Metsä Board Annual and sustainability report 2022

BUSINESS OPERATIONS AND VALUE CREATION

SUSTAINABILITY REPORT

FINANCIAL DEVELOPMENT

GOVERNANCE

Key characteristics of Performance based share incentive scheme 2017–2022 are summarised in the table below:

Performance based share incentive scheme 2017–2021

31 Dec 2022

2017–2019

2018–2020

2019–2021

Total

Key characteristics Shares allocated to the scheme, shares

275,278

280,694 2.4.2019, 13.6.2019, 12.8.2019

555,972

9.4.2018, 25.9.2018

Grant date(s)

Criteria

Equity ratio, ROCE ja EBIT

Equity ratio, ROCE ja EBIT

Personnel (31 December 2022)

23

Factors used to determine fair value (EUR) 1)

Share price at grant date Share fair value at grant date

8.64 7.84 0.27 9.43

5.82 5.20 0.31 8.86

Annual dividend assumption in fair value measurement Share price at payment date / balance sheet date

Fair value on balance sheet date

-

1,885,138

1,885,138

Effect on result and financial position (EUR)

Expense in 2022, share-based payments settled as equity Share-based payments settled in cash, unpaid part, estimate

467,242

381,372

848,614

-

-

0

Number of shares 1 January 2022 2) Outstanding at the beginning of the period

132,229

280,694

412,923

Changes during the year Shares granted

0 0

1,458 9,124

1,458 9,124

Shares forfeited Shares exercised Shares expired

132,229

0

132,229 99,455

0

99,455

Number of shares 31 December 2022 Outstanding at the end of the period

0

173,573

173,573

1) The fair value of the share settled component at the grant date was the share price of Metsä Board Corporation’s B share less any dividends estimated by analyst consensus to be paid before the payment of the incentive. The fair value of the share based payment is recognised to the number of shares based on the best available estimate of the total incentive to which the participants are expected to be entitled. 2) The amounts in the table represent net amounts, i.e. the number of shares to be given based on the share based payment schemes. In addition, the payment will include a cash settled component used to cover taxes and tax-like charges.

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