EXCEL FORCE MSC BERHAD Annual Report 2019

EXCEL FORCE MSC BERHAD - ANNUAL REPORT 2019 28 PRINCIPLE A - BOARD LEADERSHIP AND EFFECTIVENESS (CONT’D) Remuneration (cont’d) 7.0 Stakeholders are able to assess whether the remuneration of directors and senior management commensurate with their individual performance, taking into consideration the Company’s performance (cont’d). The details of the Directors’ remuneration comprising remuneration received/receivable from the Company and subsidiary respectively in financial year ended 31 December 2019 are as follows (cont’d):- 7.1 Aggregate remuneration of Directors categorized into appropriate components are as follows (cont’d):- Company Fees Salaries & Bonus Other Emoluments Total RM RM RM RM Group Executive Directors 353,935 1,040,638 - 1,394,573 Non-executive Directors 142,400 - - 142,400 Total 496,335 1,040,638 - 1,536,973 7.2 Directors' remuneration are broadly categorized into the following bands:- Company Group Number of Directors Number of Directors Range of remuneration RM Executive Non-Executive Executive Non-Executive 50,000 and below - 5 - 5 50,001 to 150,000 1 - 1 - 150,001 to 350,000 2 - 2 - 350,001 to 450,000 1 - 1 - PRINCIPLE B - EFFECTIVE AUDIT AND RISK MANAGEMENT Audit Committee 8.0 There is an effective and independent audit committee. The Board is able to objectively review the audit committee's findings and recommendations. The Company's financial statement is a reliable source of information. 8.1 The Audit Committee's ("AC") principal duties include the supervision of the truthfulness and reliability of the Company's financial statements, the effectiveness and adequacy of the Company's internal control as well as risk management system. The AC comprises exclusively Independent Non-Executive Directors and to ensure the Board is able to review the AC's finding and recommendation independently, the chairman of AC is not the chairman of the Board. The appointment of the auditors is subject to approval at the general meeting. In making its recommendations to the shareholders on the appointment and re-appointment of auditors, the Board relies on the review and recommendation of the AC. The Board has established a formal and transparent arrangement with its external auditors to meet their professional requirements. The ACmeets with the external auditors to review the rationale of significant judgement, accounting principles and the operating effectiveness of internal controls and business risk management. The auditors have continued to highlight to the AC and the Board matters that require the Board's attention. Corporate governance overview statement (CONT’D)