LYONDELLBASELL INDUSTRIES N.V., DEF 14A filed on 4/8/2024
Proxy Statement (definitive)
v3.24.1.u1
Cover
12 Months Ended
Dec. 31, 2023
Cover [Abstract]  
Document Type DEF 14A
Entity Registrant Name LyondellBasell Industries N.V.
Entity Central Index Key 0001489393
Amendment Flag false
v3.24.1.u1
Pay vs Performance Disclosure - USD ($)
5 Months Ended 7 Months Ended 12 Months Ended
May 22, 2022
Dec. 31, 2022
Dec. 31, 2023
Dec. 31, 2022
Dec. 31, 2021
Dec. 31, 2020
Pay vs Performance Disclosure [Table]            
Pay vs Performance [Table Text Block]    

Pay Versus Performance

 

In accordance with rules adopted by the SEC pursuant to the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, we provide the following disclosure regarding executive compensation for our principal executive officer (“PEO”) and non-PEO NEOs and Company performance for fiscal years listed below. The C&TD Committee did not consider the pay versus performance disclosure below in making its pay decisions for any of the fiscal years shown.

 

    Summary
Compen-
sation Table
  Compen-
sation
  Summary
Compen-
sation Table
  Compen-
sation
  Summary
Compen-
sation Table
  Compen-
sation
  Average
Summary
Compen-
sation Table
  Average
Compen-
sation
  Value of Initial
Fixed $100
Investment
Based On:(3)
       
Year   Total for
Bhavesh
Patel(1)
($)
  Actually paid
to Bhavesh
Patel(1)(2)
($)
  Total for
Kenneth
Lane(1)
($)
  Actually Paid
to Kenneth
Lane(1)(2)
($)
  Total for
Peter
Vanacker(1)
($)
  Actually Paid
to Peter
Vanacker(1)(2)
($)
  Total for
Non-PEO
NEOs(1)
($)
  Actually Paid
to Non-PEO
NEOs(1)(2)
($)
  TSR
($)
  Peer
Group
TSR
($)
  Net
Income
($MM)
  EBITDA(4)
($MM)
2023           16,546,194   21,206,198   5,168,076   7,754,168   128.90   146.45   2,121   4,509
2022       8,798,076   9,046,842   17,018,989   14,863,867   5,818,984   6,400,521   106.81   131.89   3,889   6,301
2021   19,011,033   1,514,901           4,615,231   4,648,678   107.73   148.63   5,617   8,689
2020   15,570,513   16,833,907           3,288,167   3,043,798   102.57   118.05   1,427   3,285
 
 
 
 

 

 

(1)  Bhavesh Patel was our PEO from January 1, 2020 to December 31, 2021. Kenneth Lane (who served as Interim CEO) was our PEO from January 1, 2022 to May 22, 2022. Peter Vanacker is our PEO since May 23, 2022. The Non-PEO NEOs for whom the average compensation is presented in this table are:
  (a)  for 2023: Michael McMurray, Kenneth Lane, Torkel Rhenman, and Jim Guilfoyle;
  (b)  for 2022: Michael McMurray, Torkel Rhenman, Jeffrey Kaplan, and Jim Guilfoyle;
  (c)  for 2021: Michael McMurray, Kenneth Lane, Torkel Rhenman, and Jim Guilfoyle; and
  (d)  for 2020: Michael McMurray, Kenneth Lane, Torkel Rhenman, Jeffrey Kaplan, and Daniel Coombs.

(2)  The amounts shown as Compensation Actually Paid have been calculated in accordance with Item 402(v) of Regulation S-K and do not reflect compensation actually earned, realized or received by the Company’s NEOs. Deductions from, and additions to, 2023 total compensation in the Summary Compensation Table to calculate Compensation Actually Paid consist of:

 

   Peter
Vanacker
($)
   Average
Non-PEO NEOs
($)
Total Compensation from Summary Compensation Table   16,546,194    5,168,076
Adjustments for Pension         
Adjustment for Summary Compensation Table Pension   (16,479)    (26,988)
Amount added for current year service cost   12,475    15,953
Amount added for prior service cost impacting current year       
TOTAL ADJUSTMENTS FOR PENSION   (4,004)    (11,035)
          
Adjustments for Equity Awards         
Adjustment for grant date values in the Summary Compensation Table   (11,642,449)    (2,899,160)
Year-end fair value of unvested awards granted in the current year   12,191,177    3,497,130
Year-over-year difference of year-end fair values for unvested awards granted in prior years   3,902,254    1,475,602
Fair values at vest date for awards granted and vested in current year       
Difference in fair values between prior year  end fair values and vest date fair values for awards granted in prior years   213,026    523,555
Forfeitures during current year equal to prior year-end fair value       
Dividends or dividend equivalents not otherwise included in the total compensation       
TOTAL ADJUSTMENTS FOR EQUITY AWARDS   4,664,008    2,597,127
Compensation Actually Paid (as calculated)   21,206,198    7,754,168

 

 

(3)  The Peer Group TSR set forth in this table utilizes the S&P 500 Chemicals Index, which we also utilize in the stock performance graph required by Item 201(e) of Regulation S-K included in our Annual Report for the year ended December 31, 2023. The comparison assumes $100 was invested, for the period starting December 31, 2019 through the end of the listed year, in the Company and in the S&P 500 Chemicals Index, respectively. Historical stock performance is not necessarily indicative of future stock performance.
(4)  We determined EBITDA, which is a non-GAAP financial measure, to be the most important financial performance measure used to link Company performance to Compensation Actually Paid to our PEO and Non  PEO NEOs in 2023. More information on EBITDA can be found in Appendix A to this proxy statement. We may determine a different financial performance measure to be the most important financial performance measure in future years.
     
Company Selected Measure Name     EBITDA      
Named Executive Officers, Footnote [Text Block]    

 

 

(1)  Bhavesh Patel was our PEO from January 1, 2020 to December 31, 2021. Kenneth Lane (who served as Interim CEO) was our PEO from January 1, 2022 to May 22, 2022. Peter Vanacker is our PEO since May 23, 2022. The Non-PEO NEOs for whom the average compensation is presented in this table are:
  (a)  for 2023: Michael McMurray, Kenneth Lane, Torkel Rhenman, and Jim Guilfoyle;
  (b)  for 2022: Michael McMurray, Torkel Rhenman, Jeffrey Kaplan, and Jim Guilfoyle;
  (c)  for 2021: Michael McMurray, Kenneth Lane, Torkel Rhenman, and Jim Guilfoyle; and
  (d)  for 2020: Michael McMurray, Kenneth Lane, Torkel Rhenman, Jeffrey Kaplan, and Daniel Coombs.
     
Peer Group Issuers, Footnote [Text Block]     The Peer Group TSR set forth in this table utilizes the S&P 500 Chemicals Index, which we also utilize in the stock performance graph required by Item 201(e) of Regulation S-K included in our Annual Report for the year ended December 31, 2023. The comparison assumes $100 was invested, for the period starting December 31, 2019 through the end of the listed year, in the Company and in the S&P 500 Chemicals Index, respectively. Historical stock performance is not necessarily indicative of future stock performance.      
Adjustment To PEO Compensation, Footnote [Text Block]    

(2)  The amounts shown as Compensation Actually Paid have been calculated in accordance with Item 402(v) of Regulation S-K and do not reflect compensation actually earned, realized or received by the Company’s NEOs. Deductions from, and additions to, 2023 total compensation in the Summary Compensation Table to calculate Compensation Actually Paid consist of:

 

   Peter
Vanacker
($)
   Average
Non-PEO NEOs
($)
Total Compensation from Summary Compensation Table   16,546,194    5,168,076
Adjustments for Pension         
Adjustment for Summary Compensation Table Pension   (16,479)    (26,988)
Amount added for current year service cost   12,475    15,953
Amount added for prior service cost impacting current year       
TOTAL ADJUSTMENTS FOR PENSION   (4,004)    (11,035)
          
Adjustments for Equity Awards         
Adjustment for grant date values in the Summary Compensation Table   (11,642,449)    (2,899,160)
Year-end fair value of unvested awards granted in the current year   12,191,177    3,497,130
Year-over-year difference of year-end fair values for unvested awards granted in prior years   3,902,254    1,475,602
Fair values at vest date for awards granted and vested in current year       
Difference in fair values between prior year  end fair values and vest date fair values for awards granted in prior years   213,026    523,555
Forfeitures during current year equal to prior year-end fair value       
Dividends or dividend equivalents not otherwise included in the total compensation       
TOTAL ADJUSTMENTS FOR EQUITY AWARDS   4,664,008    2,597,127
Compensation Actually Paid (as calculated)   21,206,198    7,754,168

 

     
Non-PEO NEO Average Total Compensation Amount [1]     $ 5,168,076 $ 5,818,984 $ 4,615,231 $ 3,288,167
Non-PEO NEO Average Compensation Actually Paid Amount [1],[2]     $ 7,754,168 6,400,521 4,648,678 3,043,798
Adjustment to Non-PEO NEO Compensation Footnote [Text Block]    

(2)  The amounts shown as Compensation Actually Paid have been calculated in accordance with Item 402(v) of Regulation S-K and do not reflect compensation actually earned, realized or received by the Company’s NEOs. Deductions from, and additions to, 2023 total compensation in the Summary Compensation Table to calculate Compensation Actually Paid consist of:

 

   Peter
Vanacker
($)
   Average
Non-PEO NEOs
($)
Total Compensation from Summary Compensation Table   16,546,194    5,168,076
Adjustments for Pension         
Adjustment for Summary Compensation Table Pension   (16,479)    (26,988)
Amount added for current year service cost   12,475    15,953
Amount added for prior service cost impacting current year       
TOTAL ADJUSTMENTS FOR PENSION   (4,004)    (11,035)
          
Adjustments for Equity Awards         
Adjustment for grant date values in the Summary Compensation Table   (11,642,449)    (2,899,160)
Year-end fair value of unvested awards granted in the current year   12,191,177    3,497,130
Year-over-year difference of year-end fair values for unvested awards granted in prior years   3,902,254    1,475,602
Fair values at vest date for awards granted and vested in current year       
Difference in fair values between prior year  end fair values and vest date fair values for awards granted in prior years   213,026    523,555
Forfeitures during current year equal to prior year-end fair value       
Dividends or dividend equivalents not otherwise included in the total compensation       
TOTAL ADJUSTMENTS FOR EQUITY AWARDS   4,664,008    2,597,127
Compensation Actually Paid (as calculated)   21,206,198    7,754,168
     
Compensation Actually Paid vs. Total Shareholder Return [Text Block]    

Relationship Between PEO and Other NEO Compensation Actually Paid and Company Total Shareholder Return (“TSR”)

 

The following chart sets forth the relationship between Compensation Actually Paid to our PEOs, the average of Compensation Actually Paid to our other NEOs, and the Company’s cumulative TSR over the three most recently completed fiscal years.

 

     
Compensation Actually Paid vs. Net Income [Text Block]    

Relationship Between PEO and Other NEO Compensation Actually Paid and Net Income

 

The following chart sets forth the relationship between Compensation Actually Paid to our PEOs, the average of Compensation Actually Paid to our other NEOs, and the Company’s Net Income during the three most recently completed fiscal years.

 

     
Compensation Actually Paid vs. Company Selected Measure [Text Block]    

Relationship Between PEO and Other NEO Compensation Actually Paid and EBITDA

 

The following chart sets forth the relationship between Compensation Actually Paid to our PEOs, the average of Compensation Actually Paid to our other NEOs, and our EBITDA during the three most recently completed fiscal years.

 

     
Total Shareholder Return Vs Peer Group [Text Block]    

Relationship Between Company TSR and Peer Group TSR

 

The following chart compares our cumulative TSR over the four most recently completed fiscal years to that of the S&P 500 Chemicals Index over the same period.

 

     
Tabular List [Table Text Block]    

Tabular List of Most Important Financial and Non-Financial Performance Measures

 

The following table presents the financial and non-financial performance measures that the Company considers to have been the most important in linking Compensation Actually Paid to our PEO and Non-PEO NEOs for 2023 to Company performance. The measures in this table are not ranked.

 

(in alphabetical order)
EBITDA
Free Cash Flow per Share
Safety
Sustainability
Value Enhancement Program Results
     
Total Shareholder Return Amount [3]     $ 128.90 106.81 107.73 102.57
Peer Group Total Shareholder Return Amount [3]     146.45 131.89 148.63 118.05
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest     $ 2,121,000,000 $ 3,889,000,000 $ 5,617,000,000 $ 1,427,000,000
Company Selected Measure Amount [4]     4,509,000,000 6,301,000,000 8,689,000,000 3,285,000,000
PEO Name Kenneth Lane Peter Vanacker Peter Vanacker   Bhavesh Patel Bhavesh Patel
Measure [Axis]: 1            
Pay vs Performance Disclosure [Table]            
Measure Name     EBITDA      
Measure [Axis]: 2            
Pay vs Performance Disclosure [Table]            
Measure Name     Free Cash Flow per Share      
Measure [Axis]: 3            
Pay vs Performance Disclosure [Table]            
Measure Name     Safety      
Measure [Axis]: 4            
Pay vs Performance Disclosure [Table]            
Measure Name     Sustainability      
Measure [Axis]: 5            
Pay vs Performance Disclosure [Table]            
Measure Name     Value Enhancement Program Results      
Non-PEO NEO [Member] | Adjustment for Summary Compensation Table Pension            
Pay vs Performance Disclosure [Table]            
Adjustment to Compensation Amount     $ (26,988)      
Non-PEO NEO [Member] | Amount added for current year service cost            
Pay vs Performance Disclosure [Table]            
Adjustment to Compensation Amount     15,953      
Non-PEO NEO [Member] | Amount added for prior service cost impacting current year            
Pay vs Performance Disclosure [Table]            
Adjustment to Compensation Amount          
Non-PEO NEO [Member] | TOTAL ADJUSTMENTS FOR PENSION            
Pay vs Performance Disclosure [Table]            
Adjustment to Compensation Amount     (11,035)      
Non-PEO NEO [Member] | Adjustment for grant date values in the Summary Compensation Table            
Pay vs Performance Disclosure [Table]            
Adjustment to Compensation Amount     (2,899,160)      
Non-PEO NEO [Member] | Year-end fair value of unvested awards granted in the current year            
Pay vs Performance Disclosure [Table]            
Adjustment to Compensation Amount     3,497,130      
Non-PEO NEO [Member] | Year-over-year difference of year-end fair values for unvested awards granted in prior years            
Pay vs Performance Disclosure [Table]            
Adjustment to Compensation Amount     1,475,602      
Non-PEO NEO [Member] | Fair values at vest date for awards granted and vested in current year            
Pay vs Performance Disclosure [Table]            
Adjustment to Compensation Amount          
Non-PEO NEO [Member] | Difference in fair values between prior year end fair values and vest date fair values for awards granted in prior years            
Pay vs Performance Disclosure [Table]            
Adjustment to Compensation Amount     523,555      
Non-PEO NEO [Member] | Forfeitures during current year equal to prior year-end fair value            
Pay vs Performance Disclosure [Table]            
Adjustment to Compensation Amount          
Non-PEO NEO [Member] | Dividends or dividend equivalents not otherwise included in the total compensation            
Pay vs Performance Disclosure [Table]            
Adjustment to Compensation Amount          
Non-PEO NEO [Member] | TOTAL ADJUSTMENTS FOR EQUITY AWARDS            
Pay vs Performance Disclosure [Table]            
Adjustment to Compensation Amount     2,597,127      
Peter Vanacker            
Pay vs Performance Disclosure [Table]            
PEO Total Compensation Amount [1]   $ 17,018,989 16,546,194      
PEO Actually Paid Compensation Amount [1],[2]   $ 14,863,867 21,206,198      
Peter Vanacker | PEO [Member] | Adjustment for Summary Compensation Table Pension            
Pay vs Performance Disclosure [Table]            
Adjustment to Compensation Amount     (16,479)      
Peter Vanacker | PEO [Member] | Amount added for current year service cost            
Pay vs Performance Disclosure [Table]            
Adjustment to Compensation Amount     12,475      
Peter Vanacker | PEO [Member] | Amount added for prior service cost impacting current year            
Pay vs Performance Disclosure [Table]            
Adjustment to Compensation Amount          
Peter Vanacker | PEO [Member] | TOTAL ADJUSTMENTS FOR PENSION            
Pay vs Performance Disclosure [Table]            
Adjustment to Compensation Amount     (4,004)      
Peter Vanacker | PEO [Member] | Adjustment for grant date values in the Summary Compensation Table            
Pay vs Performance Disclosure [Table]            
Adjustment to Compensation Amount     (11,642,449)      
Peter Vanacker | PEO [Member] | Year-end fair value of unvested awards granted in the current year            
Pay vs Performance Disclosure [Table]            
Adjustment to Compensation Amount     12,191,177      
Peter Vanacker | PEO [Member] | Year-over-year difference of year-end fair values for unvested awards granted in prior years            
Pay vs Performance Disclosure [Table]            
Adjustment to Compensation Amount     3,902,254      
Peter Vanacker | PEO [Member] | Fair values at vest date for awards granted and vested in current year            
Pay vs Performance Disclosure [Table]            
Adjustment to Compensation Amount          
Peter Vanacker | PEO [Member] | Difference in fair values between prior year end fair values and vest date fair values for awards granted in prior years            
Pay vs Performance Disclosure [Table]            
Adjustment to Compensation Amount     213,026      
Peter Vanacker | PEO [Member] | Forfeitures during current year equal to prior year-end fair value            
Pay vs Performance Disclosure [Table]            
Adjustment to Compensation Amount          
Peter Vanacker | PEO [Member] | Dividends or dividend equivalents not otherwise included in the total compensation            
Pay vs Performance Disclosure [Table]            
Adjustment to Compensation Amount          
Peter Vanacker | PEO [Member] | TOTAL ADJUSTMENTS FOR EQUITY AWARDS            
Pay vs Performance Disclosure [Table]            
Adjustment to Compensation Amount     $ 4,664,008      
Kenneth Lane            
Pay vs Performance Disclosure [Table]            
PEO Total Compensation Amount [1] $ 8,798,076          
PEO Actually Paid Compensation Amount [1],[2] $ 9,046,842          
Bhavesh Patel            
Pay vs Performance Disclosure [Table]            
PEO Total Compensation Amount [1]         $ 19,011,033 $ 15,570,513
PEO Actually Paid Compensation Amount [1],[2]         $ 1,514,901 $ 16,833,907
[1] Bhavesh Patel was our PEO from January 1, 2020 to December 31, 2021. Kenneth Lane (who served as Interim CEO) was our PEO from January 1, 2022 to May 22, 2022. Peter Vanacker is our PEO since May 23, 2022. The Non-PEO NEOs for whom the average compensation is presented in this table are: (a) for 2023: Michael McMurray, Kenneth Lane, Torkel Rhenman, and Jim Guilfoyle; (b) for 2022: Michael McMurray, Torkel Rhenman, Jeffrey Kaplan, and Jim Guilfoyle; (c) for 2021: Michael McMurray, Kenneth Lane, Torkel Rhenman, and Jim Guilfoyle; and (d) for 2020: Michael McMurray, Kenneth Lane, Torkel Rhenman, Jeffrey Kaplan, and Daniel Coombs.
[2] The amounts shown as Compensation Actually Paid have been calculated in accordance with Item 402(v) of Regulation S-K and do not reflect compensation actually earned, realized or received by the Company’s NEOs. Deductions from, and additions to, 2023 total compensation in the Summary Compensation Table to calculate Compensation Actually Paid consist of:
[3] The Peer Group TSR set forth in this table utilizes the S&P 500 Chemicals Index, which we also utilize in the stock performance graph required by Item 201(e) of Regulation S-K included in our Annual Report for the year ended December 31, 2023. The comparison assumes $100 was invested, for the period starting December 31, 2019 through the end of the listed year, in the Company and in the S&P 500 Chemicals Index, respectively. Historical stock performance is not necessarily indicative of future stock performance.
[4] We determined EBITDA, which is a non-GAAP financial measure, to be the most important financial performance measure used to link Company performance to Compensation Actually Paid to our PEO and Non  PEO NEOs in 2023. More information on EBITDA can be found in Appendix A to this proxy statement. We may determine a different financial performance measure to be the most important financial performance measure in future years.