Brief introductions of broad committee

　　<1> Role of broad committee

　　a. Making good use of committees have a positive effect on the governance of many companies

　　b. Committees have given assurance that important board duties were being discharged rigorously

　　<2> Responsibilities of broad committee

　　a. Many companies operate a series of board sub-committees responsible for supervising specific aspects of governance.

　　b. Operation of a committee system does not absolve the main board of its responsibilities for the areas covered by the board committees.

　　<3> Sub-board committee

　　a. Audit committee

　　(a)Composition: all NEDs

　　(b)Responsibility: The most important committee, responsible for liaising with external audit, supervising internal audit and reviewing the annual accounts and internal controls, conduct risk management and investigation

　　b. Nomination committee

　　(a)Composition: majority of NEDs

　　(b)Responsibility: To recommend the appointments of new directors to the board

　　c. Remuneration committee

　　(a)Composition: all NEDs

　　(b)Responsibility: To advise the executive director’s remuneration policy and the specific remuneration package for each director

　　d. Risk committee

　　(a)Composition: majority of NEDs

　　(b)Responsibility: Overseeing the organization’s risk response and management strategies