Company: SNY
Filing Date: 2025-02-13
Form Type: 20-F
Source: 0001121404-25-000010
Chunk: 225

Company: Sanofi
Filing Date: 2025-02-13
Form: 20-F
Chunk 225
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 and • in exceptional circumstances, to take account of changes in (i) the role or responsibilities of the Chief Executive Officer, for e xample in terms of market conditions or the size of the Sanofi group or (ii) the performance level of Sanofi over a given period.

| SANOFIFORM 20-F2024 | 129 |

| PART I                                             |
| ITEM 6. Directors, Senior Management and Employees |

The Board meeting of February 12, 2025 decided to increase the annual fixed compensation of the Chief Executive Officer to €1,600,000 gross with effect from January 1 st , 2025; for an explanation, refer to “ — Review of the Chief Executive Officer's compensation at the Board meeting of February 12, 2025” above. Annual variable compensation Annual variable compensation is in a range between 0% and 250% of fixed compensation, with a target of 150%. It is subject to a range of varied and exacting performance criteria, both quantitative and qualitative. The criteria are reviewed annually in light of the strategic objectives determined by Sanofi. The Board of Directors sets the criteria for each year at the start of that year on the recommendation of the Compensation Committee. For 2025, the criteria are: • 60% based on financial indicators published by Sanofi: sales growth, free cash flow (FCF) and business earnings per share (business EPS), each accounting for 20%; and • 40% based on specific individual objectives: transformation (15%), R&D pipeline (15%), and CSR (10%). The individual objectives set for variable remuneration for 2024 are described in “— Compensation and benefits of all kinds awardable to corporate officers in respect of 2024” below. Although for each of those financial criteria the Board of Directors (acting on a proposal from the Compensation Committee) has set specific objectives, those objectives cannot be disclosed for confidentiality reasons. Nevertheless, to align on shareholder expectations Sanofi will henceforth provide ex-post disclosures for each financial criterion, showing key thresholds within the range of outcomes that enable attainment levels for the past financial year to be calculated (see “— Compensation and benefits of all kinds paid during 2024 or awarded in respect of 2024 to Paul Hudson, Chief Executive Officer” below). The percentage of variable compensation linked to the attainment of quantitative criteria may be scaled down regardless of actual performance, in order to give greater weight to the attainment of qualitative criteria. This flexibility can only operate to reduce the amount