Remuneration Report LTI We received feedback from key stakeholders that the LTI structure lacked sufficient alignment to the shareholder experience. To address this, a range of performance measures were considered, with the Board ultimately identifying relative total shareholder return (rTSR) as the metric most aligned to shareholders’ interests. As such, rTSR (against two separate peer groups) will replace the Return on Invested Capital (ROIC) and Earnings Per Share (EPS) growth measures for the FY27 LTI awards. Delivering sustainable growth in financial performance and shareholder returns is a key focus, and rTSR encourages executives to remain focused and aligned with those key drivers. Minimum Security Holding Policy To reinforce the alignment between the interests of shareholders, Executives and Directors, and in response to feedback from stakeholders, our minimum security holding policy has been strengthened. Effective from 1 July 2026, executives and NEDs are more tightly restricted from selling CSL securities until the minimum security holding requirement has been met, and afterwards only to the extent that the requirement continues to be met. The only exceptions are to meet tax obligations relating to the grant of CSL securities under a CSL equity plan, or otherwise in exceptional circumstances where the Board may exercise its discretion. Further details of the executive remuneration framework changes to apply for FY27 are outlined in section 3. Remuneration in FY27 Executive KMP For FY27, the Board has determined to make an 8% increase in Fixed Reward for Mr Lim. This increase is aimed at keeping pace with movements in peer remuneration, noting that Mr Lim is currently positioned materially behind the market median for CSL's benchmarking peers. There will be no changes to the percentage opportunities of his STI or LTI. Aside from Mr Diego Sacristan, whose promotion took effect from 1 July 2026, there are no other Executive KMP remuneration changes planned for FY27. As and when the new CEO is appointed, the details of their remuneration package will be disclosed. NEDs For FY27, the Board has determined that there will be no increase to any Director Board or Committee fees. Director fees were last increased on 1 July 2024. Executive Remuneration Framework Outlook The Board will continue to monitor and review CSL’s remuneration framework so that it remains competitive in a global market and can attract and retain the highest quality talent to support delivery of its strategic and business priorities. This includes benchmarking our framework against our global pharmaceutical and biotechnology peers. Thank you to my fellow Human Resources and Remuneration Committee members for your contribution to the important work of the Committee, and thank you for supporting CSL and the patients and public health systems that we serve around the world. We welcome shareholder feedback on CSL's FY26 remuneration outcomes and FY27 framework changes. We would appreciate your support at our 2026 AGM. [CAMERON’S SIGNATURE] Mr Cameron Price Chair Human Resources and Remuneration Committee Directors’ Report Remuneration Report 2 FY26 Key Incentive Metrics NPATA1 (Impacts STI) CFO (Impacts STI) US$3,098M US$3,512M (2)% on prior year at constant currency (1)% on prior year Sustainability (Impacts STI) NPAT (Loss)1 (Impacts EPS in LTI) Impairments (Impacts EPS and ROIC in LTI) 4 of 6 US$(2,579)M US$7.1bn priorities achieved between threshold and target 1. Attributable to the shareholders of CSL Limited. 62 Directors’ Report
RkJQdWJsaXNoZXIy MjE2NDg3