Annual Report 2009 - Greentown China Holdings Limited

Report of the Directors
Remuneration Policy
The remuneration policy of the employees of the Group is
set up by the Remuneration Committee on the basis of the
employees’ performance, qualifications and experiences.
Details of the remuneration of the Directors are set out in
note 11 to the audited consolidated financial statements,
which are decided by the Remuneration Committee,
having regard to the Company’s operating results,
individual performance of the Directors and comparable
market statistics.
The Company has adopted the Share Option Scheme as
an incentive to Directors and eligible employees, details
of the Share Option Scheme are set out in note 35 to the
consolidated financial statements.
Major Customers and Suppliers
The aggregate sales attributable to the Group’s five largest
customers were less than 30% of the Group’s total sales
and the sales attributable to the Group’s largest customer
were less than 10% of the Group’s total sales for the year.
The aggregate purchases attributable to the Group’s five
largest suppliers were less than 30% of the Group’s total
purchases and the purchases attributable to the Group’s
largest supplier were less than 10% of the Group’s total
purchases for the year.
At no time during the year ended 31 December 2009, a
Director, an associate of a Director or a shareholder of
the Company (who to the knowledge of the Directors
own more than 5% of the Company’s share capital) had
any interest in any of the Group’s five largest suppliers or
customers.
Pre-Emptive Rights
There are no provisions for pre-emptive rights under
the Company’s Articles of Association, or the laws of the
Cayman Islands, which would oblige the Company to offer
new shares on a pro-rata basis to existing shareholders.
Retirement Benefit Scheme
The Group has joined a mandatory provident fund
scheme (“MPF Scheme”) for all employees in Hong
Kong. The MPF Scheme is registered with the Mandatory
Provident Fund Schemes Authority under the Mandatory
Provident Fund Schemes Ordinance. The assets of the
MPF Scheme are held separately from those of the Group
in funds under the control of an independent trustee.
Under the MPF Scheme, the employer and its employees
are each required to make contributions to the MPF
Scheme at rates specified in the rules.
The employees of the Group’s subsidiaries in the PRC
are members of the state-managed retirement benefits
schemes operated by the PRC government. The PRC
subsidiaries are required to contribute a certain
percentage of payroll costs to the retirement benefits
schemes to fund the benefits. The only obligation of the
Group with respect to the retirement benefits schemes is
to make the specified contributions.
Sufficiency of Public Float
Base on the information that is publicly available to the
Company and within the knowledge of the Directors of
the Company, the Company has maintained a sufficient
public float as required by the Listing Rules throughout
the year ended 31 December 2009.
Donations
During the year ended 31 December 2009, the Group
made charitable donations amounting to RMB2,528,000.
Post Balance Sheet Events
Subsequent to the date of the balance sheet, significant
post balance sheet events of the Group occurred and their
details are set out in note 40 to the consolidated financial
statements.
Auditors
Messrs. Deloitte Touche Tohmatsu will retire at the
forthcoming AGM. A resolution will be proposed at the
forthcoming AGM to re-appoint Messrs. Deloitte Touche
Tohmatsu as the auditors of the Company.
On behalf of the Board
SONG Weiping
Chairman
19 April 2010
* For identification purposes only
Greentown China Holdings Limited Annual Report 2009 93