FGV Annual Report 2017

FELDA GLOBAL VENTURES HOLDINGS BERHAD FINANCIAL STATEMENTS 298 NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2017 52 LONG TERM INCENTIVE PLAN (CONTINUED) The salient features of the LTIP are as follows: (continued) (b) The LTIP Committee shall decide from time to time at its absolute discretion to determine or vary the terms and conditions of the offer, such as eligibility criteria and allocation in each grant, the timing and frequency of the award of the grant, the performance target and/or performance conditions to be met prior to the offer and vesting of the grant and the vesting period; (c) The total number of new shares that may be offered under the LTIP at any time shall be at the absolute discretion of the LTIP Committee; (d) In the event the total numbers of new shares that made available under the LTIP exceeds the maximum shares as a result of purchasing, cancelling or reducing issued and paid-up ordinary share capital in accordance with the provisions of the Companies Act, 1965 and/or undertakes any other corporate proposal resulting in the reduction of the total number of issued and paid-up ordinary share capital, all grants awarded prior to the said variation of the issued and paid-up ordinary share capital shall remain valid and may vest in accordance with the provisions of the LTIP as if that purchase, cancellation or reduction had not occurred. However, no additional offer shall be made unless the total number of new shares which may be acquired by the trustee and thereafter transferred to the grantees under the LTIP in respect of such grants shall fall below the maximum shares allowed. (e) The LTIP shall take effect on the effective date of the implementation of the LTIP and shall be in force for a period of 10 years commencing from 3 February 2016, being the effective date of implementation of the LTIP; and (f) The new shares to be transferred pursuant to the LTIP upon vesting thereof, shall rank equally in all respects with the then existing issued shares and the grant holders shall not be entitled to any dividends, rights, allotments, entitlements and/or other distributions, for which the book closure date is prior to the date of issue of the shares. During the financial year, 5,342,400 RS (2016: 859,800 RS) under the LTIP were granted to eligible employees of the Group. Subject to the terms and conditions of the By-Laws, the employees shall be awarded ordinary shares in the Company, after meeting the vesting conditions as set out in the letter of offer for the shares under the LTIP. All RS granted during the financial year were vested, other than those forfeited. The RS granted in previous financial year has a three years vesting period and the first vesting date was on 31 March 2017. Movement in the number of RS Grant under the LTIP is as follows: 2017 Grant date Number of shares grants over ordinary share Outstanding as at 1.1.2017 Granted Vested (Forfeited) Outstanding as at 31.12.2017 1 July 2016 814,500 - (209,200) (26,500) 578,800 12 July 2017 - 5,342,400 (5,080,300) (262,100) - 2016 2016 Grant date Number of shares grants over ordinary share Outstanding as at 1.1.2016 Granted Vested (Forfeited) Outstanding as at 31.12.2016 1 July 2016 - 814,500 - - 814,500