DSM Annual report 2007 - Remuneration of the members of the Managing Board

10 Remuneration of the members of the Managing Board

Total remuneration

The remuneration of the members of the Managing Board is determined by the Supervisory Board within the framework of the remuneration policy for 2007 and subsequent years as approved by the Annual General Meeting of Shareholders on 28 March 2007. More details about the remuneration policy are included in Remuneration policy .

The total remuneration (including pension expenditure and other commitments) of the members of the Managing Board amounted to €3.8 million (2006: €4.4 million). The remuneration of the individual members of the Managing Board was as follows:

Feike Sijbesma (CEO as of 1 May 2007): salary €609,000 (2006: €476,000), bonus €233,000 (2006: €291,000), pension expenditure zero (2006: €91,000), other items €34,000 (2006: €6,000); Peter Elverding (until 1 May 2007): salary €220,000 (2006: €652,000), bonus €319,000 (2006: €379,000), pension expenditure zero (2006: €111,000), other items €60,000 (2006: €4,000); Jan Zuidam: salary €488,000 (2006: €476,000), bonus €233,000 (2006: €291,000), pension expenditure zero (2006: €82,000), other items €27,000 (2006: €4,000); Nico Gerardu: salary €488,000 (2006: €358,000), bonus €176,000 (2006: zero), pension expenditure zero (2006:€52,000), other items €4,000 (2006: €3,000); Rolf-Dieter Schwalb: salary €488,000 (2006: €120,000), bonus €59,000 (2006: zero), pension expenditure zero (2006: €18,000), other items €5,000 (2006: €2,000); Stephan Tanda (as of 1 May 2007): salary €327,000, bonus zero, pension expenditure zero, other items €5,000.

Outstanding and exercised stock incentives

The following table shows the stock incentives of the individual members of the Managing Board and the rights exercised.

Overview of performance shares and stock options

	Year of issue	Outstanding on 31 Dec. 2006	In 2007			Outstanding on 31 Dec. 2007	Exercise price (€)	Expiry date
	Year of issue	Outstanding on 31 Dec. 2006	Granted	Exercised	Forfeited/ expired	Outstanding on 31 Dec. 2007	Exercise price (€)	Expiry date
Feike Sijbesma
Stock options	2001	60,000	-	-	-	60,000	19.990	30 March '09
	2002	60,000	-	-	-	60,000	23.505	4 April '10
	2003	60,000	-	-	-	60,000	18.195	4 April '11
	2004	60,000	-	-	-	60,000	17.895	2 April '12
	2005	30,000	-	-	-	30,000	29.050	8 April '13
	2006	30,000	-	-	-	30,000	38.300	31 March '14
	2007	-	30,000	-	-	30,000	33.600	30 March '15
	Total	300,000	30,000	-	-	330,000
Of which vested		180,000				240,000

Performance shares	2005	8,000	-	-	-	8,000	29.050
	2006	8,000	-	-	-	8,000	38.300
	2007	-	8,000	-	-	8,000	33.600
	Total	16,000	8,000	-	-	24,000
Of which vested		-				-

Jan Zuidam
Stock options	2001	60,000	-	-	-	60,000	19.990	30 March '09
	2002	60,000	-	-	-	60,000	23.505	4 April '10
	2003	60,000	-	-	-	60,000	18.195	4 April '11
	2004	60,000	-	-	-	60,000	17.895	2 April '12
	2005	30,000	-	-	-	30,000	29.050	8 April '13
	2006	30,000	-	-	-	30,000	38.300	31 March '14
	2007	-	30,000	-	-	30,000	33.600	30 March '15
	Total	300,000	30,000	-	-	330,000
Of which vested		180,000				240,000

Performance shares	2005	8,000	-	-	-	8,000	29.050
	2006	8,000	-	-	-	8,000	38.300
	2007	-	8,000	-	-	8,000	33.600
	Total	16,000	8,000	-	-	24,000
Of which vested		-				-

	Year of issue	Outstanding on 31 Dec. 2006	In 2007			Outstanding on 31 Dec. 2007	Exercise price (€)	Expiry date
	Year of issue	Outstanding on 31 Dec. 2006	Granted	Exercised	Forfeited/ expired	Outstanding on 31 Dec. 2007	Exercise price (€)	Expiry date
Nico Gerardu
Stock options	2002	36,000	-	-	-	36,000	23.505	4 April '10
	2003	36,000	-	-	-	36,000	18.195	4 April '11
	2004	36,000	-	-	-	36,000	17.895	2 April '12
	2005	36,000	-	-	-	36,000	29.050	8 April '13
	2006	30,000	-	-	-	30,000	38.300	31 March '14
	2007	-	30,000	-	-	30,000	33.600	30 March '15
	Total	174,000	30,000	-	-	204,000
Of which vested		72,000				108,000

Performance shares	2006	8,000	-	-	-	8,000	38.300
	2007	-	8,000	-	-	8,000	33.600
	Total	8,000	8,000	-	-	16,000
Of which vested		-

Rolf-Dieter Schwalb
Stock options	2007	-	30,000	-	-	30,000	33.600	30 March '15
Of which vested		-				-

Performance shares	2007	-	8,000	-	-	8,000	33.600
Of which vested		-				-

Stephan Tanda
Stock options	2007	-	30,000	-	-	30,000	33.600	30 March '15
Of which vested		-				-

Performance shares	2007	-	8,000	-	-	8,000	33.600
Of which vested		-				-

	Year of issue	Out- standing on 31 Dec. 2006	In 2007			Out- standing on 1 May 2007	Exercise price (€)	Average share price at exercise (€)	Expiry date
	Year of issue	Out- standing on 31 Dec. 2006	Granted	Exercised	Forfeited/ expired	Out- standing on 1 May 2007	Exercise price (€)	Average share price at exercise (€)	Expiry date
Peter Elverding¹
Stock options	2000	45,000	-	(45,000)	-	-	18.240	32.515	31 March '08
	2001	75,000	-	-	-	75,000	19.990		30 March '09
	2002	75,000	-	-	-	75,000	23.505		4 April '10
	2003	75,000	-	-	-	75,000	18.195		4 April '11
	2004	75,000	-	-	-	75,000	17.895		2 April '12
	2005	37,500	-	-	(18,750)	18,750	29.050		8 April '13
	2006	37,500	-	-	(18,750)	18,750	38.300		31 March '14
	2007	-	37,500	-	(18,750)	18,750	33.600		30 March '15
	Total	420,000	37,500	(45,000)	(56,250)	356,250
Of which vested		270,000				356,250

Performance shares	2005	10,000	-	-	(5,000)	5,000	29.050
	2006	10,000	-	-	(5,000)	5,000	38.300
	2007	-	10,000	-	(5,000)	5,000	33.600
	Total	20,000	10,000	-	(15,000)	15,000
Of which vested		-				15,000

1 Upon retirement or early retirement, 50% of any unvested stock options and unvested performance shares vest (and become exercisable); the remaining 50% are forfeited.

Overview of performance shares

	Year of issue	Outstanding on 31 Dec. 2006	In 2007			Outstanding on 31 Dec. 2007	Share price at date of grant (€)
	Year of issue	Outstanding on 31 Dec. 2006	Granted	Vested	Forfeited	Outstanding on 31 Dec. 2007	Share price at date of grant (€)

	2005¹	26,000	-	(5,000)	(5,000)	16,000	29.050
	2006¹	34,000	-	(5,000)	(5,000)	24,000	38.300
	2007¹	-	50,000	(5,000)	(5,000)	40,000	33.600

Total 2007		60,000	50,000	(15,000)	(15,000)	80,000
Of which vested		-				-
		At 31 Dec. 2005				At 31 Dec. 2006

Total 2006		42,000	34,000	-	(16,000)	60,000
Of which vested		-				-

1 Upon retirement or early retirement, 50% of any unvested performance shares vest; the remaining 50% are forfeited.

At year-end 2007 the members of the Managing Board together held 12,036 shares (year-end 2006: 1,836 shares) in Royal DSM N.V.

Loans

The company does not provide any loans to members of the Managing Board.

Notes

1) General

2) Intangible assets

3) Property, plant and ...

4) Financial assets

5) Receivables

6) Royal DSM N.V. ...

7) Provisions

8) Borrowings

9) Other current ...

10) Remuneration of ...

11) Remuneration of ...