Shanxi Taigang Stainless Steel Co.Ltd(000825)
Measures for performance evaluation of A-share restricted stock incentive plan in 2021
In order to ensure the smooth implementation of Shanxi Taigang Stainless Steel Co.Ltd(000825) (hereinafter referred to as the "company") A-share restricted stock incentive plan in 2021 (hereinafter referred to as the "incentive plan"), ensure that the granting and lifting of restrictions meet the actual management needs of the company, form a good and balanced value distribution system, and ensure the fairness and effectiveness of the incentive plan, according to relevant national regulations and the actual situation of the company, The performance appraisal measures are hereby formulated.
1、 Assessment principle
1. The assessment system and methods are open, and the assessment process is procedural and standardized.
2. The assessment indicators shall be quantified as much as possible, and the definition and measurement method of the indicators shall be clearly defined. For behavior indicators that are difficult to quantify, objective evaluation shall be carried out through result description and key event recording. 3. The appraisal indicators and results must be communicated and confirmed with the appraisee. If the appraisee has any objection to the appraisal results, he can feed back to the performance appraisal organization department of the company or the superior competent unit.
4. The assessment of equity incentive adheres to the principle of combining the company's interests with personal incentive, and combining personal work performance with quality and ability.
2、 Assessment scope
The assessment scope of the measures is the incentive objects determined in the incentive plan, including:
1. Directors and senior management of the company (excluding independent directors, supervisors and external directors held by personnel other than the holding company of the company);
2. Middle management of the company;
3. The company's core technical skill personnel.
3、 Assessment organization
The remuneration and assessment committee of the board of directors of the company is responsible for leading and organizing the assessment.
4、 Assessment system
The performance evaluation of various incentive objects shall be carried out according to the specific provisions of the company's corresponding assessment methods.
5、 Assessment system
(i) Company level performance appraisal
1. Performance evaluation conditions for lifting sales restrictions
The performance assessment objectives for the lifting of restrictions on the sale of restricted shares are shown in the table below:
Performance evaluation conditions for lifting the sales restriction period
The return on net assets in 2022 shall not be less than 10% and not less than 75 points of the benchmarking enterprise
Bit value; Taking 2020 as the base year, the total profit in 2022 (excluding non operating expenses)
first
The compound growth rate of recurring profit and loss) shall not be less than 35% and not less than 75% of the benchmark enterprise
Lifting the sales restriction period
Quantile value; In 2022, the annual EVA assessment target set by the board of directors of the company will be completed, and the EVA improvement value (compared with 2020) will not be less than 1.91 billion.
The return on net assets in 2023 shall not be less than 11%, and not less than 75 points of the benchmarking enterprise
Bit value; Taking 2020 as the base year, the total profit in 2023 (excluding non profit)
the second
The compound growth rate of recurring profit and loss) shall not be less than 25%, and shall not be less than 75% of the benchmark enterprise
Lifting the sales restriction period
Quantile value; In 2023, the annual EVA assessment target set by the board of directors of the company will be completed, and the EVA improvement value (compared with 2020) will not be less than 2.14 billion.
The return on net assets in 2024 shall not be less than 12%, and not less than 75 points of the benchmarking enterprise
Bit value; Taking 2020 as the base year, the total profit in 2024 (excluding non profit)
Third
The compound growth rate of recurring profit and loss) shall not be less than 25%, and shall not be less than 75% of the benchmark enterprise
Lifting the sales restriction period
Quantile value; In 2024, the annual EVA assessment target set by the board of directors of the company will be completed, and the EVA improvement value (compared with 2020) will not be less than 2.98 billion.
Note: 1 The return on net assets is the weighted average return on net assets attributable to the shareholders of the listed company after deducting non recurring profits and losses; 2. In addition to the above performance appraisal indicators, the board of directors may adjust the proportion of sales restriction lifting in the corresponding performance appraisal year according to the completion of relevant internal appraisal indicators.
2. Benchmarking enterprise selection
The company's main products are ordinary steel and special steel. Therefore, the following listed companies with comparable scale belonging to Shenwan ordinary steel and special steel industry (the top 20 and no less than 10 billion yuan in net assets attributable to the parent) are selected as the benchmark enterprises, as follows:
Securities code securities abbreviation securities code securities abbreviation
600019.SH Baoshan Iron & Steel Co.Ltd(600019) 000761. SZ Bengang Steel Plates Co.Ltd(000761)
000898.SZ Angang Steel Company Limited(000898) 600022. SH Shandong Iron And Steel Company Ltd(600022)
600010.SH Inner Mongolia Baotou Steel Union Co.Ltd(600010) 000778. SZ Xinxing Ductile Iron Pipes Co.Ltd(000778)
000709.SZ Hbis Company Limited(000709) 601005. SH Chongqing Iron & Steel Company Limited(601005)
000932.SZ Hunan Valin Steel Co.Ltd(000932) 002110. SZ Sansteel Minguang Co.Ltd.Fujian(002110)
Securities code securities abbreviation securities code securities abbreviation
000959.SZ Beijing Shougang Co.Ltd(000959) 600126. SH Hang Zhou Iron & Steel Co.Ltd(600126)
600808.SH Maanshan Iron & Steel Company Limited(600808) 600307. SH Gansu Jiu Steel Group Hongxing Iron And Steel Co.Ltd(600307)
000708.SZ Citic Pacific Special Steel Group Co.Ltd(000708) 601003. SH Liuzhou Iron&Steel Co.Ltd(601003)
600782.SH Xinyu Iron & Steel Co.Ltd(600782) 600569. SH Anyang Iron & Steel Inc(600569)
600282.SH Nanjing Iron & Steel Co.Ltd(600282) 000717. SZ Sgis Songshan Co.Ltd(000717)
Note: in the process of lifting the sales restriction performance evaluation, the performance fluctuation of the above benchmarking samples is too large, and there are statistical abnormal values, that is, the values obviously deviate from most of the values of the benchmarking samples, resulting in the weakening of the evaluation significance of the benchmarking. The board of directors of the company can remove, replace or add relevant samples to reflect the authenticity of the benchmarking evaluation.
3. Handling of failure to achieve performance assessment objectives during the lifting of sales restrictions
If the performance evaluation target of the lifting of the restriction period in any evaluation year of the incentive plan is not achieved, the company will repurchase all restricted shares in the corresponding performance evaluation year according to the lower value of the grant price and market price.
（2） Individual performance appraisal of incentive object
1. Assessment indicators include work performance and ability. Job performance evaluation mainly includes job quality, job effectiveness, job innovation, job satisfaction and so on. Competency evaluation refers to the quality required by employees to produce excellent performance in their own posts. The actual performance of work performance indicators comes from the audited financial statements of the company and the data provided by relevant functional departments; The actual performance of competency indicators comes from the actual performance and key cases in business activities. Set different weights and scoring systems according to various indicators, and determine the weighted comprehensive score of incentive objects according to the score of each indicator.
2. The company determines the actual proportion of lifting the sales restriction in the current year according to the individual annual performance evaluation results of the incentive object. The individual actual amount of lifting the sales restriction in the current period = individual performance evaluation coefficient × The individual may lift the sales restriction limit in the current period (determined according to the proportion of lifting the sales restriction in the corresponding performance evaluation year approved by the board of directors). Special circumstances in performance evaluation shall be decided by the board of directors of the company. The corresponding relationship between performance evaluation results and evaluation coefficient is as follows:
Assessment results AAA, AA, ABC
Personal performance appraisal coefficient 1.00.80
3. If the company level performance appraisal fails to meet the standards or the individual level performance appraisal fails to meet the conditions for lifting the restrictions on sales in the current period, the corresponding restricted shares shall not be lifted or deferred to the next period, and the company shall repurchase them according to the lower value of the grant price and the market price of the shares.
6、 Feedback and application of assessment results
1. The examinee has the right to know his own assessment results. The company shall notify the examinee of the assessment results within 10 working days after the end of the assessment.
2. If the examinee has any objection to the assessment results, he can appeal to the company within five working days after receiving the assessment notice. The company can review the assessment results according to the actual situation and correct the assessment results according to the review results.
3. The assessment results shall be used as the basis for the lifting of restrictions on the sale of restricted shares.
7、 Assessment process
1. The company and its subordinate units determine the annual performance objectives of each unit and each appraisee according to the management authority and the decomposition of annual business objectives. Each unit and each appraisee take this as the basis for annual performance appraisal.
2. At the end of each year or at the beginning of the next year, the company shall organize relevant departments to assess the incentive objects. 3. The human resources department is responsible for the unified summary, verification and analysis of the assessment data and the formation of the assessment report. 8、 Supplementary Provisions
1. The specific assessment indicators shall be formulated according to the performance evaluation and management system applicable to the incentive object.
2. These measures have been deliberated and adopted by the general meeting of shareholders of the company and implemented since the incentive plan came into force. The board of directors of the company is responsible for formulating, interpreting and revising them.
Shanxi Taigang Stainless Steel Co.Ltd(000825) board of directors December 30, 2021
