Annual Report - Bega Cheese

Financial Statements
Period Financial Ended Statements 30 June 2010
Notes Period to Ended the Financial 30 June Statements
2010
Notes to the Financial Statements
29. Remuneration Report (cont.)
Post-employment Benefits
The Company and Tatura Milk do not currently include post-employment payments or other benefits as part of their
remuneration strategy.
Senior Executive Team Remuneration Principles and Procedures
The Company
Each of the Senior Executive Team of the Company is subject to a remuneration package, the structure of which is
addressed below:
Total Employment Cost
The Company sets the remuneration of each member of the Senior Executive Team having regard to the total employment
cost (“TEC”) of that employee to the Company.
The Company and the relevant Senior Executive Team member have some latitude as to how the TEC can be structured so
as to meet the needs of the particular executive, so long as all employment, income tax, FBT and other relevant legislation is
complied with and the TEC approved through the annual review process is not exceeded.
Base Remuneration
The Base Remuneration for each Senior Executive Team member is determined as part of the annual salary and
performance review process and comprises:
• A Base Salary, which is paid monthly.
• Superannuation contributions, ranging from 10% to 15% depending on the salary package agreed with each Senior
Executive Team member.
The Base Remuneration is not subject to specific performance or deliverables criteria and is generally considered fixed for
the duration of the relevant annual review period.
At Risk Performance-based Remuneration – Executive Chairman’s Leadership Team
As members of the Executive Chairman’s Leadership Team Barry Irvin, Michael Byrnes (for the relevant period), Maurice
Van Ryn and Colin Griffin each participated in the Bega Cheese Leadership Team Short Term Incentive Scheme
(“Leadership STI”) for the year ended 30 June 2010.
Under the Leadership STI, part of Messrs Irvin’s, Byrnes’s (for the relevant period), Van Ryn’s and Griffin’s total
remuneration was ‘at risk’.
For the financial year ended 30 June 2010 the at risk component of Messrs Irvin’s, Byrnes’s (for the relevant period), Van
Ryn’s and Griffin’s total remuneration represented 30% of their respective Base Salary.
Bega Cheese Limited 2010 Annual Report 54
Bega Cheese Limited 2010 Annual Report 54