AIRBUS - 2020 Universal Registration Document

4. Corporate Governance / 4.2 Interests of Directors and Principal Executive Officers

Based on this methodology, the ratio between the cash compensation of the CEO ( i.e. the Base Salary for the CEO and the aggregated VR related to 2019 for the former and current CEO) and the average compensation of full-time equivalent permanent employees for the fiscal year to which this report relates is 38 (for 2019: 49 based on exact figures) (rounded to the nearest integer). Note for information on the CEO Base Salary contemplated for 2021 : The evolution of the pay-ratio between 2019 and 2020 is impacted by the change of CEO and the first impacts of the COVID-19 crisis leading to a decrease in remuneration. However, in the current context the RNGC does not contemplate any change in the CEO Base Salary for 2021 compared to 2020. k) Severance No payment has been made to the CEO in 2020 related to severance or other termination indemnity. Under the current CEO’s appointment terms and conditions, the payment of an indemnity in case of termination would be subject to performance conditions. These conditions would be fulfilled if the collective and individual components of the VR for the last two financial years preceding the financial year during which the termination occurs have been assessed by the Board of Directors at 100% or more.

The annual cost of pension rights accrued under applicable mandatory collective and state pension plans are accounted for among social charges (please refer to Note 34 to the IFRS Consolidated Financial Statements for further details). i) Clawback The Board of Directors did not apply any clawback in 2020. j) Pay Ratio The Dutch Corporate Governance Code recommends that the Company provides a ratio comparing the compensation of the CEO and that of a “representative reference group” determined by the Company. The Company’s pay ratio is calculated by comparing the cash compensation of the CEO with the average compensation of full- time equivalent permanent employees from France, Germany, the UK and Spain for the Company, excluding subsidiaries (encompassing around 94,000 employees). The aggregate cash compensation over the 2020 fiscal year was used as a reference amount ( i.e. , excluding the value of equity incentive awards and other non-cash compensation components). To calculate the ratio, the gross sum of the Base Salary, annual bonus, profit and success sharing, over time, premium for work conditions and other premiums was taken into account.

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l) Development of the compensation The table below provides an overview of the development of the direct cash compensation paid to the CEO during a financial year composed by the Base Salary plus the VR (as defined below) and of the Employee Compensation (as defined below).

2020

Financial year

2019

2018

2017

2016

I. CEO’s direct cash compensation Annual Base Salary (in € thousand)

1,350 1,553 2,903 -21.8%

1,392 (1)

1,500 2,168 3,668 +7.5%

1,500 1,913 3,413

1,500 1,932 3,432

VR (in € thousand) (2)

2,318

Total

3,710 +1.1%

Annual Variation

-0.6% +2.8%

II. Long Term Incentive Plan (in € thousand) (3)

1,350

1,350

-

1,500

1,500

III. Company Performance EBIT Adjusted (in € million)

1,706 -75%

6,946 +19% 3,509 +21%

5,834 +37%

4,253

3,955

Annual Variation

+8%

-4%

FCF before M&A and customer financing (in € million)

(6,935) -298%

2,912

2,949

1,408 +20%

Annual variation

-1% +109%

IV. Employee Compensation (in € thousand) (4)

75.9

75.1

73.6

71.0

71.1

Annual Variation

+1.0% +2.0% +3.6%

0.0%

(1) Base salary 2019 relates to the former CEO up to 10 April 2019 and to the current CEO from 10 April 2019. (2) VR paid during the financial year at stake in relation to the previous financial year. In 2020, the VR paid is related to the former CEO from 1 January 2019 up to 10 April 2019 (based on target) and to the current CEO from 10 April 2019 up to the end of the year 2019. (3) Face value of LTIP granted in the financial year. No LTIP were granted in 2018 to the former CEO due to his future departure. (4) Average compensation of full-time equivalent permanent employees from France, Germany, the UK and Spain for the Company, excluding subsidiaries, composed by gross sum of the Base Salary, annual bonus, profit and success sharing, over time, premium for work conditions and other premiums. For the 2020 financial year, the amount presented is still an estimate and will be adjusted next year.

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Airbus / Registration Document 2020