In accordance with statutory requirements and the recommendations of the German Corporate Governance Code (DCGK) as amended on 7 February 2017, this remuneration report explains the main features and structure of the remuneration system used for the Executive Board and Supervisory Board of KION GROUP AG and also discloses the remuneration of the individual members of the Executive Board and Supervisory Board for the work that they carried out on behalf of the Company and its subsidiaries in 2019. The report also reflects the requirements of German accounting standard (GAS) 17 and the German Commercial Code (HGB).
KION GROUP AG considers that transparency and clarity surrounding both the remuneration system itself and the remuneration of the individual members of the Executive Board and Supervisory Board are fundamental to good corporate governance.
Because the act implementing the second Shareholder Rights’ Directive (‘ARUG II’) and the recommendations of the new German Corporate Governance Code come into force on 1 January 2020, the Supervisory Board will be approving a new remuneration system for the members of the Executive Board of KION GROUP AG in 2020. This will incorporate feedback from investors on the current remuneration system. The Supervisory Board put together a task force to deal with this matter in 2019. The new remuneration system will be finalised during the course of 2020 and presented to the 2021 Annual General Meeting for approval. This is in accordance with the rules regarding first-time application of ARUG II and the obligation to declare compliance with the new recommendations of the German Corporate Governance Code at the time the next declaration of conformity is due to be issued.