LONMIN PLC - DIRECTOR`S SHARE PURCHASE
Lonmin Plc
JSE Share Code: LON
ISIN: GB0031192486
20 MAY 2004
Lonmin Plc (the `Company`) announces that a Co-Investment Plan (the `Plan`) was
established yesterday between the Company and it Chief Executive, Mr Brad Mills.
This Plan was established as part of the arrangements to facilitate Mr Mills`
recruitment. The Plan also ensures Mr Mills now has a significant personal
interest in the shares of Lonmin.
The Plan is designed to part compensate Mr Mills for the loss of significant
incentives which arose from his previous employment with BHP Billiton Limited.
The value of these incentives was assessed by independent remuneration
consultants, appointed by the Company`s Remuneration Committee, and offered to
him either as a cash settlement or through participation in the Plan. The
essential features of the Plan are as follows :-
- The Company has paid GBP1,205,994, which would otherwise have been due to
Mr Mills in cash, into its existing employee benefit trust (the `Trust`).
These funds were used on 19 May to purchase 124,362 ordinary shares of $1
in the Company at a price of 969.7433p per share, which will be held in the
Trust for three years. Mr Mills has a beneficial interest in these shares,
which are at risk of forfeiture if he leaves the Company in certain
specified `bad leaver` circumstances, and will be entitled to receive any
dividend income from those shares during the time they are held in Trust.
- Mr Mills is entitled to receive a matching award of up to a further 104,869
shares in the Company, subject to performance conditions set by the
Remuneration Committee.
Following completion of this matter, Mr Mills will have a beneficial interest in
124,362 ordinary shares of $1 each in the capital of the Company, equating to
0.09% of that class.
End
Date: 20/05/2004 01:33:08 PM Produced by the JSE SENS Department
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