• 10% cut in base salary and superannuation
• Removal of bonuses and incentives
• No options included, saving $44.7K in FY24
• 1.5%-3% incentive based on ZOLEO JV sale value

Beam Communications Holdings Limited (ASX: BCC) has announced that it has successfully renegotiated an employment contract with Managing Director Michael Capocchi that will ensure leadership continuity to the business at this important juncture, while delivering material cost savings to the Company. Under the new terms of the employment contract, which replaces the current contract and becomes effective on 1st April 2025, Beam will save a minimum of circa $240K per year (at the current exchange rate). The cost savings come from a 10% reduction in Mr. Capocchi's US-dollar base salary and superannuation to US$352,144, which equates to a reduction of ~$62K, and the removal of bonuses and other incentives, including key-man insurance. Further, no options are included in the new contract, which will deliver additional savings to the Company. Beam expensed $44.7K in options in FY24 that relate to Mr. Capocchi's remuneration package. To ensure an alignment of interests with shareholders during the ZOLEO sale process to Roadpost Inc., the Board included a 1.5% incentive payment linked to the final sale price of the ZOLEO joint-venture and the MDP royalty buyout, conditioned on a minimum valuation of $10 million. The percentage of the incentive can increase to a cap of 3% if the valuation comes in substantially above $10 million. The notice period under the new open term employment contract is also reduced to six months from nine months.