No compensation for Guido, Giorgio and Silvia Grassi Damiani. The three shareholders and directors of Damiani, respectively president and CEO (Guido), vice president with powers (Giorgio), as well as vice president with powers is Silvia, «in consideration of the difficulties linked to the current negative economic situation (the most serious since the great depression of ’29) and the collapse of the markets in which the Company operates (…) have once again renounced the compensation that would have been proposed in their favor», announced the Remuneration Committee of Damiani, that is, the internal body of the company that decides the compensation of the top management. In short, another year without compensation (it had already happened in 2013) for the major shareholders, as well as managers of the large jewelry group. The Damianis will be able to console themselves, however, with the new Stock Grant Plan 2014-2019.
For those who don’t know much about finance, let’s explain: it is the possibility granted to employees, often only managers, of a company to buy shares on a certain date and at a predetermined price. If the share, in the established period, has a value greater than that set by the option, the gain is certain. If, however, it is lower, the stock option is not exercised. In the case of Damiani, however, it is likely that it will certainly be used: the plan, in fact, provides for “the free assignment of a maximum number of 1,000,000 Damiani shares in favor of beneficiaries to be identified by the Board of Directors, with the assistance of the Remuneration Committee, among the directors, employees, collaborators of the companies of the Damiani Group, which can be implemented in one or more tranches within 5 years from the date of approval by the assembly”.
At the current value of the shares (1.1250 euros in October 2014), this means a benefit of 1 million 250 thousand euros. But if the share price rises, the greater the gain will be. Not only that: the Stock Option Plan 2014-2019 provides for the sale of options for the purchase of a maximum number of 3,500,000 Damiani shares “to beneficiaries to be identified by the Board of Directors, with the assistance of the Remuneration Committee, within the management of the Damiani Group companies, which may be implemented in one or more tranches within 5 years from the date of approval by the meeting”.
