SAPPI LTD (SAP) 6-K

14. DIRECTORS’ REMUNERATION AND SERVICE CONTRACTS
14.1. Directors Remuneration
14.1.1. Non-executive directors
Directors are normally remunerated in the currency of the country in which they live or work from. The remuneration is translated into US Dollars (the Sappi
Group’s reporting currency) at the average exchange rates prevailing during the reporting year. Directors’ fees are established in local currencies to reflect
market conditions in those countries. Non-executive directors’ fees reflect their services as directors and services on various sub-committees on which they
serve, and the quantum of committee fees depends on whether the director is an ordinary member or a chairman of the committee.
The extreme volatility of currencies, in particular the Rand/US Dollar exchange rate in the past few years caused severe distortion of the relative fees paid to
individual directors.
Non-executive directors’ fees are proposed by the executive committee, agreed by the compensation committee, recommended by the board and approved at
the annual general meeting by the shareholders. Proposed emoluments to be paid by Sappi Limited to directors are available on inspection.
The table below outlines the non-Executive directors’ fees and allowances for the last financial period, i.e. Annual Report for the year ended 30 September
2007.
2007
Board Committee Travel
Director fees fees allowance Total(7) (8)
In USD
D C Brink 41,817 40,423 5,000 87,240
M Feldberg 50,000 48,000 12,500 110,500
J E Healey 50,000 68,000 15,000 133,000
K de Kluis(1) 16,265 16,265 2,500 35,030
D Konar 27,878 52,736 5,000 85,614
H C Mamsch 65,060 93,568 10,000 168,628
B Radebe 27,878 18,121 5,000 50,999
A N R Rudd(5) 65,060 27,601 2,500 95,161
F A Sonn 27,878 9,060 5,000 41,938
E van As(2) (6) 48,787 – 5,000 53,787
K R Osar (3) 20,835 – 7,500 28,335
J D McKenzie (4) 2,324 – – 2,324
443,782 373,774 75,000 892,556
(1) Retired in December 2006.
(2) Includes board fees received by Mr van As for the period July to September 2007.
(3) Appointed in May 2007.
(4) Appointed in September 2007.
(5) Appointed in April 2006.
(6) Retired in September 2007.
(7) No payments for management consulting, technical or other fees, including payments to management companies were made to Non – executive directors during fiscal year 2007 and
2006. There were also no commissions, gains or profit sharing arrangements for Non - executive directors during fiscal year 2007 and 2006.)
(8) No other fees were paid or accrued to a third party in lieu of directors’ fees.
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