At the AGM Sir John Parker, Chairman of Anglo American plc, made his remarks & said, ‘Turning to the people who make up Anglo American… I would like to thank all members of the Board for the guidance and assistance they have given me as Chairman – with a special mention for the Chairs of the Board’s various Committees, who have put in many extra hours of work over the course of the year.’
Volatile commodity markets and their effect on companies such as ours of course create a variety of remuneration outcomes. That is what our remuneration structures are designed for – to ensure appropriate alignment with shareholder interests, while also incentivising management through a balance between stretching management and making targets realistically achievable.
There has to be a mixture of measures focused on financial and relative market performance as well as non-financial metrics for other critical work that drives longer-term strategic success. I believe that our remuneration policy does strike that balance. However, as is the case every three years, we will be taking a fresh look at the policy during the next 12 months in order to put it to a fresh round of consultation with shareholders, followed by a vote at next year's AGM.
Anglo American is going to look a very different company in the years ahead. It will ultimately be more competitive, fit for purpose, with a stronger balance sheet, and with increased resilience to the vagaries of the commodity cycles. It remains a great company, with a world-class resource base, and some of the best assets and leading market positions in the world in diamonds, platinum group metals and copper.