worldwide save for shares 2013 employee presentation en-so-epp-13
TRANSCRIPT
Worldwide Save for Shares 2013
Employee presentation
en-so-epp-13
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We want everyone in Pearson to have a chance to own a part of their company
What is Worldwide Save for Shares?
Worldwide Save for Shares is an easy and flexible way to save money from your pay where possible
•At the end of your savings period, if you choose to, you can:– use your savings to buy Pearson shares at a 20% discount to the market
price at the start of the Plan; or – have your savings returned to you
•If you buy shares, you can either keep them or sell them immediately
•Worldwide Save for Shares is open to all Pearson employees.
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Why do we offer Worldwide Save for Shares?
• Encourages share ownership
• Makes all employees feel a part of Pearson
• Rewards performance
• Attracts new people
• Retains employees
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Three good reasons to join
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It’s easyYou can apply either online or using a paper form and your savings will be taken directly from your monthly pay (where possible).
It’s flexible You can save a fixed amount from as little as GBP £5 per month to GBP £250 per month in your local currency for 3 or 5 years. If necessary, you can even take a break from saving for up to six months.
It’s for everyoneAt the end of 2012 over 3,200 Pearson employees were participating in Worldwide Save for Shares.
1Decide how much you want to save and for how long
2Apply online or by post
3After you’ve joined
4At the end of the savings period
A step by step guide
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A step by step guide
1. Decide how much you want to save and for how long
• You can save between GBP £5 and GBP £250 per month
• The tax information sheet for your country shows how much this is in your local currency
• You can save for three or five years
• When you've decided how much you want to save each month, and how long you want to save for, Pearson will agree the number of Pearson shares you can buy at a 20% discount with your savings at the end of the Plan.
The 20% discount price is set on 3 April 2013. This is the price you’ll pay if you decide to buy Pearson shares with your savings at the end of the Plan.
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A step by step guide
2. Apply online or by post
• Once you’ve received your account number from your Plan coordinator, go to www.shareinpearson.com
• Follow the quick and easy ‘apply online’ instructions; or
• Print out the paper application form, complete it and return it directly to your Plan coordinator well in advance of the deadline
• Don't worry if don't have an account number, you can still join by filling out a paper application and returning it your Plan coordinator
• You can join any time between 5 April 2013 – 23 April 2013.
It’s easy!
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A step by step guide
3. After you’ve joined WWSFS
• Savings are made automatically from your monthly pay (where possible)
• In June an Option certificate will be sent to you confirming:– your savings amount; – how long you are saving for; and– the maximum number of shares you are able to buy at the end of the
savings period
• Your savings will be taken from your pay (where possible) from July 2013 onwards and deposited into a local bank or savings account
• You will receive a statement each year showing the value of your savings
• WWSFS is flexible – you can take up to a 6 month break from your monthly payments, either all in one go or spread out over the life of the Plan. Please note: your savings period will be extended by each month you take a break from contributing
• Don’t forget you can withdraw your savings at any time.
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A step by step guide
4. At the end of the savings period
• In three or five years’ time, when your chosen savings period ends, you have three choices:– take your savings back as cash– buy Pearson shares at the 20% discount price and keep them– buy Pearson shares at the 20% discount price and sell all or some of them
• If the market price of Pearson shares is lower than the 20% discount price, you can request to have your savings back as cash
• The 20% discount price is set at the start of your savings period, but you won’t be able to buy your shares until the end of your Plan (leavers are dealt with separately by your local Plan coordinator)
• Watch the share price and decide what’s best for you
• Remember: Share prices can go up as well as down.
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What are the risks?
• Your savings are held in a local bank or savings account, which your Plan coordinator can help you set up
• Changes in the currency exchange rate could mean you have more money in your savings account than is required or not enough
• If there is not enough money to buy all the shares, you can add additional funds, but only up to the amount required to purchase all of your shares.
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Pearson share price
The diagram below shows how the Pearson share price has performed over the last year
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Graph to be updated
An example
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Here’s how your savings could add up, and the choices that are open to you
Please remember: share prices can go down as well as up, and past performance is not necessarily an indicator of future performance.
Please note: the notional bonus is not included in the 2013 Plan.
What it means to be a Pearson shareholder
• If you decide to buy and hold onto your shares they will be stored electronically through a Sharestore account with Equiniti plc
• As a shareholder you can:– receive dividends twice a year, as cash or further shares– receive shareholder communications and the annual report– attend and vote at the Annual General Meeting (AGM) on issues affecting
the Company– view your shares online 24/7 365 days a year by creating a portfolio on
Equiniti’s web portal www.shareview.co.uk
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Worldwide Save for Shares 2013 campaign
For information on this year’s WWSFS Plan, look out for:• Neo – we will be providing information about the Plan on Neo• Poster – to remind you of key dates• Email – inviting you to join the Plan• Your account number provided by your Plan coordinator
Key dates• April – Robin Baliszewski will announce this year’s Plan
and confirm 20% discount price• 5 April – invitation period starts • 23 April – invitation closing date
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www.shareinpearson.com
• Here you’ll find all of the information you need to know to apply for Worldwide Save for Shares
• Information on how the Plan works
• Plan booklets
• Note from Robin Baliszewski on share ownership
• Online application and form
• Savings and share calculators
• Previous years’ discounted prices
• Your local Plan coordinator’s details
• …and a copy of this presentation
You can also follow us at www.shareinpearson.com or on Neo at www.neo.pearson.com/saveforshares
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Where to go for help
• Don’t worry if you’ve got a query, your Plan coordinator will always be on hand to help and is your first point of contact
• They will:– help you if you can’t access the website;– confirm your account number (if you lose your account number letter
or if you don’t receive it for some reason)
• You can also email questions to [email protected]
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Summary
1. It’s easy – you can apply either online or by using a paper form and your savings will be taken directly from your monthly pay (where possible)
2. It’s flexible – you can save a fixed amount from as little as GBP £5 per month to GBP £250 per month in your local currency for 3 or 5 years. If necessary, you can even take a break from saving for up to six months
3. It’s open to all Pearson employees
4. Find out more information from1.Your Plan coordinator2.Our website www.shareinpearson.com3.Follow us on Neo at www.neo.pearson.com/saveforshares
5. You can apply between 5 April and 23 April 2013
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Q&As
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Thank you!
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