Remuneration of the Supervisory Board

The remuneration of the Supervisory Board is guided by § 13 of the Articles of Association of Talanx AG. It is set by the General Meeting of Talanx AG and was adjusted and restructured at the 2010 General Meeting.

In addition to reimbursement of their expenses, the members of the Supervisory Board annually receive fixed remuneration (basic remuneration) and performance-based variable remuneration, which also reflects the company’s long-term success. In order to make allowance for their considerable additional workload, the Chairman receives 2.5 times and his Deputy 1.5 times these remuneration amounts.

For the 2010 financial year the annual basic remuneration set by the General Meeting amounts to EUR 50,000 per member of the Supervisory Board. The basic remuneration of the Chairman amounts to EUR 125,000, while that of the Deputy Chairman amounts to EUR 75,000.

In addition, commencing with the 2010 financial year, each member of the Supervisory Board receives variable remuneration of EUR 55 for each full EUR million by which the average Group net income after minority interests of the last three financial years exceeds the minimum return pursuant to § 113 Para. 3 Stock Corporation Act (AktG) (4% of the contributions paid on the lowest issue price of the shares) (benchmark). The factor for the Chairman amounts to EUR 138, and for his Deputy EUR 83. The variable remuneration of the members of the Supervisory Board is capped at a maximum of EUR 50,000, for the Chairman at EUR 125,000 and for his Deputy at EUR 75,000. If the average Group net income after minority interests of the last three financial years falls short of the minimum return pursuant to § 113 Para. 3 Stock Corporation Act (AktG), the variable remuneration is forfeited.

Further remuneration of EUR 25,000 per member has been specified for the 2010 financial year for the members of the Finance and Audit Committee and the Personnel Committee of the Supervisory Board. The Chairman of the Committee receives twice this amount.

In addition to reimbursement of their expenses, the members of the Supervisory Board receive an attendance allowance of EUR 1,000 for their participation in each meeting of the Supervisory Board as well as for their participation in each meeting of Committees of the Supervisory Board.

The upper limit of the annual total remuneration that can be received by a Supervisory Board member is three times the applicable basic remuneration.

With regard to the amount of remuneration received by the Supervisory Board, please see "Remuneration of the management boards of the parent company" in the present Annual Report.