The Non-Executive Directors receive directors’ fees, in accordance with their contribution, taking into account factors such as effort, time
spent, responsibilities of the directors and the need to pay competitive fees to attract, motivate and retain such Independent and Non-
Executive directors. Directors’ fees are recommended by the Board for approval by the shareholders at the Company’s general meeting.
The Executive Directors do not receive Directors’ fees. The remuneration packages of the Executive Directors are the key management
personnel comprise primarily a basic salary component and a variable component which is the bonuses and other benefits. These
service agreements are subject to review by the RC and provide for termination by either party giving to other not less than 6 months’
prior notice.
Disclosure of Remuneration
Principle 9:
Each company should provide clear disclosure of its remuneration policies, level and mix of remuneration, and the procedure for
setting remuneration, in the company’s annual report. It should provide disclosure in relation to its remuneration policies to enable
investors to understand the link between remuneration paid to directors and key management personnel, and performance.
Remuneration paid or accrued to Directors for FY2014 is as follows:
Remuneration paid or accrued to Directors for the financial year ended 31 December 2014
Notes:
1. Fixed component refers to base salary earned, allowances, benefits in kind and employer CPF.
2. Variable component refers to variable bonus, performance bonus and employer CPF.
3. Chua Sey Kok joined the Group on 1 July 2014.
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.
The Company had entered into a service agreement with Mr Chua Leong Hai in relation to his appointment as the CEO of the Company.
The service agreement took effect from the date of the Company’s admission to the Official List of the SGX-ST, being 21 December 2009,
for an initial period of three years and renewable automatically on a yearly basis thereafter.
Directors of Company
Fixed
component
1
Variable
component
2
Directors’
Fees
Total
%
%
%
%
$ 3,250,000 to $3,500,000
Chua Leong Hai
10
90
-
100
$250,000 to $500,000
Chew Tuan Dong
75
25
-
100
Chua Hua Hong
62
38
-
100
Kee Guan Chua
58
42
-
100
Below $250,000
Chua Sey Kok
3
74
26
-
100
Ong Seh Hong
-
-
100
100
Koh Lian Huat
-
-
100
100
Khor Phor Hwa
-
-
100
100
CORPORATE GOVERNANCE REPORT
Hock Lian Seng Holdings Limited
Annual report 2014
20
