Remuneration repor t (cont’d) 5.  Summary of Executive Contracts 6.  Managing Director’s remuneration 6.1 Terms of appointment Mr Kelaher is employed under an unlimited duration service agreement. Under that agreement, Mr Kelaher receives fixed  remuneration, a short-term incentive component, and an equity-based long-term incentive component, as discussed below. The  fixed and short term incentive components of Mr Kelaher’s remuneration are subject to annual review by the Board. There are various  performance and vesting conditions attached to the remuneration provided to Mr Kelaher under the terms of his agreement. Mr Kelaher can terminate his employment by giving IOOF three (3) months’ written notice. The Board can waive the requirement for  him to serve out part or all of the notice period, although he would be entitled to the fixed remuneration for that portion of the notice  period not served out. Any unvested incentives at the date of termination would lapse. The Company can terminate Mr Kelaher’s employment at any time by giving twelve (12) months’ written notice, or the Company  can elect to make payment of fixed remuneration in lieu of part or all of the notice period that he is not required to serve out. The  proportion (if any) of the short-term incentive and any unvested long-term incentives to which Mr Kelaher will be entitled in this event  is at the discretion of the Board.  In the event Mr Kelaher’s employment is terminated (except in the circumstances of misconduct), he will be paid an entitlement equal  to twelve (12) months’ fixed remuneration plus unpaid leave entitlements, and an amount to reflect a pro-rated entitlement to STI for  the period. page 40 Remuneration and other terms of employment for the Managing Director and Executive KMPs are formalised in employment  contracts. Details of the employment contracts, as applied during the financial year, are as follows: Executive  Term Notice period and termination provisions/ benefits applying during the financial year ending 30 June 2012 C. Kelaher Ongoing  The Company may terminate Mr Kelaher’s employment (except for misconduct) with 12 months  written notice. The Company may elect to make a payment in lieu of part or all of this notice  period based on 12 months’ ‘total fixed remuneration’ (incorporating unpaid leave entitlements,  and an amount to reflect a pro-rated entitlement to STI for the period). The Board has discretion  regarding treatment of unvested short and long-term incentives. S. Abley Ongoing The Company may terminate Mr Abley’s employment (except in the event of misconduct) by  giving 5 months written notice.  Mr Abley may terminate his employment by giving 1 months written notice. M. Carter Ongoing The Company may terminate Mr Carter’s employment (except in the event of misconduct) by  giving 6 months written notice. Mr Carter may terminate his employment by giving 1 months written notice. D. Coulter  Ongoing The Company may terminate Mr Coulter’s employment (except in the event of misconduct) by  giving 6 months written notice.  Mr Coulter may terminate his employment by giving 1 months written notice. S. Merlicek Ongoing The Company may terminate Mr Merlicek’s employment (except in the event of misconduct) by  giving 6 months written notice.  Mr Merlicek may terminate his employment by giving 3 months written notice. R. Mota Ongoing The Company may terminate Mr Mota’s employment (except in the event of misconduct) by  giving a maximum of 7 months written notice depending upon the circumstances of termination. Mr Mota may terminate his employment by giving 5 weeks written notice.  G. Riordan Ongoing The Company may terminate Mr Riordan’s employment (except in the event of misconduct) by  giving 6 months written notice. Mr Riordan may terminate his employment by providing 6 months written notice.  M. Stephen Ongoing The Company may terminate Mr Stephen’s employment (except in the event of misconduct) by  giving 3 months written notice. Mr Stephen may terminate his employment by providing 3 months written notice. 