Straco Corporation Limited • Annual Report 2014
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In aggregate, the total annual remuneration of the top five key management personnel, excluding the Directors, Alternate Directors and the CEO, for the
financial year ended 31 December 2014 amounted to $1.77 million.
Share options are granted to align staff’s interest with that of shareholders’ interest. These options are granted with reference to the desired remuneration structure
target and valued based on the Black-Scholes model. Details of the share option scheme can be found in the “Directors’ Report” section of this annual report.
No termination, retirement and post-employment benefit were granted to any Director, the CEO or any top five key management personnel for the year
ended 31 December 2014
ACCOUNTABILITY AND AUDIT
Principle 10: Accountability
The Board is mindful of its obligations to provide timely and fair disclosure of material information in compliance with statutory reporting requirements.
Price sensitive information is first publicly released, either before the Company meets with any group of investors or analysts, or simultaneously with such
meetings. As part of the Company’s commitment to regular communication with our shareholders, the Company will adopt quarterly reporting as required by
the Code. Financial results and annual reports will be announced or issued within the mandatory period.
Principle 11: Risk Management and Internal Controls
The Board has ultimate responsibility for maintaining a sound system of internal controls to safeguard shareholders’ investment and the Group’s assets. The
system of internal controls is intended to provide reasonable but not absolute assurance against material misstatement or loss, and include the safeguarding
of assets, the maintenance of proper accounting records, the reliability of financial information, compliance with appropriate legislation, regulation and best
practices, and the identification and containment of business risk.
The Audit Committee assists the Board in overseeing the risk governance in the Company to ensure that Management maintains a sound system of risk
management and internal controls to safeguard shareholders’ interest and the Company’s assets. The Audit Committee’s functions in this area include the following:
i)
Review and report to the Board the risk profile or risk tolerance the Company undertakes to achieve its business goals and strategies;
ii)
Review the risk management framework, policies, monitoring, measurements and reporting within the spectrum of Enterprise Risk Management of the
Group;
iii)
Review and report to the Board at least annually, the adequacy and effectiveness of the Company’s risk management and internal controls systems in
addressing significant risks including financial, operational, compliance and information technology risks; and
iv)
Recommend to the Board on the opinion and disclosure in the Annual Report on the adequacy and effectiveness of the Company’s risk management
and internal controls systems in accordance with the Listing Manual and Code of Corporate Governance.
The Group’s system of internal controls is designed to provide reasonable assurance that assets are safeguarded, that proper accounting records are
maintained, and that financial information used within the business and for publication are reliable.
CORPORATE GOVERNANCE
