Bid Corporation (BID) Status Update summary

Remuneration policy updates and shareholder engagement

• Minimum shareholding policy for executives formalized in response to shareholder input.

• Adjusted performance metric weightings between profit growth and return on capital to 35% each, reflecting shareholder requests.

• Ongoing dialogue with shareholders has led to increased transparency and policy improvements.

• Remuneration Committee open to considering ROIC as an additional metric, with further discussion planned.

Performance metrics and capital allocation

• ROFE (Return on Funds Employed) remains the primary performance metric, deeply embedded at all organizational levels.

• ROFE is audited by external auditors and calculated using annual averages, agnostic to capital structure and tax rates.

• Investment in facilities is prioritized for both ESG benefits and long-term profitability, with underinvestment by competitors cited as a growth driver.

• Dividend payout policy is consistent and not expected to change with metric adjustments.

Board and committee practices

• High attendance and ongoing engagement are expected from Board and committee members, with performance prioritized over formulaic remuneration.

• Remuneration is not strictly tied to meeting attendance due to significant informal contributions.

• Board culture emphasizes flexibility and high contribution, with most directors maintaining a 100% attendance record.