Business
Grupo Cibest S A : Proposal for the compensation of the members of the Boards of Directors of Bancolombia S.A. and Grupo Cibest S.A. (Proposal for the compensation of the members of the Boards of Directors of Bancolombia and Grupo Cibest)
Grupo Cibest S A : Proposal for the compensation of the members of the Boards of Directors of Bancolombia S.A. and Grupo Cibest S.A. (Proposal for the
About this update from Grupo Cibest S.a.
4. Proposal for the compensation of the members of the Boards of Directors of Bancolombia S.A. and Grupo Cibest S.A. The Good Governance Committee requested the Management to conduct an analysis to determine the compensation for the concurrent members of the Board of Directors of Bancolombia S.A. and Grupo Cibest S.A., considering that the Boards of Directors of these companies will hold joint sessions. Management engaged Kearney, an external advisor that carried out a benchmarking process of best practices in board compensation among leading global business groups, to perform the analysis requested by the Good Governance Committee. The analysis considered, among other factors, the total hours dedicated to each session, the percentage of time required for each Board, the responsibilities assumed, and the percentage of additional hours required by concurrent members for preparation and attendance at the Bank's Board meetings. In line with Kearney's recommendation, the following is proposed to the Bank's General Shareholders' Meeting: To pay the members of the Board of Directors of Bancolombia S.A. who concurrently serve on the Board of Directors of Grupo Cibest S.A. an additional 25% of the monthly compensation paid to the Board of Directors of Bancolombia S.A., in recognition of their individual responsibilities for each Board and the additional time dedicated to the preparation, analysis, and discussion of matters related to the Bank's Board. In accordance with the current policy, 70% of the Board compensation is paid in cash, and the remaining 30% is paid through a contribution to the Institutional Fund, whose sole investment is in the Bank's shares, and which is subject to a two (2) year holding period from the date of each respective contribution. Fixed monthly fees for concurrent members of the Board of Directors in the amount of: COP $12,100,000 x 25% = COP $3,025,000 Fixed monthly fees for the Chairman of the Board who serves concurrently: COP $15,700,000 x 25% = COP $3,925,000