Remuneration of the Managing and Supervisory Boards

The general information on the remuneration of the Managing Board and Supervisory Board is not included in this Corporate Governance Report. In this regard, please refer to the remuneration policy and the separate remuneration report. Both documents are published on the company’s website (https://www.lenzing.com/investors/corporate-governance/remuneration-reports-policy/).

The remuneration policy for the Managing Board generally applies to all board members. However, for the Chief Transformation Officer contract, the Supervisory Board decided to deviate from the policy to focus the variable compensation elements solely on financial KPIs (group performance and financing) and exclude non-financial KPIs. This reflects the temporary nature of the CTO’s engagement in the Managing Board and should ensure full incentivization on his specific area of responsibility, namely the further development and implementation of Lenzing’s performance program. This presents a deviation to C-Rule 27 of the ACCG as also outlined in Chapter “Declaration of Commitment to the ACCG”.