Chapter One General Principles
Article 1
To further improve the management of compensation for directors and senior management of Guomai Cultural Media Co., Ltd. (hereinafter referred to as "the Company"), establish a market-oriented incentive and restraint mechanism, effectively motivate the enthusiasm and creativity of the Company's directors and senior management, enhance the Company's operational management level, and promote the growth of the Company's benefits, this system is formulated in accordance with the "Company Law of the People's Republic of China," "Code of Corporate Governance for Listed Companies," "Shenzhen Stock Exchange GEM Listing Rules," and other relevant laws, regulations, and the provisions of the "Articles of Association," combined with the actual situation of the Company.
Article 2
This system applies to the following personnel:
- Directors (excluding independent directors) who receive compensation from the Company;
- Senior management personnel of the Company, including the general manager, deputy general managers, board secretary, financial officer, and other personnel as stipulated in the "Articles of Association."
Article 3
The compensation level for directors and senior management should be aligned with market development, matched with the Company's operational performance and individual contributions, and coordinated with the Company's sustainable development. The board of directors should adhere to the following principles when establishing the compensation system for directors and senior management:
- The principle of reflecting value according to market rules. The compensation level should fully reflect the professional ability and value of directors and senior management, and be sufficiently attractive and competitive within the region and industry.
- The principle of unifying responsibility, authority, and benefits. The compensation level should correspond to the management responsibilities and authority undertaken.
- The principle of prioritizing effectiveness and efficiency. Performance-based compensation should fully consider the Company's effectiveness and efficiency, linking compensation levels to operational performance, profitability, and industry ranking, achieving shared results and mutual responsibilities, ensuring the Company's long-term stable development.
- The principle of balancing incentives and constraints, with rewards and penalties.
- The Company should determine the compensation distribution ratio for directors, senior management, and ordinary employees based on industry levels, development strategies, and job value, promoting compensation distribution towards key positions, frontline production, and urgently needed high-level, high-skill talents, thereby enhancing the compensation level of ordinary employees.