BAE Systems 109 Annual Report 2017 Share interests Scheme interests awarded during the financial year Percentage of interests receivable Face value Exercise Date to which if minimum Number of award1 price performance Performance performance Scheme Type of interest Date of grant of shares Basis of award £ £ is measured condition achieved Charles Woodburn LTIP PSTSR Performance 21.03.17 132,897 115% of salary 862,502 nil Three years TSR/secondary 25% Shares/nil to 31.12.19 financial measure cost option LTIP PSEPS Performance 21.03.17 132,897 115% of salary 862,502 nil Three years EPS/secondary 25% Shares/nil to 31.12.19 financial measure cost option LTIP SO Share option 21.03.17 346,687 300% of salary 2,249,999 6.49 Three years TSR/secondary 25% to 31.12.19 financial measure Peter Lynas LTIP PSTSR Performance 21.03.17 96,944 107.5% of salary 629,167 nil Three years TSR/secondary 25% Shares/nil to 31.12.19 financial measure cost option LTIP PSEPS Performance 21.03.17 96,945 107.5% of salary 629,173 nil Three years EPS/secondary 25% Shares/nil to 31.12.19 financial measure cost option LTIP SO Share option 21.03.17 270,543 300% of salary 1,755,824 6.49 Three years TSR/secondary 25% to 31.12.19 financial measure Jerry DeMuro LTIP PSTSR Performance 21.03.17 156,092 121% of salary 1,013,037 n/a Three years TSR/secondary 25% Shares to 31.12.19 financial measure LTIP PSEPS Performance 21.03.17 156,092 121% of salary 1,013,037 n/a Three years EPS/secondary 25% Shares to 31.12.19 financial measure LTIP SO Share option 21.03.17 503,106 390% of salary 3,265,158 6.49 Three years TSR/secondary 25% to 31.12.19 financial measure LTIP RS Retention 21.03.17 129,002 100% of salary 837,223 n/a n/a n/a n/a 1. The value of the award is calculated on the date of grant by reference to the middle market quotation at the close of the preceding day. Key: LTIP – Long-Term Incentive Plan. PS – Performance Shares. SO – Share Options. RS – Restricted Shares. Note: Performance Shares and Restricted Shares – Shares under award attract dividends prior to vesting. Performance Shares are intended to be free share awards and are structured as a nil cost option to give the participant more flexibility as to the timing of the benefit. For the US executive director, awards of Performance Shares are classified as conditional share awards (rather than share options) and are deliverable on the third, fourth and fifth anniversary of grant, subject to attainment of the performance condition. No grant of awards was made to Ian King in March 2017 in view of his previously announced retirement on 30 June 2017. The table above has been subject to audit.