Introduction

Prosperity is committed to ensuring a high standard of corporate governance in the interests of the shareholders and devote considerable effort to maintaining high level of business ethics and corporate governance practices.

Prosperity's commitment to corporate governance is demonstrated through the following:

• The number of independent non executive directors (the "INED") exceeds the number required by Hong Kong Listing Rules
   
• All our INEDs are experts from the fields of business, accounting, management and various industries.
   
• Our INEDs are free of any business or other relationship which could interfere in any material manner with the exercise of their independent judgment
   
• The separation of the chairman and the chief executive officer so as to ensure a balance of power and authority of the Company.
   
• Our Audit Committee and Remuneration Committee are composited by INEDs respectively
   

Audit Committee

The Audit Committee comprises three independent non-executive directors, namely, Mr. Yuen Kim Hung, Michael (Chairman of the Audit Committee), Mr. Ma Jianwu and Mr. Yung Ho.

The main duties of the Audit Committee are to review the quarterly (if any), half-yearly and annual financial information of the Group and to oversee the Company's financial reporting system and internal control procedures.

Terms of reference
 

Remuneration Committee

The Remuneration Committee was set up in March 2005 and is constituted by three independent non-executive Directors, namely, Mr. Yuen Kim Hung, Michael (Chairman of the Remuneration Committee), Mr. Yung Ho and Mr. Chan Kai Nang.

The primary objectives of the Remuneration Committee include making recommendations on and approving the remuneration policy and structure and remuneration packages of the Directors and senior management. The Remuneration Committee is also responsible for establishing formal and transparent procedures for developing such remuneration policy and structure.

Terms of reference