Remuneration of the non-executive directors

The Chairman’s remuneration comprises salary, life assurance, prolonged disability insurance and pension. These are amongst the matters discussed at an annual meeting of the Board to review the Chairmanship. Sir Christopher Hogg is not present at this meeting.

The remuneration of the other non-executive directors is determined by ordinary resolution of the shareholders in general meeting. At the 1998 annual general meeting the shareholders agreed to increase such remuneration from £30,000 per annum to £33,000 per annum with effect from 1 January 1998. No increase is being proposed for 1999. The Board has power to pay additional remuneration for services outside the scope of the ordinary duties of a non-executive director.

	1998					1997
	Salary/ fees £000	Salary/ fees increase %	Bonus £000	Benefits £000	Total £000	Remuneration total £000
Chairman:
Sir Christopher Hogg	193	4.5%	–	10	203	195
Non-executive directors:
R P Bauman	42	40.0%	–	–	42	30
Sir John Craven (appointed 19 February 1997)	33	10.0%	–	–	33	26
M P Green	33	10.0%	–	–	33	30
P G Gyllenhammar (resigned 15 October 1997)	–	–	–	–	–	25
R Mendoza (appointed 18 February 1998)	29	–	–	–	29	–
R L Olver (appointed 1 December 1997)	33	10.0%	–	–	33	3
C J F Sinclair	43	7.5%	–	–	43	40
Sir David Walker	33	10.0%	–	–	33	30
Total for non-executive directors (excluding Chairman)	246		–	–	246	184
Executive directors:
P Job, Chief Executive	522	4.5%	255	14	791	513
J-C Marchand1	338	4.5%	173	19	530	347
J M C Parcell	246	4.7%	120	11	377	246
R O Rowley	324	4.5%	158	10	492	320
D G Ure	340	4.6%	166	12	518	337
A-F H Villeneuve	340	4.6%	166	18	524	343
Total for executive directors	2,110		1,038	84	3,232	2,106
TOTAL EMOLUMENTS	2,549		1,038	94	3,681	2,485
1. A substantial part of Jean-Claude Marchand’s remuneration is paid in Swiss francs and is converted to sterling at the year’s average rate of SF2.42 to the £. The bonus is converted at the year end rate of SF2.29 to the £.