BIMB Integrated Annual Report 2017

28 Intended Outcome Board decisions are made objectively in the best interests of the company taking into account diverse perspectives and insights. Practice 4.2 The tenure of an independent director does not exceed a cumulative term limit of nine years. Upon completion of the nine years, an independent director may continue to serve on the board as a non-independent director. If the board intends to retain an independent director beyond nine years, it should justify and seek annual shareholders’ approval. If the board continues to retain the independent director after the twelfth year, the board should seek annual shareholders’ approval through a two-tier voting process. Application : Applied. Explanation on application of the practice : The Company now has a policy that limits an Independent Director to a maximum tenure of nine (9) years. However, an Independent Director who has served for nine (9) years, may, subject to the Shareholder’s and BNM’s approval, continue to serve the Company as an Independent Non-Executive Director. In any event, no Independent Director will continue to serve the Board for more than 12 years.