Remuneration Policy/ Director’s Compensation

Director Compensation

The ESCG Committees of AEV ensure that the remuneration for directors and key executives is consistent with the Group’s culture, strategy, and business policies. Guided by the Aboitiz Compensation Philosophy, factors such as individual and organizational performance, and inflation, among others, are taken into account to ensure that the compensation structure will attract, retain, and engage the best talents to contribute to the success of the business. Each year, the results of the study are presented and discussed during the first meeting of the ESCG Committee.

In compliance with Section 29 of the Revised Corporation Code, the total compensation of each of the Company’s directors as of December 31, 2021 is as follows:

Other than the director’s per diem and monthly allowance, there are no other standard arrangements pursuant to which directors are compensated or to be compensated. Officers are rewarded based on their individual performance and on their ability to execute their duties and responsibilities effectively.

The Board of Directors do not participate in discussions or deliberations involving his/her own remuneration. Thus, all proposed changes in Board remuneration are approved by the shareholders and disclosed to the public in a timely manner through PSE and SEC disclosures and the Company’s Annual Report (SEC Form 17-A). The Company believes that the information provided in the disclosures provide sufficient information on director and executive remuneration, while maintaining the privacy of the individuals concerned in compliance with applicable laws and regulations.

Other than the directors’ per diem and monthly allowance, there are no other standard arrangements pursuant to which directors are compensated or to be compensated.