MKH Annual Report 2017

PRINCIPLE 2: STRENGTHEN COMPOSITION (continued) Remuneration Committee (continued) The Remuneration Committee is responsible for recommending to the Board on the remuneration framework and packages of all Directors and in the case of Non-Executive Directors’ fees including Board Committees’ fees, the approval of the shareholders is required. The Directors shall abstain from deliberating and voting’s on their own remuneration. During the financial year under review, the Committee held one (1) meeting to deliberate on the following: (a) review of the salaries, bonuses and incentives of senior management of the Group; and (b) approve the remuneration package and bonus for the Executive Directors. The terms of reference of the Remuneration Committee are available for reference at www.mkhberhad.com . Directors’ Remuneration The levels of remuneration for Executive Directors are linked to experience, scope of responsibilities, service seniority, performance of the Executive Directors and published market survey information in order to attract, retain and motivate the Executive Directors to run the Group successfully. The levels of remuneration for Independent Non-Executive Directors are based on their contribution to the Group in terms of their knowledge, experience and level of responsibilities undertaken by the Non-Executive Directors concerned. In compliance with the Listing Requirements on disclosure of Directors’ remuneration, details of the Directors’ remuneration for the financial year ended 30 September 2017, in aggregate and analyses into the bands of RM50,000 are as follows:- Directors’ remuneration Company Group Non- Non- Executive Executives Executive Executives Directors Directors Total Directors Directors Total Category RM RM RM RM RM RM Directors’ fees - 250,000 250,000 - 250,000 250,000 Directors’ salaries & bonuses - - - 13,161,220 36,000 13,197,220 Allowances - 39,000 39,000 - 39,000 39,000 Benefits in kind - - - 94,488 - 94,488 Other emoluments* - - - 3,091,305 6,240 3,097,545 TOTAL - 289,000 289,000 16,347,013 331,240 16,678,253 * Includes provision for retirement gratuity of the Group amounting to RM587,866 for certain eligible Directors of the Company. 49 MKH Berhad • Annual Report 2017 Statement on Corporate Governance