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AXIOM MINING LIMITED
ANNUAL REPORT 2015
Directors’ report
continued
GROUP FINANCIAL REPORT
Remuneration report (continued)
c. Performance rights plan
Director, Executive and Employee Performance Rights Plan
The establishment of the Axiom Director and Executive Performance Rights Plan was approved by shareholders at the
30 July 2010 Extraordinary General Meeting and refreshed at the Annual General Meeting (‘AGM’) held on 22 April 2013.
The Director and Executive Performance Rights Plan provide appropriate incentives for the Board and management:
–
to align the economic interests of the Board and management with shareholders
–
to keep the Board and management focused on the long term growth of the Company
–
to increase shareholder value by achieving certain milestones.
Under the plan, participants are granted rights that vest if certain performance conditions are met. Participation in the plan
is at the Board’s discretion. Certain employees of the Company have been granted share rights as set out in their service
agreement with the Company. Apart from these, no individual has a contractual right to participate in the plan or to receive
any guaranteed benefits.
When exercisable, each right is convertible into one ordinary share. At the AGM on 22 April 2013, shareholders approved
the issue of:
–
6,666,661 performance rights to Ryan Richard Mount
–
833,332 performance rights to Stephen Ray Williams.
Details of the rights as at 30 September 2015 are as follows:
Number of
rights
granted Grant date Expiry date
Fair value per
share at
approval date
(3)
VWAP
hurdle
(4)
Number
Vested
Directors
Stephen Williams
166,666
(1)
30/07/11
–
–
1.05
–
133,333
(2)
22/04/13 21/10/15
1.33
0.75
–
133,333
(2)
22/04/13 21/10/15
1.20
1.13
–
400,000
(2)
22/04/13 21/10/15
1.06
1.50
–
833,332
Ryan Mount
333,333 22/04/13 31/03/15
1.33
0.75
–
666,666 22/04/13 31/03/15
1.20
1.13
–
666,666 22/04/13 31/03/15
1.06
1.50
–
666,666 22/04/13 31/03/15
0.98
1.88
–
666,666 22/04/13 31/03/15
0.89
2.25
–
666,666 22/04/13 31/03/15
0.77
3.00
–
666,666 22/04/13 31/03/15
0.67
3.75
–
1,000,000 22/04/13 31/03/15
0.60
4.50
–
666,666 22/04/13 31/03/15
0.54
5.25
–
666,666 22/04/13 31/03/15
0.50
6.00
–
6,666,661
(5)
(1)
Lapsed during the year.
(2)
The VWAP hurdles relating to the rights were not met by 21 October 2015 and have lapsed.
(3)
Pre-consolidation value using a Black-Scholes option pricing model.
(4)
Post consolidation.
(5)
Cancelled post year- end as detailed in the 31 March 2015 AGM Notice of Meeting.