UniCredit Equity

UniCredit-a Global Shares Client

UniCredit made the decision to reward their top level executives with equity in the company as part of their compensation package. They were looking for an online, dynamic and easily accessible solution that could interact with their broker.

UniCredit SpA attracts deposits and offers commercial banking services. The Bank offers consumer credit, mortgages, life insurance, business loans, investment banking, asset management and other services. UniCredit operates worldwide..

  • Benefits

    • Ability to view performance awards and stock option history
    • Access to all documentation relating to their stock plans
    • Participants can accept grants online
    • Interactive modeling calculators are available to participants
    • Online transaction facilities including online exercise
    • Useful links section bringing participants to informative websites relevant to their plans
    • News updates on specific aspects of the plan
  • Requirements

    UniCredit made the decision to reward their top level executives with equity in the company as part of their compensation package. They were looking for an online, dynamic and easily accessible solution that could interact with their broker.

  • Solution

    Global Shares developed a solution where participants could view their options, plan documentation, accept new grants online, and importantly, initiate exercises through the online portal.

  • UniCredit Long Term Incentive Plan

    UniCredit launched the “Long Term Incentive Plan” (LTIP) in May 2010. Under the plan, approximately 2,000 senior executives received share options. The options were granted with time-based vesting as well as performance criteria which had to be met before the shares could be exercised. The options were granted to executives from 25 countries around the world.

Online Access, Broker Interface & CRD III Compliance UniCredit had several factors to consider in planning the LTIP plans. We took all this information into consideration and built a customized software solution online. This online participant interface was carefully tailored to meet UniCredit’s requirements.

  • Development

    Firstly, Global Shares developed the software with individual login and password details for each executive receiving share options. The software enables the executives to see their individual statements, showing them what share options they were granted. Individual grant agreements were loaded to the Participant Gateway to allow executives to accept their grants online, thereby eliminating any paper based process. The executives can model their grants to see possible future gains, review the dynamic Frequently Ask Question section, watch a video on how to exercise their options, and finally complete and exercise their vested shares online. Using Global Shares’ administration system means that UniCredit can generate the necessary reports in order to comply with IFRS 2 Expensing. It also allows the cost of the LTIP plan to be allocated amongst the different cost centers internally. Another feature of the plan is that it ensures UniCredit’s compliance with the European Directive on Capital Requirements (CRD III), which concerns amongst other things, guidelines relating to remuneration policies. Finally, Global Shares developed the software to interact with UniCredit’s broker partner thereby ensuring a timely and accurate flow of data between parties.

  • Into Consideration …

    • How to allow their senior executives to view the share options
    • How to enable executives to exercise the share options
    • How to manage the IFRS expense reporting
    • How to help the executives to accept the grants in the most efficient manner

    Conclusion

    Unicredit embraced both the technology and administration services provided by Global Shares and has benefited from an increased the level of engagement by their senior executives.

  • GEO Award Recognition

    The Global Equity Organization (GEO) is aimed at supporting executives and equity professionals with the challenges of creating, managing & administrating employee share plans. The GEO Awards celebrate companies who demonstrate leadership & dedication to employee share plans. Past winners include; Accenture, Michelin, Cisco, Vodafone, and Starbucks. Effective communication is a key component of a successful plan and presents special linguistic, geographic and cultural challenges. In this category, judges look for effective methods, materials, content, delivery, coherency, and style of communication.

  • On 16 June 2011 UniCredit received the 2011 Award for Best Plan Communication recognizing in particular Global Shares’ “effective communication tailored to Eastern Europe countries not familiar with share investment initiatives.”

    Category runner-up was eBay.

  • Transform your Equity Plan Administration with Global Shares Solutions. Discuss your company’s requirements with one of our experts today!

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