Letter to 'The Australian' editor
16 October 2003
2 Holt Street
Surry Hills NSW
I refer to an article that appeared in this morning’s edition under the headline "News withdraws options deal" and would like to correct the statement made that the Commonwealth Bank was forced to withdraw option or pay deals which would have been put to its annual meeting.
At no time has the Bank withdrawn any proposals relating to executive remuneration or options. In fact, in regard to the issue of options, in the Bank’s Corporate Governance Statement issued by the Chairman on 22 August 2002, it said:
"From the beginning of this financial year (1 July 2002) options have been eliminated from the remuneration package of Executives and the total value of the long term incentives allocated under the Equity Reward Plan will be in the form of Reward shares. These shares only vest to the Executive provided the prescribed performance hurdles are met."
I would appreciate the position being clarified to your readers.