CEO succession: Departure of Rob Woodward as Chief Executive Officer and appointment of Simon Pitts

On 31 December 2017, Rob Woodward stepped down as Chief Executive Officer of STV Group plc. The Remuneration Committee has determined the following remuneration arrangements in accordance with his service agreement and the Company’s Remuneration Policy.
In line with his service agreement and respective notice period, Rob Woodward will receive a payment in lieu of notice (‘PILON’) of £166k, which comprises base salary, benefits and pension allowance for the remaining four months of his 12 month notice period which was not worked.
Rob Woodward will remain eligible for a 2017 annual bonus. This bonus will be paid in cash in line with our normal cycle following the determination of annual bonus outcomes in early 2018. Rob Woodward is not eligible for an annual bonus in respect of the 2018 performance year. The deferred share element of the 2016 annual bonus will be released in line with the normal release date in March 2020.
Rob Woodward’s outstanding awards under the Company’s long-term incentive plan will be treated in accordance with the respective plan rules. He has two outstanding awards under the STV Long Term Incentive Plan: the 2015 STV Group plc LTIP and the 2016 STV Group plc LTIP. These awards will be exercisable on the normal release date following the determination of performance over the three-year performance periods ending 31 December 2017 and 31 December 2018, respectively. The 2016 STV LTIP will be pro-rated to reflect the term of employment.
Options held under the 2013 Value Creation Plan will remain exercisable until March 2023, as previously determined by the Remuneration Committee.
Further details will be provided in the Directors’ Remuneration Report for the year ending 31 December 2017.
Appointment of Simon Pitts as Chief Executive Officer
Simon Pitts is appointed on a base salary of £400k per annum, with the other elements of the remuneration package determined in line with the shareholder approved Remuneration Policy.
In order to facilitate Simon Pitts’ appointment, it was necessary to make share awards and compensatory payments reflecting incentive awards forfeited at his previous employer.
This package comprises an immediate cash payment of £187k, an award of STV Group plc deferred shares (with a face value of £666k) vesting in phases over the period to 2021, and an STV Group plc LTIP award (with a face value of £652k) which will vest in 2020, subject to the achievement of the 2017 STV Group plc LTIP performance targets measured over the three years to 31 December 2019, as set out in the 2016 Directors’ Remuneration Report.  This buyout package is designed to be no more generous than the awards forfeited (in particular reflecting performance conditions, form and time horizons of the forfeited awards), in line with the provisions of Remuneration Policy.