Document:

EXHIBIT 4.3

 

Exhibit 4.3

Commonwealth Bank

Commonwealth Bank of Australia

ABN 48 123 123 124

					
	 	 	 	 	 
	GPO Box 2719

Sydney

New South Wales 2001
	 	Telephone: (02) 9378 2000

Facsimile: (02) 9378 3317
	 	D V Murray

Chief Executive Officer

28 April 2003

Strictly Confidential

Mr. John O’Sullivan

Freehills

Level 32 MLC Centre

19-29 Martin Place

Sydney NSW 2000

Dear John

I am pleased to make to you an offer of employment in the Commonwealth
Bank, as set out below.

1. Position

Your initial role will be Group Deputy General Counsel. The Group General
Counsel has informed me that he will be retiring later in 2003. Upon his
retirement you will be appointed to the role of Group General Counsel. In
this role you will be responsible for advising the Chief Executive Officer and
the Board. Decisions relating to the work of the role and the incumbent will
be made by the Chief Executive Officer and the Board. Should the role no
longer report directly to the CEO and you elect to terminate the contract,
then Clause 6 of the contract would apply.

2. Reporting

The role of Group Deputy General Counsel reports to the Group General
Counsel. When you assume the role of Group General Counsel you will
report to me and will be a member of the Executive Committee.

3. Contract

Your employment would be under the CBA Group’s senior executive
employment conditions set out in the enclosed Form of Contract and
Remuneration Schedule.

 

 

4. Remuneration

A remuneration package, expressed on a total cost minus both incentives and
superannuation basis (TC-I-S), of $700,000 pa, reviewed annually, with the first
review as at 1 July 2004.

Superannuation contributions will be made by the Bank at 9% of your
“Superannuation Salary” initially $560,000 (80% of base TC-I-S), paid into the
Officer’s Superannuation Fund (OSF), membership of which is compulsory. A
member booklet is available on request.

The remuneration package includes an annual performance payment potential of up
to $500,000 determined according to performance benchmarks agreed between us
and reviewed with the remuneration package each year.

5. Equity Reward Plan

You will be invited to the Equity Reward Plan by way of an allocation of CBA
shares. The value of shares will aggregate approximately $1,000,000. The number
of shares will be determined by the market values around the time of issue.
Information about the Equity Reward Plan is enclosed. The initial allocation of
shares would be part of the 2003 grant.

6. Other Payments

The Bank would be prepared to guarantee a minimum bonus payment of $300,000 in
each of the first two full years of employment subject to your employment not
having been terminated on ground of negligence or misconduct. Additionally, the
Bank will make you a payment of $400,000 on acceptance of this offer, subject
to completion of conditions in paragraph 7 below, payable before 1 July 2003.

7. Other Conditions

This offer is subject to:

	•	 	acceptance of the remuneration arrangement and the Bank’s remuneration
policies;

	•	 	completion of the enclosed Pre-employment Declaration and Medical
Declaration;

	•	 	agreement to observe the Bank’s Statement of Professional Practice and
Clean Air Policy (no smoking on Bank premises); and

	•	 	commencement of duty not later than 30 June 2003.

2

 

8. Acceptance

This offer must be accepted within two months of receipt of this letter.

Yours sincerely

I accept the Bank’s offer of employment on the terms outlined and will commence
duty not later than 30 June 2003.

	 
	

	John O’ Sullivan

	28/4/03

3

 

All Blanks to be Completed

EMPLOYMENT AGREEMENT

BETWEEN

COMMONWEALTH BANK OF AUSTRALIA (the Bank)

(ABN 48 123 123 124)

AND

John O’Sullivan (Employee)

	1.	 	The the Bank agrees to employ the Employee and the Employee agrees to serve
the the Bank on the terms
and conditions of employment set out herein.
	 
	2.	 	This Agreement comes into effect on and from 30
June 2003.
	 
	3.	 	The Employee shall be employed as an executive of the the Bank and shall
serve at any location where the the Bank or one of its related bodies
operates.

	4.	(i)		 The Employee shall observe and be subject to the provisions of the the
Bank’s instructions except
as varied herein.

	 	(ii)	 	The the Bank owns all right, title and interest, including without
limitation, all industrial and
intellectual property rights, in all the Employee’s work product and any
discovery or invention or
process or improvement in procedure relating to that work product made or
discovered by the
Employee during the term of this Agreement whether solely or jointly
with others.
	 
	 	(iii)	 	The Employee will, if required by the Bank, execute such documents
and do such acts and
things as the Bank may require to effect the assignment to the the
Bank of
the industrial and
intellectual property rights in the Employee’s work product.
	 
	 	(iv)	 	Where the Employee’s work product includes intellectual property
rights of the Employee existing
prior to the Employee’s employment by the the Bank, the Employee shall notify
the the Bank of
those rights and grant the the Bank a licence to use that work product as the
the Bank sees fit,
including reproducing and making adaptations of or alterations to any part of
that work product, and without acknowledging the authorship or part authorship
of the work product.
	 
	 	(v)	 	The Employee must return to the the Bank at the time the Employee
ceases to work for the the Bank all originals and copies in any form (including
computer data) of all books, records and documents relating to the Employee’s
duties, functions and responsibilities as an employee of the the Bank.

	5.	 	This Agreement may be terminated.

	 	•	 	by agreement in writing between the parties at any time; or

	 	•	 	except in circumstances of misconduct, by four weeks’ written notice by either
party to the other party, the Bank may make a payment of an amount
equivalent to four weeks’
pay in lieu of notice.

	 	 	In either circumstance, reason for termination shall not be required.
	 
	6.	 	Where termination of employment is initiated by the the Bank other than for
misconduct or unsatisfactory performance, the the Bank will, in addition to payments made under Clause 13,
pay to the Employee compensation of an amount equivalent to 1.0 times
Gross Remuneration as set out
in the attached Annexure.
	 
	 	 	The the Bank will not be under any obligation to pay any further compensation
on termination other than as set out in this Clause.

 

 

All Blanks to be Completed

EMPLOYMENT AGREEMENT

BETWEEN

COMMONWEALTH BANK OF AUSTRALIA (the Bank)

(ABN 48 123 123 124)

AND

John O’Sullivan (Employee)

	1.	 	The the Bank agrees to employ the Employee and the Employee agrees to serve
the the Bank on the terms
and conditions of employment set out herein.
	 
	2.	 	This Agreement comes into effect on and from 30
June 2003.
	 
	3.	 	The Employee shall be employed as an executive of the the Bank and shall
serve at any location where the the Bank or one of its related bodies
operates.

	4.	(i)		 The Employee shall observe and be subject to the provisions of the the
Bank’s instructions except
as varied herein.

	 	(ii)	 	The the Bank owns all right, title and interest, including without
limitation, all industrial and
intellectual property rights, in all the Employee’s work product and any
discovery or invention or
process or improvement in procedure relating to that work product made or
discovered by the
Employee during the term of this Agreement whether solely or jointly
with others.
	 
	 	(iii)	 	The Employee will, if required by the the Bank, execute such documents
and do such acts and
things as the the Bank may require to effect the assignment to the
the Bank of the
industrial and
intellectual property rights in the Employee’s work product.
	 
	 	(iv)	 	Where the Employee’s work product includes intellectual property
rights of the Employee existing
prior to the Employee’s employment by the the Bank, the Employee shall notify
the the Bank of
those rights and grant the the Bank a licence to use that work product as the
the Bank sees fit,
including reproducing and making adaptations of or alterations to any part of
that work product, and without acknowledging the authorship or part authorship
of the work product.
	 
	 	(v)	 	The Employee must return to the the Bank at the time the Employee
ceases to work for the the Bank all originals and copies in any form (including
computer data) of all books, records and documents relating to the Employee’s
duties, functions and responsibilities as an employee of the the Bank.

	5.	 	This Agreement may be terminated.

	 	•	 	by agreement in writing between the parties at any time; or
	 
	 	•	 	except in circumstances of misconduct, by four weeks’ written notice by either party to the other
party, the Bank may make a payment of an amount equivalent to four
weeks’
pay in lieu of notice.

	 	 	In either circumstance, reason for termination shall not be required.

	6.	 	Where termination of employment is initiated by the the Bank other than for
misconduct or unsatisfactory
performance, the the Bank will, in addition to payments made under Clause 13,
pay to the Employee
compensation of an amount equivalent to 1.0 times Gross
Remuneration as set out
in the attached Annexure.

	 	 	The the Bank will not be under any obligation to pay any further compensation
on termination other than as set out in this Clause.

 

 

	7.	 	Cash remuneration and other benefits constituting the Gross Remuneration
package to which the
Employee is entitled under this Agreement, are scheduled in the Annexure
All Figures are expressed on an annual equivalent basis.
	 
	8.	 	The Cash component of the Employee’s Gross Remuneration Package shall be
paid on a fortnightly basis,
each fortnight representing 14/365 of the value shown in the Annexure.
	 
	9.	 	The-Gross Remuneration package as set out in the Annexure shall be
reviewed annually by the the Bank,
having regard to the Employee’s work performance and market rates of
remuneration.
	 
	 	 	Any variation to the Gross Remuneration package agreed as a result of such
a review will be documented
by completion of a fresh Annexure, signed by both parties. In the absence
of agreement, the then existing
Gross Remuneration package will continue to apply.
	 
	10.	 	The Employee shall be entitled to retire from the the
Bank’s service at any time after attaining age 55.
	 
	 	 	Retirement on the grounds of physical or mental incapacity may be
approved, or effected, by the the Bank at any age where it is satisfied
that medical evidence warrants that action.
	 
	 	 	The Employee agrees to give the Bank 6 months notice of Intention retire.
	 
	11.	 	The Employee must be a member of the Officers’ Superannuation Fund.
	 
	12.	 	The Employee’s remuneration shall be regarded as satisfying their
entitlements other than the following:

	 	•	 	Annual leave – annual leave will accrue at the rate of
20 days per annum.
Accrued annual leave
cannot be more than 30 days at any point for executive. A minimum 10
days annual leave must be
taken each year.
	 
	 	•	 	Long service leave – accrual will be in accordance with the the Bank’s
normal actual rate. Long
Service leave on half pay is not available to executives.
	 
	 	•	 	Personal illness or injury - paid leave on account of genuine
and personal illness or injury is available in accordance with the the Bank’s staff policy.
	 
	 	•	 	Parental leave -
	 
	 	 	 	6 weeks paid maternity leave/adoption leave applies where a female
executive has at least 52
weeks continuous service.
	 
	 	 	 	With at least 52 weeks continuous service, 1 weeks paid paternity
leave for male executives applies.
	 
	 	 	 	For all executives, up to 52 weeks unpaid parental leave applies to
the primary
care-giver, in accordance with the the Bank’s staff policy. (Any paid
parental leave, where
applicable, is included in this quantum.)

	 	 	Authorised expenses will be reimbursed in accordance with the the Bank’s
Policy.
	 
	13.	 	Upon termination of this Agreement, the calculation of payments in lieu of
accrued but unused annual and
long service leave entitlements shall be based on the Gross Remuneration
amount as shown in the attached
Annexure.
	 
	14.	 	Any variation to this Agreement agreed between the parties shall be in
writing.

	 	 	 	 	 
	SIGNED by the said

	 	/s/ John O Sullivan
	 	28/4/03

	JOHN O SULLIVAN

	 	 	 	Date
	 
	 	 	 	 
	SIGNED for and on behalf of

	 	/s/ Carol Limmer
	 	28/4/03

	COMMONWEALTH BANK OF AUSTRALIA

	 	 	 	Date

2

 

	 	 	 	 	 
	EMPLOYEE REMUNERATION SCHEDULE

	 	Page No.: 1
	 	 
	

	 	Run Date:	 	 
	

	 	Run Time:	 	 

	 	 	 
	EmplID:
	 	 
	Name:    O’Sullivan, John
	 	 
	 
	 	 
	Department/Branch: 000123

	 	LEGAL DEPARTMENT NSW
	 
	 	 
	Status: Proposed

	 	Confirmed: No
	Effective Date:

	 	Model-No: 0

	 	 	 	 	 
	GROSS REMUNERATION (Total Package Value):

	 	 	         $700,000.00	 
	 
	 	 	 	 
	 
	 	 	 	 
	Pkg Cash Salary

	 	 	$700,000.00	 
	 
	 	 	 	 
	 
	 	 	 	 
	SUPERANNUATION
	 	 	 	 
	Pkg OSF Division F
	 	 	 	 
	Cost of Employer provided Superannuation
	 	 	 	 
	(Notional for Defined Benefits Superannuation)

	 	 	         $50,400.00	 

	 	 	 	 	 
	Salary for Superannuation purpose:

	 	$	560,000.00	 

	 	 	 	 	 	 	 	 	 	 	 	 	 
	Pay Frequency	 	Cash Salary (Gross)	 	Tax	 	Cash Salary (Net
	 	 	 	 	 	 	 	 	 	 	Before Deductions)
	Yearly
	 	$	700,000.00	 	 	$	326,880.00	 	 	$	373,120.00	 
	Fortnightly
	 	$	26,849.31	 	 	$	12,537.86	 	 	$	14,311.45	 

	 	 	 
	/s/ John O’Sullivan

	 	/s/ Carol Limmer

	
Employee Signature

	 	Bank Representative SignatureEXHIBIT 4.4

 

Exhibit 4.4

PRIVATE AND CONFIDENTIAL

17 June 2004

Mr G A Petersen 
Executive General Manager

Commonwealth and Colonial Products 

Investment & Insurance Services

Dear

Further to our recent discussions I am pleased to offer you the Level 6 role of
Group Executive, Group Strategic Development, to take effect today. In this
role you will report to me and will be a member of the Bank’s Executive
Committee. Your current terms and conditions will remain the same with the
exception of remuneration and notice period.

Your new remuneration arrangements will be:

	 	 	 	 	 
	Base(TC-l-S)
	 	$	475,000	 
	Superannuation
	 	 	34,200	 
	Fixed Remuneration
	 	 	509,200	 
	STI Potential (80%)
	 	 	380,000	 
	Fixed plus STI Potential
	 	 	889,200	 
	LTI Potential
	 	 	625,000	 
	Total Potential Remuneration
	 	$	1,514,200	 

These remuneration arrangements will be effective from 1 June 2004 with the LTI
grant applying as part of the 2004 remuneration review. The notice period in
your contract will revert to four weeks, consistent with executives in similar
roles. Your next annual remuneration review will be as at 1 July 2005.

The performance benchmarks against which the annual STI payment will be
measured will be on a basis agreed between us.

Grahame, I look forward to your acceptance of this significant career move and
working closely with you on our major strategic challenges.

Kind regards

     

 

 

All Blanks to be completed

EMPLOYMENT AGREEMENT

BETWEEN

COMMONWEALTH BANK OF AUSTRALIA (the Bank)

(ABN 48 123 123 124)

AND

Grahame Petersen(Employee)

	1.	 	Where the Employee is employed by the Bank immediately preceding date of
this Agreement, the Employee and the Bank agree to vary terms and conditions of employment to those set out
herein.
	 
	2.	 	Where the Employee is not employed by the Bank immediately preceding date
of this Agreement, the Bank agrees to employ the Employee and the Employee agrees to serve the Bank on
the terms and conditions of employment set out herein.
	 
	3.	 	This Agreement comes into effect on and from 1 June 2004.
	 
	4.	 	The Employee shall be employed as an executive of the Bank and shall
serve at any location where the Bank or
one of its related bodies operates.

	5.	(i)	   The Employee shall observe and be subject to the provisions of
the Bank’s instructions except as varied
herein.

	 	(ii)	 	The Bank owns all right, title and interest, including
without limitation, all industrial and intellectual property
rights, in all the Employee’s work product and any discovery or
invention or process or improvement in procedure relating to that
work product made or discovered by the Employee during the term
of this Agreement whether solely or jointly with others.
	 
	 	(iii)	 	The Employee will, if required by the Bank, execute such
documents and do such acts and things as the Bank may require to
effect the assignment to the Bank of the industrial and intellectual
property rights in the Employee’s work product.
	 
	 	(iv)	 	Where the Employee’s work product includes intellectual
property rights of the Employee existing prior to the Employee’s
employment by the Bank, the Employee shall notify the Bank of
those rights and grant the Bank a licence to use that work
product as the Bank sees fit, including reproducing and making
adaptations of or alterations to any part of that work product,
and without acknowledging the authorship or part authorship of
the work product.
	 
	 	(v)	 	The Employee must return to the Bank at the time the
Employee ceases to work for the Bank all originals and copies in
any form (including computer data) of all books, records and
documents relating to the Employee’s duties, functions and
responsibilities as an employee of the Bank.

	6.	 	This Agreement may be terminated -

	 	•	 	by agreement in writing between the parties at any time; or
	 
	 	•	 	except in circumstances of misconduct, by four weeks’ written notice by either party to the other party.
Bank may make a payment of an amount equivalent to four weeks’ pay in
lieu of notice.

	 	 	In either circumstance, reason for termination shall not be required.

L4+(SE)–Internal Contract 11-03

 

	7.	 	Where termination of employment is initiated by the Bank other than for
misconduct or unsatisfactory
performance, the Bank will, in addition to payments made under Clause 15,
pay to the Employee compensation
of an amount equivalent to 0.50 times Base Remuneration as set out in the
Annexure.
	 
	 	 	The Bank will not be under any obligation to pay any further compensation
on termination other than as set out in this Clause or in Clause 8.
	 
	8.	 	This Clause applies only where the Employee was already employed by the
Bank immediately preceding the date
of this Agreement. In the case where the position occupied by the Employee becomes redundant and the Bank is
unable to place the Employee in an alternative position with the Bank or one of its related bodies, in keeping with
the Employee’s skills and experience, the compensation payment for the Employee will be calculated on the
basis of the greater of -

	 	 ̈	 	the amount of $221,104 (in addition to payments made under Clause 15); or
	 
	 	 ̈	 	an amount equivalent to 0.50 times  Base Remuneration as set out in the Annexure.

	 	 	Clause 7 does not apply in any case where a payment is made under this
Clause.
	 
	9.	 	Cash remuneration and other benefits, constituting the Base Remuneration
package to which the Employee is
entitled under this Agreement, are scheduled in the Annexure. All figures
are expressed on an annual equivalent
basis.
	 
	10.	 	The Cash component of the Employee’s Base Remuneration package shall be
paid on a fortnightly basis, each
fortnight representing 14/365 of the value shown in the Annexure.
	 
	11.	 	The Base Remuneration package to which the employee is entitled under
this Agreement shall be reviewed
annually by the Bank, having regard to the Employee’s work performance
and market rates of remuneration.
	 
	 	 	Any variation to the  Base Remuneration package determined by the Bank as a
result of such a review and any variation or adjustment to components
constituting the Base Remuneration package from time to time will be
documented by the Bank in a replacement Annexure An Annexure may stipulate
whether or not the Employee is required to return a signed copy of the
Annexure before it takes effect.
	 
	12.	 	The Employee shall be entitled to retire from the Bank’s service at any
time after attaining age 55.
	 
	 	 	Retirement on the grounds of physical or mental incapacity may be
approved, or effected, by the Bank at any age where it is satisfied that
medical evidence warrants that action.
	 
	 	 	The Employee agrees to give the Bank 6 months notice of intention to
retire.
	 
	13.	 	The Employee must be a member of the Officers’ Superannuation Fund.
	 
	14.	 	The Employee’s remuneration shall be regarded as satisfying their
entitlements other than the following:

	 	 ̈	 	Annual leave – annual leave will accrue at the rate of 20 days per annum. From 31 March 2004 accrued
annual leave cannot be more than 30 days as at 31 March each year. A minimum 10 days annual leave
must be taken each year.
	 
	 	 ̈	 	Long service leave – accrual will be in accordance with the Bank’s normal accrual rate. Long service
leave on half pay is not available to executives.
	 
	 	 ̈	 	Personal illness or injury – paid leave on account of genuine and personal illness or injury is available
in accordance with the Bank’s staff policy.
	 
	 	 ̈	 	Parental Leave -
	 
	 	 	 	12 weeks paid maternity leave applies where a female executive
has at least 52 weeks continuous service.
	 
	 	 	 	With at least 52 weeks continuous service, 1 weeks paid paternity
leave for male executives applies.

L4+(SE)–Internal Contract 11-03

2

 

	 	 	 	For all executives, 6 weeks paid adoption leave applies to the
primary care-giver where they have at least 52 weeks continuous
service.
	 
	 	 	 	For all executives, up to 52 weeks unpaid parental leave applies to
the primary care-giver, in accordance with the Bank’s staff policy.
(Any paid parental leave, where applicable, is included in this
quantum.)
	 
	 	 	 	Where the Employee was already employed by the Bank immediately
preceding the date of this Agreement, existing parental leave
entitlements will be retained.

	 	 	Authorised expenses will be reimbursed in accordance with the Bank’s
policy.
	 
	15.	 	Upon termination of this Agreement, the calculation of payments in lieu
of accrued but unused annual and long
service leave entitlements shall be based on the Base Remuneration amount
as shown in the Annexure.
	 
	16.	 	The term “Annexure” means the annexure attached to this Agreement or if a
replacement annexure has been
issued by the Bank pursuant to clause 11 of this Agreement, the most
recent replacement annexure that has
come into effect.
	 
	17.	 	Any variation to this Agreement agreed between the parties shall be in
writing.
	 
	18.	 	Any communication between the Bank and the Employee may be sent to either
party by written notice or by
secure email.

	 	 	 	 	 
	SIGNED by the said

	 	/s/  Grahame Peterson

	 	22/6/04

	

	 	 	 	Date
	 
	 	 	 	 
	SIGNED
for and on behalf of

	 	/s/  Carol Limmer

	 	18/6/04

	COMMONWEALTH BANK OF AUSTRALIA

	 	 	 	Date

L4+(SE)–Internal Contract 11-03

3

 

All Blanks to be completed

EMPLOYMENT AGREEMENT

BETWEEN

COMMONWEALTH BANK OF AUSTRALIA (the Bank)

(ABN 48 123 123 124)

AND

Grahame Petersen(Employee)

	1.	 	Where the Employee is employed by the Bank immediately preceding date of
this Agreement, the Employee and the Bank agree to vary terms and conditions of employment to those set out
herein.
	 
	2.	 	Where the Employee is not employed by the Bank immediately preceding date
of this Agreement, the Bank
agrees to employ the Employee and the Employee agrees to serve the Bank on
the terms and conditions of
employment set out herein.
	 
	3.	 	This Agreement comes into effect on and from 17
June 2004.
	 
	4.	 	The Employee shall be employed as an executive of the Bank and shall
serve at any location where the Bank or
one of its related bodies operates.

	5.	(i)	 	The Employee shall observe and be subject to the provisions of
the Bank’s instructions except as varied
herein.
	 
	 	(ii)	 	The Bank owns all right, title and interest, including
without limitation, all industrial and intellectual property
rights, in all the Employee’s work product and any discovery or
invention or process or improvement in procedure relating to that
work product made or discovered by the Employee during the term
of this Agreement whether solely or jointly with others.
	 
	 	(iii)	 	The Employee will, if required by the Bank, execute such
documents and do such acts and things as the Bank may require to
effect the assignment to the Bank of the industrial and
intellectual property rights in the Employee’s work product.
	 
	 	(iv)	 	Where the Employee’s work product includes intellectual
property rights of the Employee existing prior to the Employee’s
employment by the Bank, the Employee shall notify the Bank of
those rights and grant the Bank a licence to use that work
product as the Bank sees fit, including reproducing and making
adaptations of or alterations to any part of that work product,
and without acknowledging the authorship or part authorship of
the work product.
	 
	 	(v)	 	The Employee must return to the Bank at the time the
Employee ceases to work for the Bank all originals and copies in
any form (including computer data) of all books, records and
documents relating to the Employee’s duties, functions and
responsibilities as an employee of the Bank.

	6.	 	This Agreement may be terminated -

	 	 ̈	 	by agreement in writing between the parties at any time; or
	 
	 	 ̈	 	except in circumstances of misconduct, by four weeks’ written notice by either party to the other party.
Bank may make a payment of an amount equivalent to four weeks’ pay in
lieu of notice.

	 	 	In either circumstance, reason for termination shall not be required.

L4+(SE)–Internal Contract 11-03

 

	7.	 	Where termination of employment is initiated by the Bank other than for
misconduct or unsatisfactory
performance, the Bank will, in addition to payments made under Clause 15,
pay to the Employee compensation
of an amount equivalent to 0.50 times Base Remuneration as set out in the
Annexure.
	 
	 	 	The Bank will not be under any obligation to pay any further compensation
on termination other than as set out in this Clause or in Clause 8.
	 
	8.	 	This Clause applies only where the Employee was already employed by the
Bank immediately preceding the date
of this Agreement. In the case where the position occupied by the Employee becomes redundant and the Bank is
unable to place the Employee in an alternative position with the Bank or one of its related bodies, in keeping with
the Employee’s skills and experience, the compensation payment for the Employee will be calculated on the
basis of the greater of -

	 	 ̈	 	the amount of $221,104 (in addition to payments made under Clause 15); or
	 
	 	 ̈	 	an amount equivalent to 0.50 times Base Remuneration as set out in the Annexure.

	 	 	Clause 7 does not apply in any case where a payment is made under this
Clause.
	 
	9.	 	Cash remuneration and other benefits, constituting the Base Remuneration
package to which the Employee is
entitled under this Agreement, are scheduled in the Annexure. All figures
are expressed on an annual equivalent
basis.
	 
	10.	 	The Cash component of the Employee’s Base Remuneration package shall be
paid on a fortnightly basis, each
fortnight representing 14/365 of the value shown in the Annexure.
	 
	11.	 	The Base Remuneration package to which the employee is entitled under
this Agreement shall be reviewed
annually by the Bank, having regard to the Employee’s work performance
and market rates of remuneration.
	 
	 	 	Any variation to the Base Remuneration package determined by the Bank as a
result of such a review and any variation or adjustment to components
constituting the Base Remuneration package from time to time will be
documented by the Bank in a replacement Annexure An Annexure may stipulate
whether or not the Employee is required to return a signed copy of the
Annexure before it takes effect.
	 
	12.	 	The Employee shall be entitled to retire from the Bank’s service at any
time after attaining age 55.
	 
	 	 	Retirement on the grounds of physical or mental incapacity may be
approved, or effected, by the Bank at any age where it is satisfied that
medical evidence warrants that action.
	 
	 	 	The Employee agrees to give the Bank 6 months notice of intention to
retire.
	 
	13.	 	The Employee must be a member of the Officers’ Superannuation Fund.
	 
	14.	 	The Employee’s remuneration shall be regarded as satisfying their
entitlements other than the following:

	 	 ̈	 	Annual leave – annual leave will accrue at the rate of 20 days per annum. From 31 March 2004 accrued
annual leave cannot be more than 30 days as at 31 March each year. A minimum 10 days annual leave
must be taken each year.
	 
	 	 ̈	 	Long service leave – accrual will be in accordance with the Bank’s normal accrual rate. Long service
leave on half pay is not available to executives.
	 
	 	 ̈	 	Personal illness or injury – paid leave on account of genuine and personal illness or injury is available
in accordance with the Bank’s staff policy.
	 
	 	 ̈	 	Parental Leave -
	 
	 	 	 	12 weeks paid maternity leave applies where a female executive
has at least 52 weeks continuous service.
	 
	 	 	 	With at least 52 weeks continuous service, 1 weeks paid paternity
leave for male executives applies.

L4+(SE)–Internal Contract
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2

 

	 	 	 	For all executives, 6 weeks paid adoption leave applies to the
primary care-giver where they have at least 52 weeks continuous
service.
	 
	 	 	 	For all executives, up to 52 weeks unpaid parental leave applies to
the primary care-giver, in accordance with the Bank’s staff policy.
(Any paid parental leave, where applicable, is included in this
quantum.)
	 
	 	 	 	Where the Employee was already employed by the Bank immediately
preceding the date of this Agreement, existing parental leave
entitlements will be retained.

	 	 	Authorised expenses will be reimbursed in accordance with the Bank’s
policy.
	 
	15.	 	Upon termination of this Agreement, the calculation of payments in lieu
of accrued but unused annual and long
service leave entitlements shall be based on the Base Remuneration amount
as shown in the Annexure.
	 
	16.	 	The term “Annexure” means the annexure attached to this Agreement or if a
replacement annexure has been
issued by the Bank pursuant to clause 11 of this Agreement, the most
recent replacement annexure that has
come into effect.
	 
	17.	 	Any variation to this Agreement agreed between the parties shall be in
writing.
	 
	18.	 	Any communication between the Bank and the Employee may be sent to
either party by written notice or by
secure email.

	 	 	 	 	 	 	 	 	 
	SIGNED by the said

	 	 	/s/ Grahame Peterson

	 	 	 	22/6/04
	 
	

	 	 	 	 	 	 	Date	 
	 
	 	 	 	 	 	 	 	 
	SIGNED for and on behalf of

	 	 	/s/ Carol Limmer

	 	 	 	18/6/04 
	 
	COMMONWEALTH BANK OF AUSTRALIA

	 	 	 	 	 	 	Date	 

L4+(SE)–Internal Contract
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3

 

STRICTLY CONFIDENTIAL

24 August 2004

Mr Grahame Petersen

Group Executive

Group Strategic Development

Dear Grahame,

Remuneration

Further to my letter of 17 June 2004 confirming your appointment to the role of
Group Executive, Group Strategic Development, I have reviewed your remuneration
arrangements in conjunction with the remuneration outcomes for other Group
Executives.

As a consequence, I have increased your Short Term Incentive (STI) Potential to
100% of your Fixed Remuneration, which is more in line with the mix of
remuneration at your level.

Details of your remuneration from 1 July 2004 have changed to -

	 	 	 	 	 
	Base Remuneration (TC-I-S)
	 	$	475,000	 
	Superannuation
	 	$	34,200	 
	Fixed Remuneration
	 	$	509,200	 
	STI Potential
	 	$	509,200	 
	LTI Potential
	 	$	625,000	 
	Potential TER
	 	$	1,643,400	 

Yours sincerely

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00075-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00075-of-00352.parquet"}]]