Directors’ Report Interests in the shares and options of the company and  related bodies corporate Employees Dividends OPERATING AND FINANCIAL REVIEW Operating review CORPORATE INFORMATION Corporate Structure Page 4 Benitec Biopharma Ltd  Annual Report 2014 Principal Activities The Group had 13 employees as at 30 June 2014 (2013: 7 employees).  No dividends in respect of the current or previous financial year have  been paid, declared or recommended for payment. At the date of this report, the interest of the Directors in the shares  and options of Benitec Biopharma Limited were: Benitec’s ddRNAi approach is significantly different to other gene  silencing methodologies: it induces the target cell to continuously  manufacture specific silencing molecules resulting in long term  silencing of the disease-associated gene after just a single treatment.  While there are other technologies for inhibiting gene activity, in  most cases these treatments must be regularly re-administered. It is  believed that only ddRNAi is able to achieve long-term gene silencing  from a single treatment administration. The key elements of Benitec’s strategy to generate a competitive and  appropriate return for stakeholders are to: * A resolution to consolidate the Company’s securities (shares,  options and warrants) was approved at the General Meeting on 17  July 2013. The securities consolidation was on a 25:1 basis meaning  that shareholders have 1 consolidated security for every 25 securities  held before Friday 19 July 2013. Capital raisings and securities  consolidation are referred to on page 12.  Unless otherwise stated, all numbers of securities in this document  are after the 19 July 2013 consolidation.  Benitec Biopharma Limited (‘the Company’ or ‘Benitec’) is a company  limited by shares and is incorporated and domiciled in Australia. The  Company has prepared a consolidated financial report incorporating  the entities that it controlled during the financial year (‘the Group’),  which are described in note 11 of the financial statements. Benitec Biopharma Limited is an ASX-listed biotechnology company  (ASX: BLT, OTC: BTEBY) based in Sydney, Australia. The company  has a pipeline of in-house and partnered therapeutic programs  based on its patented gene-silencing technology, ddRNAi. Benitec  is developing treatments for chronic and life-threatening human  conditions such as Hepatitis C, Hepatitis B, wet age-related macular  degeneration, cancer-associated pain, drug resistant lung cancer  and oculopharyngeal muscular dystrophy based on this technology.  In addition, Benitec has licensed ddRNAi technology to other  biopharmaceutical companies who are progressing their programs  towards the clinic for applications including HIV/AIDS, retinitis  pigmentosa and Huntington’s disease. Benitec generates revenue from  licensing its technology and research and development grants.  The principal activities of the Group during the year were progressing  programs through the clinic, the commercialisation of Benitec’s unique  Intellectual Property, development of the Company’s therapeutic  pipeline and pre-clinical programs, funding, and protection and  building the IP estate.  •  Validate that ddRNAi will be safe and effective in a clinical  setting. The Company has made substantial progress towards this  goal, namely: –  In late May 2014, the Duke Medical Research Unit,  commenced dosing in the Company’s “first-in-man” clinical  trial of its hepatitis C virus (HCV) treatment, TT-034.  Demonstrating its safety and efficacy should be a significant  value inflection point in addition to “validating” ddRNAi as a  transformational platform for targeting multiple diseases. This  would be expected to enhance interest from pharmaceutical  companies in collaborating with Benitec on developing  ddRNAi therapies in areas of mutual interest.  –  In December Benitec’s collaborator, University of NSW  Children’s Cancer Institute, was able to confirm increased  survival in a preclinical in-vivo lung cancer model. The  Company filed a pre-pre IND submission with the US Food and  Drug Administration (FDA) to discuss options for preclinical  toxicology testing.  •  Optimise the Company’s share register by consolidating the  number of shares issued and expanding the number of institutional  investors.  –  In July 2013 Benitec announced a 25:1 consolidation of the  Company’s stock. The post consolidation share price of $0.27.5  has been significantly improved on the company trading above  $1.00 for the majority of 2014.  –  In February 2014 Benitec announced that the company had  completed a $31.5M private placement which included US  and international institutional investors including: RA Capital  Management, Perceptive Advisors, Special Situation Funds  and Sabby Management.  –  In June 2014 Benitec advised it had established a sponsored  Level 1 American Depositary Receipt (ADR) program facility  trading in the Over-The-Counter (OTC) market in the United  States. The Benitec ticker for the ADR is: BTEBY. The primary  benefit of the ADR program is to widen the secondary capital  market for the Company allowing Benitec shares to be traded  more easily for U.S. investors.  Director  Number of Number of Options over  Ordinary Shares Ordinary Shares  (*after the July 2014  (*after the July 2014 securities consolidation)  securities consolidation) Mr Peter Francis  327,250  1,716,924 Dr Peter French  342,554  2,849,231 Mr Kevin Buchi  615,385  646,154 Dr John Chiplin  263,020  410,563 Mr Iain Ross  66,364  407,500