Remuneration

Guidelines for remuneration to senior executives

The CEO and other members of the Group Leadership Team fall within the provisions of these guidelines. To the extent a Board member conducts work for PPI, in addition to the board work, consulting fees and other compensation for such work may be paid. The guidelines are forwardlooking, i.e. they are applicable to remuneration agreed, and amendments to remuneration already agreed, after adoption of the guidelines by the Extraordinary General Meeting 2026. These guidelines do not impose restrictions on any remuneration decided or approved separately by General Meetings. Remuneration under employment subject to rules other than Swedish may be duly adjusted to comply with mandatory rules or established local practice, taking into account, to the extent possible, the overall purpose of these guidelines.

The guidelines’ promotion of the company’s business strategy, long-term interests and sustainability

The company is a Swedish property company dedicated to the sustainable ownership, operation, and development of social infrastructure properties. The company’s portfolio features community service properties with public-sector tenants, strategically located in the Nordics. These properties support essential societal functions, including police stations, courts, and health services. The strategy focuses on expanding its portfolio and solidifying its position as the leading provider of social infrastructure properties. For more information regarding the company’s business strategy, please
see our website.

A prerequisite for the successful implementation of the company’s business strategy and safeguarding of its long-term interests, including its sustainability, is that the company is able to recruit and retain qualified personnel. To this end, it is necessary that the company offers competitive remuneration. These guidelines enable the company to offer the senior executives a competitive total remuneration.

Forms of remuneration, etc.

The remuneration shall be market-based and may comprise the following components: annual fixed cash salary, variable cash remuneration, pension benefits, and other benefits. In addition, the General Meeting may, irrespective of these guidelines, resolve on, among other things, share and share pricerelated remuneration.

Annual fixed cash salary

The annual fixed cash salary paid to the senior executives shall as a starting point constitute the main part of their total remuneration. When determining the annual fixed cash salary, the employee’s position, experience and performance, the competitiveness in the market and the group’s salary budget shall be taken into account. The base salary may be adjusted annually.

Variable cash remuneration, including criteria for awarding

The satisfaction of criteria for awarding variable cash remuneration shall be measured over a period of one year. To which extent the criteria for awarding variable cash remuneration have been satisfied shall be evaluated and/or determined when the measurement period has ended. The variable cash remuneration may amount to a maximum of 50 per cent of the fixed annual cash salary under the measurement period. The criteria for the variable cash remuneration are assessed against clearly defined key performance indicators and are linked to measurable factors and the achievement of predetermined KPIs on Group level. The Board of Directors determines the KPIs yearly. The KPIs may be linked to, inter alia, profitable growth, high customer satisfaction, ESG and HSE, and the KPIs.

The Remuneration Committee is responsible for the evaluation of the variable cash remuneration to the CEO. The CEO is responsible for the evaluation of the variable cash remuneration to other senior executives. With regard to financial targets, the assessment shall be based on the company’s most recently published financial information.

Pension benefits

The senior executives shall have a premium-based service pension on the same terms as other employees. Pension benefits, including health insurance (Sw. sjukförsäkring), shall be premiumbased. Variable cash remuneration shall not qualify for pension benefits, unless required by any applicable collective agreement provisions. The pension premiums for premium based pension shall amount to not more than 30 per cent of the fixed annual cash salary.

Other benefits

Other benefits may include, for example, life insurance, medical insurance (Sw. sjukvårdsförsäkring), company car, coverage of phone expenses, insurance and coverage of other contributions in accordance with any applicable collective agreements, legislation, and standard practice. Benefits of this kind may in total amount to a maximum of ten per cent of the fixed annual cash salary.

Termination of employment

The notice period may not exceed twelve months if notice of termination of employment is made by the company. The CEO and other members of the Group Leadership Team may be entitled to a severance payment of maximum twelve months’ salary following the six-month notice period. The period of notice may not exceed twelve months without any right to severance pay when termination is made by the executive.

Additionally, remuneration may be paid for non-compete undertakings. Such remuneration shall compensate for loss of income and shall only be paid in so far as the previously employed executive is not entitled to severance pay. The remuneration shall amount to not more than 60 per cent of the fixed cash salary at the time of termination of employment, unless otherwise provided by any applicable collective agreement provisions, and be paid during the time the non-compete undertaking applies, however not for more than 12 months following termination of employment.

Salary and employment conditions for employees

When preparing the Board of Directors’ proposal for these remuneration guidelines, salary and terms of employment for the company’s employees have been taken into account by using information on employees’ total remuneration, the components of remuneration, and the increase in remuneration as part of the Board of Directors’ decision-making basis when evaluating whether the guidelines and the limitations deriving from them are reasonable.

The decision-making process to determine, review and implement the guidelines

The Board of Directors has established a Remuneration Committee. The committee’s tasks include preparing the Board of Directors’ decision to propose guidelines for remuneration to senior executives. The Board of Directors shall prepare a proposal for new guidelines at least every fourth year and submit it to the General Meeting. The guidelines shall be in force until new guidelines are adopted by the General Meeting. The Remuneration Committee shall also monitor and evaluate programs for variable cash remuneration for the senior executives, the application of the guidelines for remuneration to senior executives, as well as the current remuneration structures and compensation levels in the company. The members of the Remuneration Committee are independent of the company and its executive management. The CEO and other senior executives do not participate in the Board of Directors’ processing of and resolutions regarding remuneration-related matters in so far as they are affected by such matters.

Deviation from the guidelines

The Board of Directors may temporarily resolve to deviate from the guidelines, in whole or in part, if, in a specific case there is special cause for the deviation and the deviation is necessary to serve the company’s long-term interests, including its sustainability, or to ensure the company’s financial viability.