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COSCO Corporation (Singapore) Limited
Annual Report 2015
DIRECTORS’
STATEMENT
Financial Statements
For the financial year ended 31 December 2015
Share options
(a)
COSCO Group Employees’ Share Option Scheme 2002
The COSCO Group Employees’ Share Option Scheme 2002 (the “Scheme 2002”) was approved by
members of the Company at an Extraordinary General Meeting on 8 May 2002.
Under the Scheme 2002, share options to subscribe for the ordinary shares of the Company are granted
to directors, key management personnel and employees. The exercise price of the granted options is
determined at the average of the closing prices of the Company’s ordinary shares as quoted on the
Singapore Exchange for the five market days immediately preceding the date of the grant. The options
may be exercised in full or in part in respect of 1,000 shares or a multiple thereof, on the payment of
the exercise price. The persons to whom the options have been issued have no right to participate by
virtue of the options in any share issue of any other company. The Group has no legal or constructive
obligation to repurchase or settle the options in cash.
The aggregate number of shares over which options may be granted on any date, when added to the
number of shares issued and issuable in respect of all options granted under the Scheme, shall not
exceed 15% of the issued shares of the Company on the day preceding that date.
Options issued to directors and employees who have been in the service of the Company, subsidiary
or associated company, or the holding corporation for at least one year on or prior to the date of the
grant, may be exercised twelve months after the date of grant but before the end of one hundred and
twenty months. For employees and directors who are in the service of the associated company and
non-executive directors, the options shall expire at the end of sixty months. Options issued at a discount
to market price, may only be exercised two years after the date of the grant.
Options issued to directors and employees who have been in the service of the Company, subsidiary
or associated company, or the holding corporation for at least six months but less than one year on or
prior to the date of grant, may be exercised twenty-four months after the date of the grant but before
the end of one hundred and twenty months. For employees and directors who are in the service of the
associated company and non-executive directors, the options shall expire at the end of sixty months.
Options issued at a discount to market price, may only be exercised three years after the date of the
grant.
Particulars of the options granted pursuant to the Scheme 2002 in 2006, 2007 and 2008 known as
“2006 Options”, “2007 Options” and “2008 Options” respectively were set out in the Directors’
Report for the financial years ended 31 December 2006, 31 December 2007 and 31 December 2008
respectively.
The Remuneration Committee administering the Scheme 2002 comprises the following directors:
Er Kwong Wah (Chairman)
Wu Zi Heng
Tom Yee Lat Shing
Wang Kai Yuen
Ang Swee Tian
