February 28, 2005

Management Development and Compensation Committee Charter – Example 2

One of the NYSE corporate governance requirements states that listed companies must have a compensation committee composed independent directors. The compensation committee has overall responsibilities for approving and evaluating officer compensation plans, policies, and programs of a company. These three charters provide examples of the language and structure of a compensation committee charter. The charters discuss topics such as membership requirements, committee responsibilities, and external reporting requirements.