## Variable compensation 2010 

Short-term variable compensation for members of the Executive Board is based on the company’s performance against three one-year indicators, earnings, profitable growth and a basket of strategic and personal objectives. The 2010 targets for each of these indicators have been set in alignment with the company budgets. Subject to adoption of the annual accounts at the annual General Meeting of Shareholders in 2011, Mr. Wynaendts and Mr. Nooitgedagt are eligible to receive EUR 317,000 and EUR 233,000 respectively$^{ 1}$. However, in consultation with the Supervisory Board, the Executive Board has decided to forego short-term variable compensation over AEGON’s performance during 2010, given that the company had not completed full repayment of capital support to the Dutch State during the year. 

## Long-term variable compensation 2010-2012 

Long-term variable compensation for members of the Executive Board is paid in shares, based on the company’s performance against four three-year indicators, earnings, return on capital, shareholder returns and the Dow Jones Sustainability Index score. Targets for these indicators have been set in alignment with the company budgets. Actual performance is being measured over the period 2010-2012. The conditional number of shares that were made available under the 2010-2012 long-term incentive compensation plan are 104,515 and 76,891 for Mr. Wynaendts and Mr. Nooitgedagt respectively$^{ 2}$. Following the evaluation of the company’s performance by the Supervisory Board at the end of the 2010-2012 performance period, the conditional shares may vest in 2013. Any vested shares under this plan shall subsequently be held for another two years. 

## Pension arrangements for members of the Executive Board 

Mr. Wynaendts pension benefits amounted to EUR 547,076 for 2010, including the additional pension benefit he receives from the company. In 2010, Mr. Nooitgedagt received a contribution to his pension benefits of EUR 181,984. 

1 For comparison, please note that, under the agreement between the Dutch government and the country’s financial sector, no variable compensation was paid to members of the Executive Board for the year 2009. Furthermore, no variable compensation was paid to members of the Executive Board over 2008. 

2 These numbers reflect at target performance. The share price was set at EUR 4.851. 

