Committee Duties and Responsibilities

In serving those duties the committee shall consider, and make specific recommendations to the Board on, both remuneration policy and individual remuneration packages for the approved persons and other material risk-takers as well as the total variable remuneration to be distributed. This remuneration policy should cover at least:

(a) The following components:
(i) Salary;
(ii) The specific terms of performance-related plans including any stock compensation, stock options, or other deferred-benefit compensation;
(iii) Pension plans;
(iv) Fringe benefits such as non-salary perks; and
(v) Termination policies including any severance payment policies; and
(b) Policy guidelines to be used for determining remuneration in individual cases, including on:
(i) The relative importance of each component noted in a) above;
(ii) Specific criteria to be used in evaluating a senior manager's performance.

The committee shall evaluate the approved persons and material risk-takers' performance in light of the bank's corporate goals, agreed strategy, objectives and business plans and may consider the Islamic bank licensee's performance and shareholder return relative to comparable Islamic bank licensees, the value of awards to CEOs at comparable Islamic bank licensees, and awards to the CEO in past years.

The committee should also be responsible for retaining and overseeing outside consultants or firms for the purpose of determining approved persons and material risk-takers' remuneration, administering remuneration plans, or related matters.

Amended: January 2014
Amended: April 2011
October 2010