KORVEST LTD — Board/Management Information 2018

Feb 27, 2018

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ABN 20 007 698 106

ASX Release

Managing Director Appointment

The Board of Korvest Ltd (Korvest) is pleased to announce the immediate appointment of Chris Hartwig as Managing Director.

The Board conducted an extensive external independent search process that resulted in Mr Hartwig being selected as the preferred candidate.

Mr Hartwig joined Korvest in August 2006 as the General Manager of the Galvanising business. Since 2009 he has held senior executive roles in the EzyStrut business including General Manager and Executive General Manager.

Mr Hartwig has a deep understanding of the Korvest operations as well as existing relationships with key customers and considerable respect within the industry.

Prior to joining Korvest Mr Hartwig held a number of senior roles with major industry organisations.

Details of the key terms of Mr Hartwig’s appointment are attached.

For further information please contact:

Mr Graeme Billings Chairman Korvest Ltd 0408 572 729

28 February 2018

– Chris Hartwig Key terms of appointment

Term

There is no fixed term.

Remuneration

Fixed remuneration

Mr Hartwig’s fixed remuneration is - $324,120 per annum (gross)

The above remuneration is inclusive of cash salary and any superannuation contributions required by law.

Short Term Incentive (STI)

Mr Hartwig will be entitled to a short term cash incentive of up to $168,000. The Board will determine a number of performance criteria against which Mr Hartwig will be assessed. Superannuation at statutory levels will be paid on any STI’s that vest.

Long Term Incentive

As an existing executive, in November 2017 Mr Hartwig was issued 28,000 performance rights. Half of these performance rights will be tested against an Earning Per Share hurdle and the other half will be tested against a Relative Total Shareholder Return hurdle. These hurdles are the same as those applied to all other 2017 issues under the Korvest Performance Rights Plan. The performance period is three years from 1 July 2017. The full details of the performance hurdles are set out in the notice of meeting for the 2017 Annual General Meeting.

Termination by the Company (with notice)

The Company may terminate the Agreement on the provision of six months’ notice. The Company may elect for Mr Hartwig to work out his notice period or it may elect to pay his fixed remuneration in lieu of notice.

On termination Mr Hartwig will be entitled to any STI payment that has accrued but has not yet been paid as well as payment for any statutory entitlements for annual and long service leave.

If Mr Hartwig’s employment is terminated as a result of redundancy or because the Company or its business is acquired by another entity he will be paid severance in accordance with the Company’s EBA which applies at the time plus an additional six months’ severance payment at the rate of his fixed remuneration.

Termination by the Company (without notice)

The Company may terminate Mr Hartwig’s employment immediately in a number of circumstances including:

• Serious misconduct

• Breach of a material provision of his employment agreement

• Becoming bankrupt

• Being prohibited from taking part in the management of a company

• Refusing to carry out lawful instructions, or

• Becoming of unsound mind.

In the event of termination without notice Mr Hartwig will only receive payment for fixed remuneration for work already performed, STI’s that have accrued yet have not been paid and accrued annual and long service leave.

Termination by Mr Hartwig

Mr Hartwig may terminate his employment by providing three months’ notice.

Mr Hartwig will be entitled to payment of:

• his fixed remuneration up until his termination date

• any accrued but unpaid STI’s

• any accrued but unpaid annual and long service leave

The Company may elect to direct Mr Hartwig to remain in employment during the notice period or it may, in its discretion, decide to make payments in lieu.

Other Provisions

Mr Hartwig’s employment agreement contains general provisions relating to restraints after termination, confidential information, intellectual property and dispute resolution.

ENDS