Principles of King III

JSE-listed companies are required to report and disclose the application of the King III principles. The principles that have not been applied are therefore explained below:

– Principle 2.16 recommends that the Chairman of the Board should be independent. The Board has considered this issue and is of the view that Dr CH Wiese’s skills, knowledge and experience allows him to make a significant contribution to the functioning and effectiveness of the Board. A lead independent director was, however, appointed.
– Principle 2.18 requires that the Board should comprise a balance of power with a majority of non-executive directors, and that the majority of non-executive directors should be independent. The Board is in the process of restructuring and will aim to comply with this principle by 30 June 2012.
– Principle 2.22: The evaluation of the Board, its committees, and individual directors should be performed every year. The Group does not comply with this principle, but will implement the necessary measures to ensure compliance.