51 / 128
Annual Report 2016 49
DIRECTORS’ REPORT
Directors' report
30 June 2016
(continued)
Remuneration report (continued)
2016 Executive remuneration (continued)
Variable remuneration - STIs (continued)
3. To be paid in September 2016.
4. Not qualified as only commenced in April 2015 (minimum 5 months required).
5. Appointed Chief Operating Officer on 1 March 2016, previously General Manager, Project Development (from 22 September 2015)
and prior to that Chief Operating Officer of Sirius Resources NL.
6. Pro-rata entitlement based on commencement date. Appointed Company Secretary on 5 October 2015.
The payment of STIs is subject to Board approval. The Board has the discretion to adjust remuneration outcomes
higher or lower to prevent any inappropriate reward outcomes, including reducing (down to zero, if appropriate) any STI.
Variable remuneration - LTIs
The LTI component of the remuneration package is to reward executive directors, senior managers and other invited
employees of the Group in a manner which aligns a proportion of their remuneration package with the creation of
shareholder wealth over a longer period than the STI.
The Independence Group NL Employee Performance Rights Plan (PRP) was approved by shareholders at the Annual
General Meeting in November 2014. Under the PRP, participants are granted share rights for no consideration that will
only vest if certain performance conditions are met and the employees are still employed by the Group at the end of the
vesting period. Participation in the PRP is at the Board’s discretion and no individual has a contractual right to
participate in the plan or to receive any guaranteed benefits.
To FY16, the Managing Director has the opportunity to earn 100% of his TFR as an LTI. All other executives have the
opportunity to earn between 20-55% of their TFR as an LTI. From FY17, the LTI opportunity for the Managing Director
will reduce to 70% of TFR and the LTI opportunity for all other executives will be between 20-40% of TFR.
During the period 643,911 share rights were issued as FY16 LTIs to executive KMP and senior staff in accordance with
the PRP. Of this amount, 217,391 were issued to the Managing Director as approved by shareholders at the 2015
Annual General Meeting. The quantum of share rights is determined by the executive’s TFR; the applicable multiplier;
and the face value of the Company's shares, calculated as the 20 day volume weighted average price (VWAP).
The following share rights were issued to executive KMP in relation to FY16:
Name
Position
Number of
share rights
issued for
FY15 period
1
Number of
share rights
issued for
FY16 period
2
Peter Bradford
Managing Director
175,365
217,391
Keith Ashby
Sustainability Manager
n/a
3
19,361
Rob Dennis
Chief Operating Officer
n/a
4
78,116
Matt Dusci
Chief Growth Officer
50,154
62,174
Joanne McDonald Company Secretary
n/a
5
10,586
6
Sam Retallack
Organisational Capability Manager
10,473
19,361
Scott Steinkrug
Chief Financial Officer
50,154
62,174
Brett Hartmann
General Manager, Operations (ceased 29 February 2016)
58,513
72,536
Tony Walsh
7
Company Secretary and General Manager, Corporate
(ceased 9 October 2015)
50,154
n/a
1. Share rights awarded at 20 day VWAP to 30 September 2014 of $4.28.
2. Share rights awarded at 20 day VWAP to 20 August 2015 of $3.45.
3. Not qualified as only appointed in April 2015.
4. Appointed KMP on 1 March 2016, prior to that held the role of General Manager, Project Development (from 22 September 2015)
and prior to that Chief Operating Officer of Sirius Resources NL.
5. Appointed 5 October 2015.
6. Pro-rata entitlement based on commencement date.
7. Ceased to be an employee on 9 October 2015. In accordance with the PRP all unvested share rights lapsed and were cancelled.
Independence Group NL
20