AMA Group has reduced the value of the fees it pays its directors and adopted a minimum shareholding guideline in consideration of the company’s revenue and “complexity of the issues” facing the business.
The new directors’ fees, effective 1 November 2023, are:
- Chair of the Board: $225,000 (reduced by $50,000)
- Non-Executive Director: $100,000 (reduced by $20,000)
- Deputy Chair: $25,000 (new)
- Committee Chair: $15,000 (no change)
AMA said the Deputy Chair fee reflects the substantial contribution required to support the management team during the Chief Executive Officer transition, adding that all directors’ fees will be reviewed annually.
The minimum shareholding guideline requires non-executive directors to acquire and maintain fully paid ordinary shares equivalent to one year’s worth of fees, including any additional fees for serving on a board sub-committee.
Current non-executive directors are required to reach the minimum shareholding requirement within three years from 7 November 2023, or within three years from appointment for future non-executive directors.
“To ensure the minimum shareholding requirement is reached and maintained, an annual calculation will be undertaken using the cumulative cost of the shares acquired,” said AMA. “Shares owned by the non-executive director, their associated entities, or close associates, as well as shares owned through a trust, private company, superannuation fund or otherwise held for the benefit of the non-executive director and their close associates count towards the minimum shareholding requirement.”
AMA also said its debt refinancing preparations are well advanced and that it intends to formally launch the process in late November 2023.
“We believe that the group has a solid future ahead of it,” said Caroline Waldron, AMA Group Chair. “We continue to engage with our stakeholders with openness and transparency, while remaining focused on delivering for AMA Group.”