Notes to the Consolidated Financial Statements

28. Related party transactions   

Two parties are considered related if one party can exercise control or significant power in decision-making associated with the other party’s finances and business operations. The Group’s related parties include the parent company and subsidiaries, in addition to the members of the Board of Directors and the Management Team.

Remuneration paid to the CEO and Group management during the financial period, including fringe benefits, was as follows:

€ 000

2012

2011

Salaries and other short-term employee benefits

957

1,599

Share-based bonuses 86 194
Total 1,043 1,793
     


The salaries and fees paid in 2012 to the CEO and the members of the Board of Directors were as follows:

 

 

 € 000

Kyttälä Pertti

Chairman of the Board of Directors

79

Ingman Robert

Vice Chairman of the Board

52

Ruotsalainen Seppo

Member of the Board

34

Saarinen Leena

Member of the Board

33

Karvinen Kari

Member of the Board

 43

Uhari Tommi Member of the Board 40
Hokkanen Päivi Member of the Board 33
Sivonen Pekka Member of the Board
(until 13 March 2012)
9
Mehtälä Martti Member of the Board
(until 13 March 2012)
11
Virtanen Marjatta Member of the Board
(until 13 March 2012)
8

Varelius Juha

CEO

428

Total

 

766
     

The incentive schemes are described in Note 20 Share-based payments and in the separate report on corporate governance. Transactions related to the sale of services to related parties totalled EUR 25,700 (EUR 9,300 in 2011). Transactions associated with the purchase of goods or services totalled EUR 0 (EUR 93,900). The Group has no related-party loans.