Pay adjustment for each employee is settled administratively within the limits set. For these purposes the board carries out a broad based comparison with pay conditions in other Norwegian shipping companies and gives weight to the general level of pay adjustments in Norway.

The board has instituted a bonus scheme for key employees in WWH and its main subsidiaries. Intended to reinforce the focus on performance and results, the bonus scheme is based on the group’s return on capital employed and other selected redefined key performance indicators. A similar bonus scheme is also developed for employees. The bonus scheme may differ between subsidiaries. The board also determines the annual norm for any bonus schemes.

In 2011, the general assembly endorsed a synthetic option programme as part of the remuneration to the group CEO and other certain senior executives. The programme comprises share equivalents, runs over three years and entitles its participants to
a cash reward based on the total share return of the underlying shares (a synthetic share option programme).

Maximum annual payment is set to 50% of annual basic salary. For further information on the determination of employee benefits for senior executives, please refer to note 18 to WWH parent accounts.

Remuneration of certain senior executives is specified in note 4 to WWH group accounts and note 3 to the parent company accounts.