The Group's related parties include the subsidiaries, the members of the Board of Directors and the Management Board, the CEO and the close family members of the preceding persons, as well as those entities in which these people have control. According to the Finnish Securities Markets Act, a controlled entity is an entity in which a shareholder, a member or another person exercises the control referred to in the Act. The company considers the management to include members of the Boars of Directors, the CEO and the other members of the Management Board.
Except for these loans and ordinary intra-group transactions, the Group has not entered any significant transactions with, granted any loans to or made any other comparable arrangements with related parties during 2016 and 2015.
The company considers the management to include members of the Boars of Directors, the CEO and the other members of the Management Board.
|Compensation to management|
|Salaries, fees and other short-term employee benefits||-2,116||-1,553|
|Share based compensations||-7|
|Compensation to management total||-2,116||-1,560|
|Salaries and fees|
|Padma Ravichander, CEO as from 18 April 2016||-479|
|Ilkka Raiskinen, CEO until 17 April 2016||-428||-324|
|Members of the Board of Directors:|
|Harri Koponen, Chairman of the Board||-57||-67|
|Pentti Heikkinen, Vice Chairman of the Board||-36||-39|
|Johan Hammarén, member of the Board until 5 March 2015||-15|
|Matti Jaakola, member of the Board as from 14 April 2015||-30||-15|
|Tuija Soanjärvi, member of the Board until 14 April 2015||-18|
|Pirjo Pakkanen, as from 9 May 2016||-13|
0 (23%) per cent of the fees to the Board of Directors has beed settled in shares of Tecnotree Oyj. The Group had no effective option series anymore at the end of 2016.
The pension benefits of the CEO and members of Board of Directors are determined by the Finnish Employees Pensions Act (TyEl). The obligatory pension expenses for the CEO were EUR 12 (60) thousand and for the mebers of the Board of Directors totally EUR 26 (42) thousand. The pension expenses are presented per person in note 4 of the parent company. The retiment age of the CEO is determined by the employee pension law. CEO or the other members of the Management Board and the Board of Directors have no additional pension arrangements.
|The period of notice of the CEO’s contract is 6 months from the time of resignation and from 0 to 6 months’ period of notice from the company, at the company’s discretion. Salary is paid for the period of notice and, in the case of notice given by the company, an additional compensation equal to 12 months’ salary will be paid. The company can terminate the contract of the CEO with immediate effect, without a separate compensation, if the CEO has materially breached his CEO contract, convicted guilty to a crime or otherwise caused substantial damage to the company.|
|The relationships between the Group's parent company and subsidiaries on 31 December 2016:|
|Company name||Nature of company activities||Domicile||Group's ownership %||Group's share of voting rights %|
|Tecnotree Oyj (parent)||Operative parent company||Finland|
|Tecnotree Services Oy||Dormant company||Finland||100||100|
|Tecnotree Convergence (Middle East) FZ-LLC||Sales company||The United Arab Emirates||100||100|
|Tecnotree Ltd||Product development and managment||Ireland||100||100|
|Tecnotree Spain SL||Sales company||Spain||100||100|
|Tecnotree Sistemas de Telecommunicacao Ltda||Sales company||Brazil||100||100|
|Tecnotree Argentina SRL *||Sales company||Argentina||100||100|
|Tecnotree (M) Sdn Bhd||Sales company||Malaysia||100||100|
|Tecnotree Nigeria Ltd||Sales company||Nigeria||100||100|
|Lifetree Cyberworks Pvt. Ltd||Product development, management and sales company||India||100||100|
|Lifetree Convergence Pty Ltd||Dormant company||South-Africa||99.83||99.83|
|Lifetree Convergence (Nigeria) Ltd||Dormant company||Nigeria||94.84||94.84|
The parent company has branch offices in Taiwan, in the United Arab Emirates and in Peru.