The Swedish Corporate Governance Code

The current Code consists of the revised version of the Swedish Corporate Governance Code, which came into force on 1 February 2010, and all Instructions subsequently issued by the Swedish Corporate Governance Board. To date, three Instructions on the current Code have been issued:

• Instruction 1-2010 regarding rule 9.8,
• Instruction 2-2010 regarding Code application by foreign companies, and
• Instruction 3-2010 regarding rule 1.7.

Under a transition period, certain parts of the previous version of the Code will be applicable alongside the new Code in accordance with the applicable transitional provisions.

• Companies that are listed on NGM Equity are to apply the Code rules on independence (rule 2.6 and 4.3-5) in accordance with the wording in the previous version of the Code. 
• The rule changes in chapter 9 of the Code do not mean that companies need to renegotiate remuneration agreements signed before 1 July 2010. The same applies to variable remuneration programmes approved by the company before that date. Companies do not therefore need to report non-compliance with these rules if the non-compliance is due to agreements signed or programmes approved before 1 July 2010 or any previous date from which the company has decided to apply the new Code rules.