Lendlease Annual Report 2022

Governance 83 Our Remuneration Framework Fixed Remuneration STA LTA Purpose To attract and retain highly capable Executives To focus short term decision making on priority areas in the current financial year To reward Executives for delivering sustained long term securityholder value Approach Quantum is benchmarked against relevant comparator companies to test market competitiveness Annual opportunity to receive an incentive to focus performance on priority areas over the current financial year Delivered as 50% cash and 50% deferred as Rights to receive Lendlease securities released in two equal tranches after one and two years Annual grant of ‘at-risk’ equity to reward for delivering the Lendlease Strategy, in alignment with long term securityholder returns Link to Performance n/a Current financial year performance, based on measures aligned to Lendlease’s focus areas of value creation: • Financial (65%) • Non-Financial (35%) Forward looking, three- year performance: • Relative TSR (1/3) • Return on Equity (1/3) • Growth in Funds Under Management (1/3) Award value linked to security price movements over three to six years Governance The People & Culture Committee and the Board review our remuneration principles and remuneration framework as well as determine the STA and LTA outcomes for Executive KMP, which remain subject to malus consideration. The Board retains the discretion to reduce or forfeit any unvested awards if it considers that vesting of such awards will result in the participant receiving a benefit that would be unwarranted or inappropriate. Additionally, the Global CEO LTA is submitted for securityholder approval at the AGM. Executive Reward Strategy Structure The following diagram illustrates the structure of the Executive Reward Strategy: Fixed Remuneration Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 STA Base salary + Superannuation (where applicable). 50 per cent Cash. 50 per cent Deferred Rights. Distribution equivalents paid on vested awards only (in cash or via equity top up). Performance Rights. Distribution equivalents paid on vested awards only (in cash or via equity top up). End of deferral / performance period LTA