An employee share option scheme (“
ESOS
”) was approved by the shareholders of the Company
at the Extraordinary General Meeting of the Company held on 12 January 2012 as a compensation
scheme for selected employees of the Group who, in the opinion of the appointed committee under
the ESOS, have contributed or will contribute to the success of the Group.
The ESOS is administered by the RC. The ESOS will, subject to the approval of the shareholders, be
renewed at the forthcoming AGM of the Company.
Since the commencement of the ESOS and up to the date of this report, no options were granted
under the ESOS to Directors of the Company and/or employees of the Group for the financial year
ended 31 December 2015.
There are currently no incentives granted under the ESOS to the Executive Director and key
management personnel. The RC is of the view that the variable component of the remuneration
packages of the Executive Director and key management personnel is moderate. In view of this, there
is no necessity for the Company to institute contractual provisions to reclaim the incentives or any
related payments from the parties involved should there be any misstatements of financial results, or
of misconduct resulting in financial loss to the Group.
The performance criteria used to assess the remuneration (short-term and long term incentive) of
Executive Director and key management personnel is determined by having regards to the performance
of the Group, leadership, as well as industry benchmarks.
The remuneration of the Directors from the Company for the financial year ended 31 December
2015 is as follows:–
Directors
Base
Salary
(%)
Bonus
(%)
Director
Fees
(%)
Allowances
and Others
(%)
TOTAL
(%)
Ching Chiat Kwong
–
–
100
–
100
Foo Sey Liang
92.31
7.69
–
–
100
Teo Yi-Dar (Zhang Yida)
–
–
100
–
100
Ng Weng Sui Harry
–
–
100
–
100
Kesavan Nair
–
–
100
–
100
Low See Ching
–
–
100
–
100
The Board believes that it is for the benefit of the Company and the Group that the remuneration
of Directors be kept confidential, due to its sensitive nature.
28
CORPORATE
GOVERNANCE
HG METAL MANUFACTURING LIMITED
ANNUAL REPORT 2015
