Advanced Petrochemical Company ( defined below ) established a corporate governance system in accordance with the requirements of the Corporate Governance Regulations Article 10 , paragraph (c) of the Capital Market Authority (CMA) and in accordance with the Companies Law and the Statute of the company and consistent with the provisions. The Company defined “governance” as a group of structures , systems, mechanisms and processes that are placed in order to manage and control the company, and includes explanation of the relations between the company’s shareholders, board of directors, and executive management in order to protect the rights of shareholders and stakeholders in the long term . Applying corporate governance system is essential in order to strengthen the company’s position and credibility in the local and global businesses.
The words and expressions used in this system shall have the same meanings and descriptions as in the list of terms used in the regulations of the Capital Market Authority and rules.
Advanced Petrochemical Company “advanced”.
A member of the Governing Council who enjoys full independence. Any of the followings, but not limited to, shall contrary to independence:
- Owns a controlling stake in the company or any of its subsidiaries .
- To be a senior executive over the past two years in the company or any of its subsidiaries.
- To have a family linked of first – class with any of the members of the Executive Management at “advanced” (the Company) or in any of it’s subsidiaries.
- To have a family linked of first – class with any of the members of the Senior Executive at “advanced” (the Company) or in any of it’s subsidiaries.
- To be a member of the Board of Directors in one of the subsidiaries.
- To be employed during the past two years at any of the parties related to the “Company” or any of it’s subsidiaries as a Legal Accountant, or a Leading Suppliers, or a Major Customer , or the owner of a control quotas of shares with any of those parties over the past two years .