Page 91 - ar2012

annual report 2012
89
Notes to the Financial Statements
1 General (cont’d)
(i) HBT Trustee-Manager’s fees (cont’d)
- a management fee of 10% of HBT’s proft before interest and tax in the relevant fnancial year
(calculated before accounting for the management fee in that fnancial year).
The management fee is payable in the form of cash or Stapled Securities as the HBT Trustee-
Manager may elect, and in such proportion and for such period as may be determined by the
HBT Trustee-Manager.
Any increase in the maximum permitted rate or any change in the structure of the HBT Trustee-
Manager’s management fees must be approved by an extraordinary resolution at a meeting of
holders of the HBT units duly convened and held in accordance with the provisions of the HBT
Trust Deed.
Any portion of themanagement fee payable in the formof Stapled Securities is payable quarterly
in arrears and any portion of the management fee payable in cash is payable monthly in arrears.
- an acquisition fee not exceeding 0.1% of the acquisition price of any authorised investment
acquired directly or indirectly by HBT (pro-rated if applicable to the proportion of HBT’s interest
in the authorised investment acquired). The acquisition fee is payable in the form of cash and/
or Stapled Securities as the HBT Trustee-Manager may elect, and in such proportion as may
be determined by the HBT Trustee-Manager.
No trustee fee or management fee is payable while HBT remains dormant.
(ii) H-REIT Manager’s fees
Pursuant to the H-REIT Trust Deed, the H-REIT Manager’s management fees comprise a base fee
of 0.25% per annum of the value of H-REIT’s Deposited Property (as defned in the H–REIT Trust
Deed) and a performance fee of 5.0% per annum of H-REIT’s net property income (as defned in
the H-REIT Trust Deed).
For a period of fve years commencing from the listing of the Stapled Securities on the SGX-ST,
80% of the management fees payable to the H-REIT Manager was paid in the form of Stapled
Securities or (in the event that unstapling of the H-REIT units and HBT units has taken place)
H-REIT units issued at the market price (as defned in the H-REIT Trust Deed) prevailing at the
date the management fees accrue and 20% of the management fees was paid in the form of
cash. Thereafter, the management fees shall be payable in the form of Stapled Securities and/
or cash as the H-REIT Manager may elect, and in such proportion as may be determined by the
H-REIT Manager on a year to year basis. For the fnancial year ended 31 December 2012, the
management fees were satisfed in the form of 80% Stapled Securities and 20% cash.
Any increase in the maximum permitted rate or any change in the structure of the H-REIT Manager’s
management fees must be approved by an extraordinary resolution at a meeting of holders of the
H-REIT units duly convened and held in accordance with the provisions of the H-REIT Trust Deed.
The portion of the management fees payable in the form of Stapled Securities is paid on a quarterly
basis, in arrears. The portion of the management fees payable in the form of cash is paid on a
monthly basis, in arrears.