MSM Malaysia Holdings Berhad Annual Report 2019

Board Evaluation Assessment A formal performance evaluation of the Board and Board Committee is completed annually to assess the Board’s performance. Performance evaluation was conducted by the appointed Independent Facilitator for the Board as a whole, its Committees and contributions from each individual Board member. Further details on the Board Evaluation Assessment carried out is disclosed in the NRC Report on page 92 of this Annual Report. Directors’ Remuneration The level of Directors’ remuneration is generally set to be competitive to attract and retain Directors of calibre to provide the necessary skills and experience as required and commensurate with the Board’s responsibilities, expertise and complexity of the Company’s activities for the effective management and operations of the Group. The Board has formalised its Directors Remunerations Policy (DRP) which spells out the policy and framework of MSM Directors’ remuneration. Non-Executive Directors The Non-Executive Directors’ remuneration package reflects the experience, expertise and level of responsibilities undertaken by the Non-Executive Directors. Details of the Non-Executive Directors’ remuneration as members of the Board and Board Committees in the form of fees are as follows: Description Fees (RM) Chairman Member Board of Directors’ Fees - Annually - Monthly RM75,000.00 RM240,000.00 (RM12,000/month) RM60,000.00 RM60,000.00 (RM5,000/month) Board Committees’ Fees - Audit Committee - Nomination and Remuneration Committee - Board Governance & Risk Management Committee - Investment Committee 24,000.00 10,000.00 10,000.00 10,000.00 12,000.00 8,000.00 8,000.00 8,000.00 Details of the Non-Executive Directors’ benefits in accordance with the remuneration structure (excluding Directors’ annual fees are set out below: Meeting Allowance • Board and Board Committee meeting: RM2,000 per attendance Benefits • Company car (Chairman only): one Company car of at least 2000cc • Driver allowance or Security service allowance of not more than RM2,500 per month • Medical expenses, insurance coverage, travelling expenses and other claimable benefits Summary of Group CEO’s Remuneration Policy The Group CEO receives a remuneration package recommended by the NRC and approved by the Board. The remuneration package takes into account the individual performance which are benchmarks against the Company’s targets as well as market rate for benefits-in-kind, annual increment and bonus. The Group CEO is not entitled to annual fees nor any meeting allowances for the Board and Board Committee meetings. The Group CEO is also not entitled to any annual fees in MSM Group. 79 CORPORATE GOVERNANCE 07