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Compliance Statement
This report covers the reporting period from 1 January 2015 to 31 December 2015 and provides details of the
Remuneration Committee (the ‘Committee’) and the remuneration structure for the directors of Kuwait Energy.
Goals of Remuneration
Kuwait Energy’s principal goal is to create value for its shareholders. In serving this goal, the Group’s remuneration
has been formulated with the following objectives in mind namely to:
• Ensure the remuneration structure provides a clear link between performance and reward, motivating senior
executives to achieve superior performance in line with a risk-appetite appropriate for the Group.
• Ensure the Group’s remuneration helps to attract, motivate and retain talent.
• Ensure remuneration arrangements are reflective of the corporate strategy and the markets in which the Group
operates in, aligned with Kuwait Energy values, and drives performance as measured by the Corporate Scorecard
objectives.
• Align executive pay with the interests of shareholders and other stakeholders, by encouraging executive share
ownership.
• Ensure the structure is clear, simple and easy to understand.
The remuneration structure is designed to provide the appropriate balance between fixed remuneration and variable
‘at-risk’ reward which is linked to the performance of both the Group and the individual.
The fixed components are base salary and benefits. The performance-related component is the Short Term Incentive
Plan (‘STIP’) and the Exceptional-Value Creation Awards (‘EVCA’), which drive shareholder value creation and support
the delivery of Kuwait Energy’s key operational and strategic objectives.
The Voluntary Share Matching Plan (’VSMP’) and Long Term Incentive Plan (‘LTIP) remain postponed; they will be
introduced at an appropriate time in the future as the Group evolves.
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