Personnel

During the financial year, the average number of staff employed by the Finnair Group amounted to 10,476 people, which was 3.4 per cent fewer than a year before. As a consequence of the IT and ground equipment structural arrangements, 232 people were transferred in August-September to the employment of partners outside of the Group.

The company has labour contracts valid for around two years with all the labour unions other than the Aviation Union, which represents personnel working in various repair and ground service tasks. Negotiations are under way on revising an agreement that expires in February 2003.

The Finnair Group has a profit bonus scheme that allows the employees of the parent company and certain subsidiaries to participate in a profit bonus payable on the basis of the Group's result and return on capital employed. The profit bonus is paid into a personnel fund, which is obliged to invest part of the profit bonus in Finnair Oyj's shares. The Group also operates an incentive scheme, which is defined separately for each business unit. The total amount of bonuses in 2002 was 6.6 million euros.

Management

The Annual General Meeting decided to reduce the number of members of the Supervisory Board from eighteen to thirteen. The former auditors were re-elected.

Finnair's Supervisory Board elected the following new people to the Board of Directors for the calendar year 2003: Christoffer Taxell (Chairman), Kari Jordan (Deputy Chairman), Antti Satuli and Kaisa Vikkula. Samuli Haapasalo, Ari Heiniö and Helena Terho were re-elected to the Board of Directors.