ST Engineering Annual Report 2020

CORPORATE OVERVI EW PERFORMANCE REVI EW SUSTAINABI L ITY CORPORATE GOVERNANCE F INANCIAL REPORT The computation of NEDs’ remuneration is based on the following rates. From Private Sector ($) FY2020 Chairman Fee (all-in) 750,000 Board Basic Retainer Fee Director 75,000 Additional/Committee Fees Audit Committee: - Chairman - Member 52,000 29,000 ERCC, SFC, RD&T and RSC: - Chairman - Member 35,000 18,000 Other Committees (including NC): - Chairman - Member 29,000 14,000 Attendance Fees Per Board Meeting 5,000 Per Board Committee Meeting 2,500 Public Sector NED fees ($) FY2020 Chairman 45,000 Deputy Chairman/Chairman Executive Committee/ Chairman Audit Committee 33,750 Member Executive Committee/Member Audit Committee/Chairman of Other Board Committee(s) 22,500 Director 11,250 The Chairman fee is a fixed fee covering Board basic retainer, Board Committee and meeting attendance fees. The fee is paid in a combination of cash (70%) and shares (30%). The shares granted, as part of the fee, are fully-paid with no performance conditions attached and no vesting period imposed. However, the shares will have to be held for at least two years from the date of grant, and the two-year moratorium will apply even in the event of retirement. Fees for directors who hold public sector appointments follow the Directorship & Consultancy Appointments Council’s (DCAC) guidelines as set out below. NEDs who hold public sector appointments will not be eligible for the shares component of the NEDs’ remuneration. 100% of their remuneration in cash is payable to DCAC, where applicable. To lend support and solidarity as the Group weathers the COVID-19 pandemic together with its partners and stakeholders, the Board volunteered to reduce Board fees by 10% with effect from 1 May 2020. The NEDs’ remuneration payable in respect of financial year 2020 is proposed to be $1,680,047 (FY2019: $1,724,587). Details of the directors’ remuneration are provided in the Summary Remuneration Table for Directors on page 116. attached and no vesting periods imposed. To encourage the alignment of interests of the NEDs with the interests of shareholders, the share grant has a moratorium on selling. Each eligible NED is required to hold shares in the Group worth the lower of: (a) the total number of shares in the Group granted to such NED as payment of the shares’ component of the NEDs’ fees for financial year 2011 and onwards; or (b) the number of shares of equivalent value to the prevailing annual basic retainer fee for a director of the Group. An NED can sell all his/ her shares in the Group a year after the end of his/her Board tenure. 11 5 ANNUAL REPORT 2 02 0 /