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MTN operations’ bonus declarations
In line with the performance bonus rules, bonuses become payable within an operation once the
committee is satisfied that the minimum performance thresholds have been achieved. For 2017, MTN
Group Management Services (Head Office) employees received a bonus. A summary of the bonuses
declared to the MTN Group operations is as follows:
Bonus declared
Bonus declared
2017
2016
2017
2016
Botswana
Yes
No Afghanistan
No
No
South Africa
Yes
No Congo-Brazzaville
No
No
Nigeria
Yes
No Rwanda
Yes
No
Ghana
Yes
Yes Zambia
Yes
No
Cameroon
No
No Liberia
No
No
Ivory Coast
Yes
No Guinea-Conakry
No
No
Uganda
Yes
No Cyprus
Yes
Yes
Syria
Yes
Yes South Sudan
Yes
No
Sudan
Yes
Yes Iran
Yes
Yes
Benin
No
No Swaziland
Yes
Yes
Yemen
No
Yes Guinea-Bissau
Yes
No
Long-term incentive (LTI) schemes
LTIs to managerial and senior employees are
aimed at aligning their contributions to
shareholders’ expectations by sharing in the
long-term growth of the company. Due to the
fact that our operations are spread across
22 African and Middle Eastern countries, it is not
always feasible to issue MTN stock to all
employees as we are only listed on the
Johannesburg Stock Exchange. For this reason,
the company operates a combination of equity
and cash-settled schemes.
The general rule is that participants are allocated
shares, options, or rights equivalent to a fraction
of their annual salary. Depending on the
performance of the company measured using
various indicators, participants proportionately
either receive cash, equity or a combination of
both. Although the eligibility of participants is
defined in the rules of the schemes, MTN
reserves the right to exclude participation by
certain employees by virtue of their employment
status, e.g. disciplinary, suspension, and
dismissal.
The group has implemented the following
schemes:
•
•
Share appreciation rights scheme (SARS) and
share rights plan (SRP).
•
•
Objective: To promote the achievement of MTN
group’s strategic objectives measured using
the company’s growth in share price.
Participating employees share in the
appreciation of the company’s share price
between the grant and vesting dates.
Eligible
participants
Date
implemented
Performance
conditions
Last vesting
date Expiry period
All employees at
junior management
level and above
2006 – SARS
2008 – SRP
Share price
based
2013
2015
2018
2020
Both the SARS and SRP were fully vested as at 2017 and are exercisable. Refer to for the full
reconciliation of 2017 trading. No further grants are being made under the SARS and SRP.
AFS
MTN Group Limited
Integrated Report 2017
91
Governance, people
and remuneration