3.7 Clawback and malus

Employment contracts for the members of the Group Executive Committee contain a clawback and malus clause under which Swisscom may forfeit or reclaim any remuneration that has been unlawfully awarded or paid. In the event of revision of the consolidated or annual financial statements, or serious violations of laws, regulations, contractual duties of care or internal directives, the Board of Directors may reduce the variable performance-related component of members’ remuneration, waive payment or reclaim payments already made.