Page 30 - Bauxite Resources Annual Report 2014

28 | Bauxite Resources Annual Report 2014
DIRECTORS’ REPORT
Directors’ Report cont.
Annual Report 2014 Bauxite Resources 28
The Board may exercise discretion in relation to approving incentives, bonuses and options. The policy is designed to attract
and retain the highest calibre of executives and reward them for performance that results in long-term growth in shareholder
wealth.
The Australian based executive directors and executives receive a superannuation guarantee contribution required by the
government, which was 9.25% in 2013/2014, and do not receive any other retirement benefits.
All remuneration paid to directors and executives is valued at the cost to the Company and expensed. Options or rights are
valued using the Black Scholes or binomial option pricing methodology.
The Board policy is to remunerate non executive directors at market rates for comparable companies for time, commitment and
responsibilities. The Board determines payments to the non executive directors and reviews their remuneration annually, based
on market practice, duties and accountability. Independent external advice is sought when required. The maximum aggregate
amount of fees that can be paid to non executive directors is subject to approval by shareholders at the Annual General Meeting
(currently $600,000). Fees for non executive directors were $40,000 per annum with additional fees payable for membership of
other board related committees. The fees are not linked to the performance of the Group, however, to align directors’ interests
with shareholder interests, the directors are encouraged to hold shares in the Company. Alternate directors have not received
remuneration by way of fees or share based payments from the Company for the year ended 30 June 2014.
Company performance, shareholder wealth and directors’ and executives’ remuneration
A number of performance rights have been granted to key management personnel and are linked to the company performance
through market based performance conditions. Details on the proportion of remuneration is detailed in Part F of the
remuneration report.
The following table shows the gross revenue, losses and earnings per share for the current and prior year.
2014 2013
$ $
Revenue 2,902,419 3,641,322
Net profit/(loss) (4,554,592) (5,241,176)
Earnings per share (cents) (2.0) (2.2)
B Details of remuneration
Details of the remuneration of the directors, the key management personnel of the Group (as defined in AASB 124 Related Party
Disclosures) and specified executives of Bauxite Resources Limited and the Bauxite Resources Group are set out in the
following table.
The key management personnel of Bauxite Resources Limited and the Group include the directors and company secretary as
per pages 22 and 23 above.
The Chief Executive Officer has full authority and responsibility for planning, directing and controlling the activities of the Group.
The Exploration Manager has authority and responsibility for planning, directing and controlling the exploration activities of the
Group. The Chief Financial Officer has responsibility for planning directing and controlling the financial affairs of the Group, as
directed by the Board. Given the size and nature of operations of Bauxite Resources Limited and the Group, there are no other
employees who are required to have their remuneration disclosed in accordance with the Corporations Act 2001.
Key management personnel and other executives of Bauxite Resources Limited and the Group
Short-Term
Share-
based
Payments
Total
Salary &
Fees
Subsidiary
Board and
committee
fees
Superannua
-tion
Consultanc
y Fees
Performanc
e Rights
Termination
Benefits
$ $ $ $ $ $ $
2014
Non-Executive Directors
Robert Nash 1 70,000 - 6,475 155,000 - - 231,475
Luke Atkins 2 40,000 40,000 7,400 - - - 87,400