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Bhp Billiton
ISIN: GB0000566504
SHARE CODE: BIL
BHP BILLITON ANNOUNCES SETTLEMENT WITH FORMER CEO
BHP Billiton today announced that it has reached agreement with former Chief
Executive, Brian Gilbertson on the terms of termination of his employment with
the Group."We have resolved this matter on the terms specified in our contract
with Mr Gilbertson", BHP Billiton Chairman Don Argus said today. "The decision
on the separation payments has the unanimous support of the Board"."The delay in
settling the matter reflected differences between us about the contract".Mr
Gilbertson terminated his employment with BHP Billiton on 5 January 2003, some
two and a half years earlier than 29 June 2005, the date provided under his
contracts with the Group.Mr Gilbertson will be paid a total amount of
GBP4,069,605, which represents his entitlements under his contracts of
employment with BHP Billiton. These amounts will be subject to tax and other
statutory deductions.In addition, BHP Billiton will reimburse Mr Gilbertson an
amount of up to GBP150,000 for relocation and other expenses incurred by Mr
Gilbertson in consequence of the termination of his employment. The Group will
also continue to provide medical insurance cover for Mr Gilbertson and his wife
until 29 June 2005.At the time of his resignation, Mr Gilbertson was entitled to
rights in respect of 760,110 shares in BHP Billiton Plc, under various Group
incentive schemes, including some rights that had been paid for by Mr Gilbertson
at the then prevailing market price.
Under the terms of settlement with Mr Gilbertson, he will be entitled to retain
rights to a maximum of 228,685 shares out of the total number of 760,110. None
of these remaining rights will vest automatically. They will only vest in his
favour if the pre-determined performance targets approved by shareholders, and
applicable to all other holders, are met. If all the relevant performance
targets are not met, then the rights to those shares will progressively lapse.
Mr Gilbertson"s shareholding is detailed in the 2002 Annual Report.Mr Gilbertson
worked for BHP Billiton and its predecessor companies for over 32 years, and
during this period accrued substantial pension/superannuation entitlements.
Over that period Mr Gilbertson participated in a Defined Benefit Scheme which
entitled him to receive a pension/superannuation benefit of 75% of his finishing
salary after he had served 30 years. This amounts to GBP602,575 per annum."This
entitlement has not been increased as a result of, and is unrelated to, Mr
Gilbertson"s termination. The annual amount Mr Gilbertson is entitled to on
leaving the Company has been reported each year in the Annual Report". Mr Argus
said."Mr Gilbertson would have been entitled to these superannuation payments
irrespective of the circumstances in which he left the Company".
Further information on BHP Billiton can be found on our Internet site:
http://www.bhpbilliton.com
Australia United Kingdom
Andrew Nairn, Investor Relations Mark Lidiard, Investor & Media
Tel: +61 3 9609 3952 Relations
Mobile: +61 408 313 259 Tel: +44 20 7802 4156
email: Mobile: +44 7769 934 942
Andrew.W.Nairn@bhpbilliton.com email: Mark.Lidiard@bhpbilliton.com
Tracey Whitehead, Media Relations Ariane Gentil, Media Relations
Tel: +61 3 9609 4202 Tel: +44 20 7802 4177
Mobile: +61 419 404 978 email: Ariane.Gentil@bhpbilliton.com
email:
Tracey.Whitehead@bhpbilliton.com
United States South AfricaMichael Campbell,
Francis McAllister, Investor Investor & Media Relations
Relations Tel: +27 11 376 3360
Tel: +1 713 961 8625 Mobile: +27 82 458 2587
Mobile: +1 713 480 3699 email:
email: Michael.J.Campbell@bhpbilliton.com
Francis.R.McAllister@bhpbilliton.com
Date: 22/05/2003 08:02:01 AM Supplied by www.sharenet.co.za
Produced by the JSE SENS Department
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