Isidro Fainé, Verónica Pascual, José Javier Echenique, Claudia Sender and Peter Löscher will also be re-elected as directors

MADRID, 12 Abr. (EUROPA PRESS) -

Telefónica is holding its general meeting of shareholders this Friday and one of the proposals that the company will present will be the approval of a long-term incentive plan consisting of the delivery of shares to the group's directors for a maximum amount of 200 million euros, according to the information sent by the company to the National Securities Market Commission (CNMV).

The operator has explained that the group of potential participants in the long-term incentive plan that it will submit for the approval of its shareholders is made up of approximately 730 company executives, including executive directors.

"The plan will have a total duration of five years and will be divided into three cycles of three years each (that is, with delivery of the actions that correspond to each cycle after three years from the beginning of each cycle). ), independent of each other", the company has detailed.

The first cycle will be considered to have started on January 1, 2024 (with delivery of the shares in 2027, once the accounts for the 2026 financial year have been prepared and audited), while the second will begin on January 1, 2025 (delivery in 2028, once the 2027 accounts have been formulated and audited) and the third on January 1, 2026 (delivery in 2029, once the 2028 accounts have been formulated and audited).

Regarding the number of shares that will be distributed among the group's directors within the framework of this long-term incentive plan, the operator has indicated that "it will be the result of dividing the maximum amount allocated to said cycle by the weighted average price of Telefónica shares in the thirty trading days prior to January 1 of the first year of the corresponding cycle".

Likewise, the maximum amount allocated to the plan in each of the cycles will be determined by the board of directors each year, following a report from the company's appointments, remuneration and good governance committee.

On the other hand, Telefónica will also propose to shareholders the re-election of Isidro Fainé, Verónica María Pascual Boé, José Javier Echenique Landiríbar, Peter Löscher and Claudia Sender as members of the company's board of directors.

In addition, it will submit to a vote of shareholders the ratification of the appointments by co-option of Solange Sobral and Alejandro Reynal as members of the operator's highest decision-making body.

In this sense, it is worth noting that on January 26, Isidro Fainé - president of CriteriaCaixa and the La Caixa Foundation - celebrated 30 years since his first appointment as a member of the board of directors of Telefónica, of which he is vice president as Sunday.

Fainé, 81, joined the operator's board of directors on January 26, 1994 and is the member of Telefónica's highest decision-making body who has been in the seat for the longest time.

Another of the proposals that Telefónica will submit to the vote of its shareholders will be the reduction of the company's share capital through the amortization of its own shares for an amount of 80.29 million euros.

"The capital reduction will not entail the return of contributions to the shareholders because the company itself is the owner of the shares that, if applicable, will be amortized and will be carried out with a charge to freely available reserves, through the provision of a reserve for capital redeemed for an amount equal to the nominal value of the redeemed shares (that is, for an amount of 80,296,591 euros)", the telecom explained.

If the capital reduction is approved by the shareholders, it must be carried out within one year.

Likewise, the company will propose to shareholders a dividend of 0.3 euros charged to 2023 results and payable in two tranches.

Thus, the first payment of 0.15 euros in cash per share will be made on June 20, 2024, while the second payment of 0.15 euros in cash will be made on December 19, 2024.

Telefónica will also bring to the shareholders' meeting the proposal related to the application of the result for the 2023 financial year, which includes allocating 91.09 million euros to the legal reserve and 2,061 million euros to voluntary reserves.

Other matters included on the agenda of the general meeting of Telefónica shareholders are the approval of the company's accounts, the re-election of the consulting firm PWC as auditor of the accounts for the 2024 financial year and the advisory vote on the 2023 annual report. on directors' remuneration.