T able o f c on t en ts 1 Oper a tional P er f ormanc e C on t e xt 201819 unaudit ed 21 2 K e y M anagemen t P ersonnel audit ed 22 3 Ex ecutiv e R emuner a tion S tr a t egy Summary 201819 audit ed 23 4 NonEx ecutiv e Dir ec t or R emuner a tion audit ed 24 5 Ac tual R emuner a tion FY201819 audit ed 25 6 Shor t T erm Inc en tiv e P lan audit ed 28 7 L ong T erm Inc en tiv e P lan audit ed 31 8 C ompan y P er f ormanc e and Link t o Shar eholder W e alth audit ed 35 9 KMP E quit y Ins trumen ts and T r ans ac tions audit ed 36 10 Outlook f or 201920 FY R emuner a tion unaudit ed 39 Oper a tional P er f ormanc e C on t e xt 201819 unaudit ed T he implemen t a tion o f the fv e y e ar s tr a t egy pr ogr es sed with the Gr oup demons tr a ting r obus t or ganic gr o w th and s tr ong o v er al l fnancial per f ormanc e during FY2019 During the y e ar the Gr oup made s tr a t egic ac quisitions o f ne w f ood and pharmac eutical busines ses in bo th Eur ope and Nor th America and c ommodities inspec tion in South America T he Gr oup s C ommodities and Lif e Scienc es divisions deliv er ed s tr ong fnancial per f ormanc e A summary o f the fnan cial per f ormanc e fr om c on tinuing oper a tions is pr o vided belo w and in mor e de t ail on page 14 FY1819 FY1718 R e v enue m 16648 14469 Underlying NP A T m 1810 1422 Underlying EBIT m 2811 2213 Underlying EPS 371 284 Underlying EBIT mar gin 169 153 Dividends per shar e 225 c en ts 170 c en ts In M ar ch 2019 the decision w as made t o close the r emain ing Oil Gas busines s labor a t ories T hese oper a tions ar e r e fec t ed as a disc on tinued oper a tion Changes impac ting R emuner a tion T he or ganis a tional r es truc tur e tha t c ommenc ed f ol lo wing the appoin tmen t o f ALS CE O Mr Ra j Nar an w as c on tinued T he ne w Oper a tions He ad Of fc e w as se t up in Hous t on in July 2018 and a ne w Hous t on based Chie f Financial Of fc er w as appoin t ed r eplacing the f ormer Brisbane based Chie f Financial Of fc er T he Gener al M anager o f Lif e Scienc es Americas also c e ased emplo ymen t with the Gr oup in Dec ember 2018 F ol lo wing the r es truc tur e the Boar d engaged K orn F erry t o benchmark e x ecutiv e r emuner a tion and a number o f ad jus tmen ts w er e r equir ed f or the ne w KMPs r emuner a tion t o ensur e r emuner a tion w as aligned t o their busines ses siz e gr o w th and pr o ft abilit y Fix ed r emuner a tion f or e x ecutiv e KMP w as incr e ased b y an a v er age o f 9 per c en t with the M anaging Dir ec t or r ec eiving a 3 per c en t incr e ase M a ximum po t en tial S TI w as incr e ased during the y e ar ena bling e x ecutiv es t o e arn up t o 150 per c en t o f S TI oppor tuni t y f or e x c ep tional fnancial outper f ormanc e Shor t t erm inc en tiv es e arned b y e x ecutiv es f or FY2019 r e fec t s tr ong fnancial outper f ormanc e and the achie v emen t o f o ther k e y per f ormanc e indica t ors KPIs demons tr a ting an alignmen t with out c omes f or shar eholders L TI c omponen ts as a per c en t age o f fx ed pa y w er e un changed ho w e v er the EPS and EBITD A hur d les w er e ad jus t ed f ol lo wing f eed back fr om shar eholders T he 2016 L TI a w ar ds wil l v es t a t 857 per c en t on 1s t July 2019 as thr ee o f the f our per f ormanc e hur d les w er e ful ly achie v ed and one w as par tial ly achie v ed A s appr o v ed a t the A GM the non e x ecutiv e dir ec t ors f ee pool w as incr e ased t o 165 mil lion T he Chair s f ees w er e incr e ased b y 10 per c en t with the r es t o f the dir ec t ors r ec eiving a 5 per c en t incr e ase A ne w Unit ed S t a t es based Dir ec t or joined the Boar d on 15 January 2019 21 ALS LIMITED AND IT S SUBSIDIARIES A NNU AL F INANCIAL R EPOR T F OR THE Y EAR E NDED 31 M AR CH 2019 F INANCIAL REPOR T D IRE CT ORS REPOR T R EM UNERA TION REPOR T Oper a tional P er f ormanc e C on t e xt 201819 unaudit ed