base salary Executive Board Deputy Chairman 175% of annual gross base salary 175% of annual gross base salary 175% of annual gross base salary 175% of annual gross base salary Other Executive Board members 150% of annual gross base salary 150% of annual gross base salary 150% of annual gross base salary 150% of annual gross base salary Senior Managers 75% of the respective Target Long-Term Incentive 75% of the respective Target Long-Term Incentive 75% of the respective Target Long-Term Incentive 75% of the respective Target Long-Term Incentive Expected shares as of December 31, 2023 357,842 287,735 501,677 — Maximum shares as of December 31, 2023 761,728 674,776 794,894 — Fair value of plan (in EUR mn) as of December 31, 20231 14 11 20 — Provision (in EUR mn) as of December 31, 20231 3 5 16 — 1 Excluding incidental wage costs Equity Deferral The Equity Deferral serves as a long-term compensation instrument for the members of the Executive Board that promotes retention and shareholder alignment in OMV. It combines the interests of management and shareholders via a long-term investment in restricted shares. The holding period of the Equity Deferral is three years from vesting. The plan also seeks to prevent inadequate risk-taking. The performance criteria and their typical weightings for the Executive Board are defined in the Remuneration Policy and are as follows: Reported Net Income (40%), Free Cash Flow (30%), Operational target (15%), and ESG target (15%). Based on predefined criteria (e.g., fatalities, TRIR, and process safety – also in comparison to industry benchmarks), a Health & Safety Malus of between 0.8 and 1.0 is applied to overall target achievement. In case of severe incidents, the Remuneration Committee may reduce the payout to zero. The Annual Bonus is capped at 180% of the target Annual Bonus. A minimum of one-third of the Annual Bonus is granted in shares. The determined bonus achievement is settled on March 31 following the end of the period whereby at the statement of financial position date the target achievements and the share price is estimated (the latter on the basis of market quotes). Given the volatility of commodity prices and market conditions inherent to the industry, the variable remuneration plans give the Remuneration Committee the authority (in line with general practices in the Oil and Gas industry) to adjust the threshold, target, and maximum levels of the financial targets based on oil/gas prices and EUR/USD exchange rates compared with assumptions at the time the targets were set. Adjustments can be applied in both directions. They are determined by the Remuneration Committee and published in the Remuneration Report. The granted shares after deduction of taxes are transferred to a trustee deposit, managed by the Company, to be held for three years. In 2023, expenses amounting to EUR 3 mn were recorded with a corresponding increase in equity (2022: EUR 3 mn). (XLSX:) Download Personal investment held in shares1 12/31/2023 Active Executive Board members Stern 24,434 Florey 49,930 van Koten 4,385 Former Executive Board members Pleininger2 14,933 Skvortsova3 6,636 Seele4 12,190 Gangl5 16,680 Total — Executive Board 129,188 Other Senior Managers 255,539 Total personal investment 384,727 1 Personal investment held in shares refer to open LTI plans and Equity Deferral if shares are held in the OMV trustee deposit. 2 Johann Pleininger resigned from the Executive Board effective December 31, 2022. 3 Elena Skvortsova resigned from the Executive Board effective October 31, 2022. 4 Rainer Seele resigned from the Executive Board effective August 31, 2021. 5 Thomas Gangl took part in the LTIP 2020 as an Executive Board member. In 2021, he took part as both Executive Board member and Senior Manager. He resigned from the Executive Board effective March 31, 2021. Total Expenses In 2021, Borealis implemented a transitional LTI plan for 2021 and 2022 in order to bridge the cash gaps that arise from migrating to the new three-year plan. Transitional LTI plan allowances for 2021 and 2022 are based on the same KPIs as for the three-year LTI plan but measured on an annual basis and are settled in cash. Expenses related to all share-based payment transactions are summarized in the table below. (XLSX:) Download Expenses related to share-based payment transactions1 In EUR mn 2023 2022 Cash settled 6 15 Equity settled 6 7 Total expenses arising from share based payment transactions 12 22 1 Excluding incidental wage costs schließen ROACE Return On Average Capital Employed; NOPAT divided by average capital employed expressed as a percentage schließen ESG Environmental, Social, and Governance schließen TRIR Total Recordable Injury Rate per million hours worked schließen mn Million 33 – Result on financial instrumentsOther Information