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Axiata Group Berhad | Annual Report 2016
FINANCIAL STATEMENTS
188
NOTES TO THE FINANCIAL STATEMENTS
FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2016
14. EMPLOYEE SHARE OPTION AND SHARE SCHEME (CONTINUED)
(a) Performance-Based Employee Share Option Scheme and Restricted Share Plan [“Axiata Share Scheme”] (continued)
The amounts recognised in the financial statements as disclosed in Note 7(c) and 7(d) to the financial statements for all employees (including
Directors) arising from the Performance-Based ESOS and RSA are summarised as below:
Group
Company
2016
RM’000
2015
RM’000
2016
RM’000
2015
RM’000
Equity settlement arrangement:
- ESOS and RSA granted to employees under the Scheme
30,245
53,508
13,118
6,304
(b) Share-based compensation plan of XL
In April 2010, the Nomination and Remuneration Committee of XL approved a share-based compensation plan for certain employees under
which XL’s shares are to be given as a compensation for services provided by the employees with no cash consideration. Members of the
Board of Directors and certain employees of XL who have been employed during the performance year and met certain criteria are eligible to
participate in the program.
Under the program, on each end of fourth (4
th
) month subsequent to completion of the performance year, XL issues shares to the eligible
employees upon XL achieving specific performance target and the employees satisfying certain performance conditions and remain in the
employment at the share issuance date. Shares issued by XL vest in two (2) equal proportions and will become employees’ rights if the
employees remain in employment for two (2) years and three (3) years as of respective share issuance date.
The program was approved in the EGM of Shareholders on 14 April 2011. The execution of the program covers performance year 2011 up to
2015 with grant cycles divided into six (6) periods.
On 10 December 2015, Board of Commissioners of XL approved a long term incentive programme 2016-2020 under which XL’s shares without
pre-emptive rights or cash consideration are to be awarded. This programme was approved by the EGM on 10 March 2016.
Total share-based compensation expense recognised in the consolidated profit or loss for the financial year ended 31 December 2016 was
RM15.7 million (2015: RM9.8 million) as disclosed in Note 7(c) to the financial statements.
(c) Pioneer Grant of edotco Group
On 8 December 2014, edotco Group approved edotco Pioneer Grant to the eligible employees of edotco Group, its subsidiary and national
tower companies which are currently held by the Group in Bangladesh, Cambodia, Sri Lanka and Pakistan. The plan is to motivate the
employees to drive value creation for edotco Group.
On 31 March 2015, edotco issued grant letters to eligible employees. The movement in the number of shares over the new ordinary shares of
RM1 each of edotco Group, in which the employees are entitled to are as follows:
Group
At
1 January
Grant Adjustments
9
Lapsed/
forfeited
At
31 December
2016
Pioneer Grant
13,183,700
-
747,000
(747,400)
13,183,300
2015
Pioneer Grant
-
14,037,400
-
(853,700)
13,183,700
9
Adjusted refers to re-allocation of grant which was lapsed/forfeited previously to certain new/existing employees under similar terms
and conditions.
The total share-based compensation expense recognised in the consolidated profit or loss for the financial year ended 31 December 2016 was
RM9.9 million (2015:RM11.7 million).