Lendlease Annual Report 2022

84 Lendlease Annual Report 2022 Maximum Remuneration Mix Maximum remuneration mix for the Global CEO and Executives (excluding the Group Chief Risk Officer 1 ) is as follows: Performance Based 24% 33% Cash 16.5% Deferred 16.5% Fixed Remuneration Maximum STA Maximum LTA ROE 14.3% FUM 14.3% Relative TSR 14.3% 43% 1 The remuneration mix for the Group Chief Risk Officer is: 28% Fixed Remuneration, 31% Maximum STA and 41% Maximum LTA. Adjustments were made to our Executive Reward Strategy from 1 July 2021 which included a rebalance of the remuneration mix and implementing STA deferral. We have retained features that reflect the long dated nature of the business, such as the LTA vesting over years 3 to 6 and delivering a significant proportion of remuneration in equity. • 76 per cent of Total Maximum Remuneration is performance based. • 59 per cent of Total Maximum Remuneration is delivered in deferred equity Key Changes from FY21 Change Rationale Removal of RSA • Increases proportion of remuneration subject to performance Implementation of STA deferral • Maintains focus on building Executive securityholdings and alignment with securityholder experience STA simplification • Reduce number of measures in the STA to focus on the short term measures with the biggest impact on long term business success Grant LTA at maximum • Reduces complexity and increases transparency in disclosures • Aligned with market practice so easily comparable Recalibrate LTA vesting schedule • Straight line vesting between threshold and maximum increases simplicity Update LTA leaver provisions • The updates made for LTA granted from 2022 onwards to lapse unvested awards upon resignation (including non-competitor) and pro-rate unvested awards for good leavers are aligned with market practice Reset remuneration mix (increase STA, reduce LTA) • Accounts for removal of RSA, and implementation of STA deferral • Acknowledges securityholder concerns around LTA maximum quantum • Increases proportion of remuneration subject to performance • Maintains long dated nature of Executive Reward Strategy, relative to market peers Please refer to the FY21 Remuneration Report for details of the RSA (previously referred to as the LTA Minimum).