While delivering value to shareholders this outcome also resulted in full vesting of the LTI plan for Executives.
The following table shows the returns IAG delivered to its shareholders for the last five financial years for a range of additional
measures.
TABLE 7 - HISTORICAL ANALYSIS OF SHAREHOLDER RETURN ON LTI
YEAR ENDED
30 JUNE 2011
YEAR ENDED
30 JUNE 2012
YEAR ENDED
30 JUNE 2013
YEAR ENDED
30 JUNE 2014
YEAR ENDED
30 JUNE 2015
Closing share price ($)
3.40
3.48
5.44
5.84
5.58
Dividend paid per ordinary share (cents)
16.00
17.00
36.00
39.00
29.00
Basic earnings per share (cents)
12.08
10.01
37.57
56.09
31.22
Cash ROE (%)
11.1
13.3
25.3
23.0
15.3
ROE to WACC outcome for EPR Plan
0.82
1.12
1.83
2.34
2.47
TSR (%)
*
3.0
5.3
59.2
15.6
1.8
*
This represents the TSR performance measured for the 12 months from 1 July to 30 June. This is only one indication of IAG’s performance for the relevant financial
year.
IV. LTI awards outstanding during the year ended 30 June 2015
Details of outstanding LTI awards made to Executives in the year ended 30 June 2015 are shown in table 8 below:
TABLE 8 - LTI AWARDS OUTSTANDING DURING THE YEAR ENDED 30 JUNE 2015
AWARD
GRANT DATE
BASE DATE
FIRST TEST
DATE
LAST TEST
DATE
PERFORMANCE
HURDLE
ACHIEVEMENT
LAST EXERCISE
DATE
2014/2015 Series 6 - TSR
(a)
03/11/2014 30/09/2014 30/09/2018
N/A 03/11/2021
2014/2015 Series 6 - ROE
(a)
03/11/2014 30/06/2014 30/06/2017
N/A 03/11/2021
2013/2014 Series 6 - TSR
(a)
01/11/2013 30/09/2013 30/09/2017
N/A 01/11/2020
2013/2014 Series 6 - ROE
(a)
01/11/2013 30/06/2013 30/06/2016
N/A 01/11/2020
2012/2013 Series 5 - TSR
(b)
26/10/2012 30/09/2012 30/09/2015 30/09/2017
N/A 26/10/2019
2012/2013 Series 5 - ROE
(b)(c)
26/10/2012 30/06/2012 30/06/2015
N/A 26/10/2019
2011/2012 Series 5 - TSR
(b)
21/10/2011 30/09/2011 30/09/2014 30/09/2016
100% 21/10/2018
2011/2012 Series 5 - ROE
(b)
21/10/2011 30/06/2011 30/06/2014
100% 21/10/2018
(a)
Terms and conditions for EPR Plan 2013/2014 and 2014/2015 are the same, therefore they are both referred to as Series 6.
(b)
Terms and conditions for EPR Plan 2011/2012 and 2012/2013 are the same, therefore they are both referred to as Series 5.
(c)
The cash ROE portion of EPR Plan 2012/2013 has been tested and is expected to vest in full. Vesting details will be included in the Remuneration Report for the year
ending 30 June 2016.
V. LTI awards vested during the year ended 30 June 2015
Details of LTI vested during the year are set out below.
For EPR Plan 2011/2012 – Series 5, the performance results were:
TSR met the performance hurdle on 30 September 2014 and 100% of those rights vested upon the first test; and
the ROE performance hurdle was tested on 30 June 2014 and 100% of those rights vested.
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