Policy on directors' service contracts, notice periods and termination payments
The Company's policy on the duration of directors' service contracts is that no executive directors have fixed term contracts and the notice period for each is shown in the table below. None of the contracts of parent company executive directors contain liquidated damages provisions. There were no payments in 2007 in respect of termination of employment of any executive director.
|Executive director||Contract/effective date||Notice period|
|Sir Martin Sorrell||1 April 2005||"At will"|
|Paul Richardson||1 January 2005||12 months|
|Mark Read||9 September 2002||6 months|
|Non-executive director*||Contract date|
|Philip Lader||26 February 2001|
|Colin Day||25 July 2005|
|Esther Dyson||29 June 1999|
|Orit Gadiesh||28 April 2004|
|David Komansky||28 January 2003|
|Bud Morten||2 December 1991|
|Lubna Olayan||18 March 2005|
|John Quelch||10 July 1991|
|Koichiro Naganuma||23 January 2004|
|Christopher Mackenzie||14 March 2000|
|Jeffrey Rosen||20 December 2004|
|Tim Shriver||6 August 2007|
|Paul Spencer||28 April 2004|
* The notice period applicable to all non-executive directors is two months.
* Measured on a common currency basis.
For share owners' information, the Company's TSR for the period from 31 December 2002 to March 2008 is shown on this graph. The FTSE 100 is the Index the Board considers most relevant for the purpose of comparison and Interpublic and Omnicom are shown as these are the companies with whose performance that of the Company is most commonly compared.