sharesave documents...it’s a simple plan. you can save monthly from your net pay to buy...
TRANSCRIPT
Power your future, share our success
SHARESAVE
“You’re personally invited to join our ShareSave plan.” Do you know that in just two easy steps, you have the power to invest in your
future and share in our success by joining our latest ShareSave plan?
Find out about ShareSave
What is ShareSave?
What is ShareSave?
ShareSave is just one part of your total reward – everything you get in return for working here, from your salary, your shares, the benefits you can receive, to how you are recognised for the work you do and your development and career opportunities.
It’s a simple plan. You can save monthly from your net pay to buy Rolls-Royce shares at a 15% discounted price.
• You save a fixed amount of between £5 and £250 per month for three or five years
• After three or five years you can use your savings to buy our shares at a price that was set at the start of the plan. This 15% discounted price is known as the ‘Option Price’
• Alternatively, you can take back your savings at any time
If our share price goes up – you could benefit. If our share price goes down, you get all of your savings back.
How does ShareSave work..?
SHARESAVE 2019Power your future - share our success
Step one – You Save
How does ShareSave work?
A few things to think about before you apply… You need to think about how much you want to save, whether to apply for our three or five year plan and how much you can afford. If you already take part in ShareSave, the £250 monthly saving maximum applies to the total of your savings across all plans. Please keep this in mind when deciding how much to save this time. Setting a limit helps us to ensure that everyone has the chance to get involved.
Even with a set limit, we can only issue a certain number of options. So if demand for ShareSave 2019 is more than we can meet, we may have to reduce your contribution on a pro-rata basis. We call this a ’scale back‘ of the plan and if we need to do it we will let you know.
You can’t change your savings amount, but you can: delay making up to twelve monthly payments. If you do, the end date of your plan - we
call this your ‘maturity date’ - will be delayed by one month for each missed payment. If you miss more than twelve monthly payments you will lose the right to buy shares
close your ShareSave account at any time and your savings will be returned to you. You will, however, lose the right to buy shares
• You can save between £5 and £250 per month
• You choose how long you want to save for at the start of the plan - three or five years
• Your savings are taken directly from your net pay; i.e. after income tax and national insurance contributions
HOW DOES SHARESAVE WORK?It can be explained in two simple steps:
You Save, then You Choose
Step two...
Buy our shares at the 15% discounted price set at the start of the plan (the Option Price).
• Whatever happens to our share price in the next three or five years, the Option Price will stay the same, even if the share price goes up.
• If the share price is higher than the Option Price at the end of the plan, you can sell your shares and take the profit, or keep them and become a shareholder.
Step two – You Choose
How does ShareSave work?
After three or five years when your plan matures you can either:
HOW DOES SHARESAVE WORK?It can be explained in two simple steps:
Take back your savings.
Remember – you can take your savings back at any point during your chosen savings period, but you will lose your right to buy shares at the Option Price.
or
You Save, then You Choose
Your savings could go a long way...
It’s great news, thanks to your hard work our share price continued to grow: Even in the event that our share price goes down, you still won’t lose out:
If you were to buy shares with your Options and then sell your shares, you’d make £972
In the share price falls below the Option Price, you can simply have your savings returned
How does ShareSave work?
Your savings could go a long wayPlease remember that current share price performance isn’t an indication of future performance and the value of shares can go down as well as up. But our examples1 below show that you can’t lose with ShareSave:
You decide to save £85 per month in the three year plan. Total savings:
£3,060
Original Option Price (share price -15%): £8.50
Number of options awarded: 360
Share price on 1 February 2023: £11.20
Gain if you were to sell them £972*
*minus dealing fees
Original Option Price (share price -15%): £8.50
Number of options awarded: 360
Share price on 1 February 2023: £8
HOW DOES SHARESAVE WORK?
1Examples assume that you make all of your payments and all share prices used above are for illustration onlyWhat your colleagues say about ShareSave...
WHAT DO YOUR COLLEAGUES SAY ABOUT SHARESAVE?
What do your colleagues say about ShareSave?
Sarah Hough Commercial Officer -
MRO Services
I joined the ShareSave plan at the first opportunity after I started working here. My colleagues were talking
about ShareSave when the invitations came through, and they all seemed really positive about it, with some of them having been in every ShareSave since they joined the company. When I looked in to the detail it really did seem that you couldn’t lose – the share price had been a bit up and down, but even if the share price falls the worst that can happen is that you get your savings back. This is ideal for me – I see it as an easy way of saving money each month, with the possibility of making some money at the end of it. The fact that the money deducted from my pay means that I can’t spent it! I’m looking forward to my first plan coming to an end – I’m hoping to use the money to pay for a holiday.
I’ve worked here for many years and have participated in every ShareSave offered to myself, it’s a win-win for me
knowing I will get my money back at least if the share price doesn’t increase. I have had the good fortune to profit on previous ShareSaves which have helped pay for the extension on my house and a family holiday to Florida. There’s something for everyone with 3 and 5 year plans and as much or as little as you want to save each month. ShareSave also makes me think about decisions I make daily at work, as helping the company succeed also helps me succeed with an increase in the share price.
ShareSave is a great way to save money each month without having to consciously put money into a savings
account as it is deducted from your salary at source. I like the fact that you can choose how much to save at the outset and choose how long you want to make a commitment for. It’s amazing how a relatively small amount of money can build up over the term to become a sizeable pot by the maturity date – and if you choose to buy the shares and are able to sell them at a profit then the pot can be boosted still further. When it comes to money, I am quite risk averse so I like the security of knowing that I am guaranteed to get back at least what I have paid in.
My investment in the ShareSave scheme means that I take a personal interest in the company’s performance and provides an additional incentive for me to be at my best at work to ensure that the company continues to succeed. I will definitely be taking part in the next Sharesave rollout.
Aaron Grimshaw Head of Quality – Future
Programmes & Ultrafan
Dawn WilliamsonGBS Purchasing
Operations Administrator
Your key dates...
or
Key dates
5 September
Invitation to joinInvitations will
be sent by email or post with details
on how to apply.
30 September
Invitation closes 5.00pm
You must make your application by
5.00pm UK time on this date.
January
First payment madeYou make your
first payment directly from your pay.
26 September
Invitation closes 5.00pm (UK time)
You must make your application by 5.00pm UK time on this date.
February
Contract start dateYour first payment is added to your
ShareSave account.
26 September
Invitation closes 5.00pm (UK time)
You must make your application by 5.00pm UK time on this date.
February
Maturity date – three year planYou will now have the choice to buy
shares or take back the money you have saved*
26 September
Invitation closes 5.00pm (UK time)
You must make your application by 5.00pm UK time on this date.
February
Maturity date – five year planYou will now have the choice to buy
shares or take back the money you have saved*
KEY DATESYour window of opportunity...
*If you miss more than twelve payments you lose the right to buy shares.How to join ShareSave...
HOW DO I JOIN SHARESAVE?
The Computershare website can be accessed in two ways: Via TotalRewardYou can access your Computershare account through TotalReward – simply log onto your TotalReward site, and using the ‘quick links’ option at the top of the page you will be taken directly to your Computershare account. If you work in Submarines or if you’re logging on from a personal device you can log on via https://www.rolls-royce.com/totalreward/
When you log on for the first time, please use your username (work e-mail address) and your temporary password which is your National Insurance number followed by ! and follow the steps.
Via the Computershare websiteVisit www.computershare.com/rollsroyceshareplans, where you will need your Shareholder Reference Number (SRN), which can be found on your invitation, and your Personal Identification Number (PIN)*.
You will receive an email confirming that your application has been accepted.
*If you have never used the Computershare online service please use your date of birth in an eight digit format as your PIN (e.g. 2 June 1980 will be 02061980). You will immediately be asked to change your PIN. If you have previously used the Computershare online service but cannot remember your PIN, log onto the website using your SRN, click “Forgotten PIN?” and follow the instructions to receive a new one.
Please read the Terms and Conditions for participating in the Rolls-Royce ShareSave plan 2019. They can also be found at www.computershare.com/rollsroyceshareplans under ‘Plan Documentation’ or alternatively by calling the helpline on 0370 8893122† to request a copy. You will be deemed to have read these documents and that you agree to all Terms and Conditions if you apply.
†Calls will be charged at a local rate depending on your provider. Mobile phone costs may vary. . Lines are open from 8.30am - 5.30pm Monday – Friday (excluding public holidays).
How do I join ShareSave?
FAQs...
FREQUENTLY ASKED QUESTIONS
Joining ShareSave
Am I eligible to join ShareSave? You are eligible to join if you are employed by Rolls-Royce on the 1 August 2019 and at the date when the options are granted.
Will I always be able to save the full amount that I choose? We can only issue a certain number of options. So if demand for ShareSave 2019 is more than we can meet, we might have to reduce your contribution on a pro-rata basis. We call this a ‘scale back’ of the plan. If we need to do it, we will let you know.
What will I receive after I have joined? An option certificate will be available online by the end of November confirming the number of options granted to you along with your ShareSave account number.
If you wish to miss any payments please contact [email protected] If you miss more than twelve monthly payments your option to purchase shares will lapse and Computershare will write to you to close your account and ask how you would like your savings to be returned.
Managing your ShareSave account
What information will I receive? Computershare will contact you using the details that are saved on your Computershare online account. Typically communications include annual ShareSave statements and instructions for when your ShareSave plan matures. It is your responsibility to keep your contact details up-to-date on the Computershare website.
What happens if I want to cancel my ShareSave plan? You can stop saving into ShareSave at any time and get back all of your savings. But remember, once you cancel, you can’t re-start ShareSave and will lose the option to buy shares.
What happens if I am unable to make a payment? If you’re unable to make a payment or if you miss a payment, don’t worry. Computershare Plan Managers will delay your maturity date (the date your savings contract comes to an end) by a month for each month missed to allow you to make the payment(s) up. The most you can miss is the equivalent of twelve monthly payments (these can be separate periods of one or more months or a single twelve month period).
FAQs
more FAQs...
FREQUENTLY ASKED QUESTIONS
What happens if I leave the company due to...
...disability, retirement, redundancy or the company or business for which I work is sold? You can buy shares in Rolls-Royce to the value of your savings within six months of leaving. You may increase the number of shares you can buy by continuing to save during these six months unless your ShareSave matures before the end of this period.
...resignation? Your savings will be returned to you, but you will lose the opportunity to buy shares.
If you die your personal representatives would have up to 12 months following your death to use the proceeds of your ShareSave account to buy shares on behalf of your beneficiaries. Alternatively, your savings will be paid to your estate.
What happens if I take maternity or shared parental leave? You can continue to make payments into your ShareSave account by standing order during maternity or shared parental leave by making the appropriate arrangements with Computershare.
Tax
Will tax have to be paid on the shares? There is normally no tax to pay when you buy the shares..
Capital gains tax might be payable if you decide to sell shares bought through a ShareSave plan – this depends on the amount of your gain and your personal financial circumstances at the time. In the 2019/2020 tax year, you are allowed to make a total gain of £12,000 before having to pay capital gains tax. This figure may change for the 2020/2021 tax year.
This is our understanding of the current tax rules. This tax information is provided for information only and does not constitute personal, financial or tax advice. If you are unsure of your circumstances, please speak to an independent financial advisor.
FAQs
Contact us...
Data Privacy
We take processing your personal data very seriously, and in order to ensure that you have as much information as possible about how we handle your information, and your rights in relation to it, we have put all the details in one place – easily accessible for you. Please take the time to read our Share Plans Privacy Notice, which can be accessed by selecting “Company Info” and then “Plan Documentation” on the Computershare website.
12KJFF D04
Contact us
CONTACT US
ShareSave – Part of your TotalReward
About ComputershareOur ShareSave plan is administered by Computershare plan managers. Computershare is a global provider of share plans with over 20 years’ experience in the industry. You can find out more about them at www.computershare.com or by contacting them using the details to the right.
Does this booklet tell me everything I need to know about ShareSave? This brochure is a general guide to how ShareSave works. The plan is governed by the Rolls-Royce ShareSave plan rules and, in respect of your savings contract, a prospectus (copies of which can be found online at www.computershare.com/rollsroyceshareplans under ‘Plan Documentation’).
If there are any differences between this brochure and the ShareSave Rules or applicable legislation, the ShareSave Rules and applicable legislation will take precedence. Specific provisions in ShareSave mean that you waive any claim to compensation in respect of ShareSave when you leave employment. No financial or investment advice is provided in this booklet. If you are in any doubt as to whether or not you should take part in ShareSave you should take independent advice from your own financial adviser. The value of shares may go down as well as up.
If you have any questions, please get in touch with our specialist team at Computershare.
0370 889 3122†
www.computershare.com/rollsroyceshareplans
Computershare Plan Managers, Bridgwater Road, Bristol, BS99 6AP
†Calls will be charged at a local rate depending on your provider. Mobile phone costs may vary. Lines are open from 08.30 - 17.30 Monday – Friday (excluding public holidays).