14 March 2012

K+S relies on competence and continuity

Dr. Ralf Bethke nominated for further term of office as chairman of the Supervisory Board

The Supervisory Board of K+S Aktiengesellschaft proposes the re-election of Dr. Bethke as Chairman of the body to the Annual General Meeting
Shareholders decide on new remuneration system for Supervisory Board members

At its meeting today, the Supervisory Board resolved to propose to the Annual General Meeting on 9 May 2012 that Dr. Bethke be re-elected to the Supervisory Board. His mandate ends at the close of the ordinary Annual General Meeting 2012. The members of the Supervisory Board further intend to once again elect Dr. Bethke as chairman of the Supervisory Board in the event of his successful re-election to the Supervisory Board. From 1991 to 2007, Dr. Bethke (69) had been chairman of the Board of Executive Directors of K+S Aktiengesellschaft and, also as chairman of the Supervisory Board, he contributed with his knowledge and experience considerably to the success and internationalisation of the K+S Group.

Moreover, on 9 May 2012, the Annual General Meeting is to decide on an altering of the remuneration of the Supervisory Board. The Board of Executive Directors and the Supervisory Board consider that an exclusively fixed remuneration of the members of the Supervisory Board better takes account of the consulting and controlling function of the Supervisory Board, which generally exists independently of the success of the Company, than the existing form of remuneration, which also includes a variable component. Furthermore, it appears reasonable to adjust the remuneration for the activity in the committees of the Supervisory Board to the greater workload and complexity. The proposed change to the Supervisory Board remuneration is intended to ensure that in future too, members can be found for the Supervisory Board who have a high level of competence and long-term as well as international experience in the governance of and in providing advice to companies or business-related institutions.

A member of the Supervisory Board shall in future receive fixed annual remuneration of € 100,000 (previously: € 55,000). The previous annual variable remuneration, which was determined by the amount of the return on total investment achieved by the K+S Group in the respective financial year and could amount to a maximum of € 45,000, will cease and not be replaced. The chairman of the Supervisory Board shall receive twice this amount and the vice-chairman one-and-a-half times the amount of such remuneration. The work on the committees of the Supervisory Board has increased significantly in scope and complexity in recent years. The members of the audit committee shall therefore receive annual remuneration of € 15,000 each (previously: € 7,500), and the members of the personnel committee annual remuneration of € 7,500 each (previously not remunerated). For his or her activity on the nomination committee, each member shall receive annual remuneration of € 7,500 (previously not remunerated) if at least two meetings have taken place in the respective year. The chairmen of these committees shall receive twice this amount and the vice-chairman one-and-a-half times the amount.

Note to editors: A photo and the CV of Dr. Ralf Bethke can be found on the Internet at www.k-plus-s.com/en/aufsichtsrat/index.html

Experience growth

The K+S Group is one of the world's leading suppliers of standard and speciality fertilizers. In the salt business, K+S is the world’s leading producer with sites in Europe as well as North and South America. K+S offers a comprehensive range of goods and services for agriculture, industry, and private consumers, which provides growth opportunities in virtually every sphere of daily life. The K+S Group employs more than 14,000 people. The K+S share – the commodities stock on the German DAX index – is listed on all German stock exchanges (ISIN: DE000KSAG888, symbol: SDF). More information about K+S at www.k-plus-s.com.