2018 Guide to Effective Proxies

2.16 Risk oversight | 217 6 TH EDITION | GUIDE TO EFFECTIVE PROXIES AMERICAN TOWER CORPORATION CORPORATEGOVERNANCE RiskOversight Name Numberof Unvested SharesUnderlying RestrictedStock UnitAward(#) MarketValueof Unvested SharesUnderlying Unvested RestrictedStock Units($) (i) RSU GrantDate NumberofSecurities UnderlyingOutstanding Options(#) Option ExercisePrice($) OptionGrant Date JoAnnA.Reed 5,000 $37.70 3/17/2008 7,152 $28.39 3/10/2009 4,167 $43.11 3/10/2010 3,653 $50.78 3/10/2011 3,590 $62.00 3/12/2012 3,239 $76.90 3/11/2013 5,054 $81.18 3/10/2014 4,971 $94.57 3/10/2015 1,321 $188,467 3/10/2017 PamelaD.A.Reeve 7,152 $28.39 3/10/2009 4,167 $43.11 3/10/2010 3,653 $50.78 3/10/2011 3,590 $62.00 3/12/2012 3,239 $76.90 3/11/2013 5,054 $81.18 3/10/2014 4,971 $94.57 3/10/2015 1,321 $188,467 3/10/2017 DavidE.Sharbutt 3,590 $62.00 3/12/2012 3,239 $76.90 3/11/2013 5,054 $81.18 3/10/2014 4,971 $94.57 3/10/2015 1,321 $188,467 3/10/2017 SammeL.Thompson 5,000 $37.70 3/17/2008 7,152 $28.39 3/10/2009 4,167 $43.11 3/10/2010 3,653 $50.78 3/10/2011 3,590 $62.00 3/12/2012 3,239 $76.90 3/11/2013 5,054 $81.18 3/10/2014 4,971 $94.57 3/10/2015 1,321 $188,467 3/10/2017 (i) ThevalueoftheunvestedsharesofCommonStockunderlyingtheRSUawardwascalculatedbymultiplyingthenumberofunvestedsharesofCommon Stockby$142.67,theclosingmarketpriceofsharesofourCommonStockonDecember29,2017. (ii) ThroughMay31,2017,thelastdateforwhichMs.KatzhadSection16reportingrequirementswithrespecttotheCompany’ssecurities.Pursuanttothe agreementgoverningMs.Katz’sstockoptions,shemayexercisesuchoptionsthroughanduntilMay31,2018. (3) Ms.KatzwasaDirectoruntilMay2017. (4) Ms.LiebleinjoinedtheBoardinJune2017. InFebruary2018,basedonitsreviewofpeergroupandbenchmarkinganalyses,theCommitteeincreasedtheamountofthe annualstockawardtoournon-managementDirectorsfrom$150,000to$180,000. Risk Oversight TheBoardoverseesthemanagementoftheCompany’sriskexposurethroughthefollowingframework: • AteachBoardmeeting,managementprovidesupdatedquarterlyinformationconcerningstrategic,operationalandemerging riskstotheCompany’sprimarybusinessgoalsandinitiativesineachgeographicareaandeachfunctionalgroup,aswellas theCompany’seffortstomitigatethoserisks. AMERICANTOWERCORPORATION 2018PROXYSTATEMENT 17 Total of 02 pages in section AMN HEALTHCARE CORPORATEGOVERNANCE By taking an integrated approach that focuses on both opportunities and risks, we believe our ESG efforts to date and evolvingCSRstrategygoingforwardallowustoproactivelyaddresskeyreputationalandoperationalrisksthatthreaten the sustainability of our business. The illustration below provides a brief summary of some of the CSR efforts we have undertakentomitigateESGrisksthatarerelevanttoourbusiness. ENVIRONMENT WaterConservation LEEDCertification SolarParkingCanopies ENERGYSTAR-RatedAppliances SMARTCorporate-WideReductionStrategy Scope2or 3GHG emissions MassServerReduction&Energy Consumption MotionSensorLighting&BulbEfficiency Preference forDigitalvs.Paper 100%RecycledPaper E-Waste throughLocalVendors Bloomberg’sCorporateEquality Index BestandBrightestCompanies toWork for HRCCorporateEquality Index Achievers50MostEngagedWorkplaces (4x) 150TopPlaces toWork inHealthcare TrainingMagazine2017TrainingTop 125List LeadingEthicsandCompliancePrograms AMNHealthcareNursingScholarship VolunteerTimeOffBenefit forEmployees SeparateChair andCEO PayAlignedwithPerformance 100%ofBoardCommittees are Independent ShareholderRight toCallSpecialMeeting ShareholderRight toActbyWrittenConsent ProxyAccess NoPoisonPill AnnualBoardandCommitteeEvaluations MajorityVotingStandard NoMaterialAuditControlDeficiencies EnergyConservation PaperConservation ResourceConservation EmissionReduction Bribery&Corruption RetentionofTalent HumanRights EqualOpportunity Community Impact Privacy&Cybersecurity CSREFFORTS &RESULTS KEYESGRISKS ManagementStructure ExecutiveCompensation ShareholderRights AuditControls ENVIRONMENT SOCIAL SOCIAL GOVERNANCE GOVERNANCE Our Board’s Role in Risk Oversight The Board, as a whole, is responsible for overseeing our risk exposure as part of determining a business strategy that generates long-term shareholder value. The Board shapes our enterprise-wide risk capacity, appetite and tolerance levels that provide the foundation for our overall business strategy and direction. The Board recognizes that risk mitigation not only preserves value, but also, when managed appropriately, creates value andopportunity. Indeed, purposeful and appropriate risk-taking in certain areas is important for us to be competitive and to achieve our long-term goals. Accordingly, the Board has implemented a comprehensive risk governance framework in which it regularly identifies key risks that face our Company and carefully considers our risk appetite for each issue. Through our enterprise risk management program, the Board and Executive Management balance the opportunities and threats to our business and consider the steps we are willing to take to capitalize on any business opportunities while mitigating against the key risks identified. As part of our annual strategic planning process, we maintain an Enterprise Risk Management Committee that assists the Board in identifying key risks. We typically focus on five to seven risks annually, which may relate to, among other things, business operations, competitive 18 AMNHEALTHCARESERVICES, INC. ⎪ 2018 Proxy Statement CSREFFORTS&RESULTSENVIRONMENTLEEDCertificationSolarParkingCanopiesENERGYSTAR-RatedAppliancesSMARTCorporate-WideReductionStrategyScope2or3GHGemissionsMassServerReduction&EnergyConsumptionMotionSensorLighting&BulbEfficiencyPreferenceforDigitalvs.Paper100%RecycledPaperE-wastethroughLocalVendorsSOCIALBloomberg’sCorporateEqualityIndexBestandBrightestCompaniestoWorkforHRCCorporateEqualityIndexAchievers50MostEngagedWorkplaces(4x)150TopPlacestoWorkinHealthcareTrainingMagazine2017TrainingTop125ListLeadingEthicsandComplianceProgramsAMNHealthcareNursingScholarshipVolunteerTimeOffBenefitforEmployeesGOVERNANCESeparateChairandCEO100%ofBoardCommitteesareIndependentPayAlignedwithPerformanceShareholderRighttoCallSpecialMeetingShareholderRighttoActbyWrittenConsentProxyAccessNoPoisonPillAnnualBoardandCommitteeEvaluationsMajorityVotingStandardNoAuditControlDeficiencies AQUA AMERICA, INC. that included day-long meetings with the named executive officers focused on items such as merger and acquisitionstrategy,regulatorymatters,utilityaccountingandfinancing,waterandwastewateroperations,Board governance functions, and the Company’s Articles of Incorporation, its Bylaws, and its Corporate Governance Guidelines. O VERSIGHTOF R ISK M ANAGEMENT TheBoardoverseesmanagement’sriskmanagementactivitiesthroughacombinationofprocesses: • Pursuant to its charter, the Risk Mitigation and Investment Policy Committee’s primary purpose is to assist the Board of Directors in fulfilling its oversight responsibilities with respect to the Company’s risk management practices, the Company’s compliance with legal and regulatory requirements, the Company’s potential investments in acquisitions and growth vehicles, and to review and approve the Company’sriskmanagementframework. • At least quarterly, the Risk Mitigation and Investment Policy Committee reviews the results of the Company’s enterprise riskmanagement process,andmanagement presents totheBoardareportonthe status of the risks and the metrics used to monitor those risks. Each risk that is tracked as part of the enterprise risk management process has a member of the Company’s management who serves as the owner and monitor for that risk. The risk owners and monitors report on the status of their respective risks at the quarterly meeting of management’s Compliance Committee. The information discussed at the Compliance Committee meeting is then reviewed by the Disclosure Committee composed of the Company’s Chief Executive Officer, Chief Financial Officer, General Counsel, Chief Accounting Officer and Director of Internal Audit. The results of the Disclosure Committee’s meetings are presented to the Risk Mitigation and Investment Policy Committee or the Audit Committee each quarter,asappropriate. • TheAuditCommittee,inconsultationwithmanagement,theindependentregisteredpublicaccountants and the internal auditors, discusses the Company’s policies and guidelines regarding risk assessment and risk management as well as the Company’s significant financial risk exposures and the steps management has taken to monitor, control and report such exposures. The Audit Committee meets in executive session with the Director of Internal Audit and with the independent registered public accountants at the end of each Audit Committee meeting. The Company’s General Counsel reports to the Audit Committee quarterly regarding any significant litigation involving the Company and his opinion ofthe adequacy ofthe Company’s reserves forsuchlitigation. Atleastannually,theExecutive Compensation Committee considers the risks that may be presented by the structure of the Company’s compensation programs and the metrics used to determine individual compensation under that program. • TheCompany’sInternalAuditdepartmentreportsdirectlytotheChairoftheAuditCommittee. • The Corporate Governance Committee leads an annual discussion by the Board of Directors regarding theCompany’sstrategicplansandmanagement’sperformancewithrespecttosuchplans. • Inadministering the executive compensation program,theExecutiveCompensationCommittee desires to strike an appropriate balance among the elements of our compensation program to achieve the program’s objectives. Each of the elements of the program is discussed in greater detail in this Proxy Statement. As a result of its review of the Company’s overall compensation program in the context of the risks identified in the Company’s enterprise risk management processes, the Executive Compensation Committee does not believe that the risks the Company faces are materially increased by the Company’s compensation programs and, therefore, the Executive Compensation Committee believes that the compensation program does not create the reasonable likelihood of amaterial adverse effectontheCompany. 12 Total of 03 pages in section ARAMARK Oversight of Risk Management Aramark’smanagementisresponsibleforday-to-dayriskmanagementactivities.TheBoard,actingdirectlyand throughitscommittees,isresponsiblefortheoversightofAramark’sriskmanagement. OurAuditCommitteeperiodicallyreviewsouraccounting,reportingandfinancialpractices,includingtheintegrityof ourfinancialstatements,thesurveillanceofadministrativeandfinancialcontrolsandourcompliancewithlegaland regulatoryrequirements.Inaddition,ourAuditCommitteereviewsrisksrelatedtocompliancewithethicalstandards, includingourBusinessConductPolicy,theCompany’sapproachtoenterpriseriskmanagementandoperationalrisks, includingthoserelatedtoinformationsecurityandsystemdisruption.Throughitsregularmeetingswith management,includingtheaccounting,finance,legal,andinternalauditfunctions,ourAuditCommitteereviewsand discussestherisksrelatedtoitsareasofoversightandreportstotheBoardwithregardtoitsreview.OurFinance CommitteefocusesonfinancialrisksassociatedwiththeCompany’scapitalstructureandacquisitionsand divestituresthattheCompanyisconsidering.OurCompensationCommitteeoverseescompensation-relatedrisk management,asdiscussedfurtherinthisproxystatementunder“CompensationMatters-CompensationDiscussion andAnalysis-CompensationRiskDisclosure.”OurNominatingCommitteeoverseesrisksassociatedwithboard structureandothercorporategovernancepoliciesandpractices.OurFinance,CompensationandNominating CommitteesalsoregularlyreporttheirfindingstotheBoard. OurChiefExecutiveOfficerandotherexecutiveofficersregularlyreporttothenon-executivedirectorsandthe Audit,theCompensation,theNominatingandtheFinanceCommitteestoensureeffectiveandefficientoversightof ouractivitiesandtoassistinproperriskmanagementandtheongoingevaluationofmanagementcontrols.In addition,theBoardreceivesperiodicdetailedoperatingperformancereviewsfrommanagement.Ourvicepresident ofinternalauditreportsfunctionallyandadministrativelytoourchieffinancialofficeranddirectlytotheAudit Committee.WebelievethattheleadershipstructureoftheBoardprovidesappropriateriskoversightofour activities. Management Succession Planning TheBoard’sresponsibilitiesincludesuccessionplanningfortheChiefExecutiveOfficerandotherexecutiveofficer positions.TheCompensationCommitteeoverseesthedevelopmentandimplementationofoursuccessionplans.At leastonceannually,theChiefExecutiveOfficerprovidestheBoardwithanassessmentofseniormanagersandtheir potentialtosucceedtothepositionofChiefExecutiveOfficer.Thisassessmentisdevelopedinconsultationwiththe LeadDirectorandtheChairoftheCompensationCommittee.TheCompensationCommitteeisalsoresponsiblefor follow-upactionswithrespecttosuccessionplanningasmaybedelegatedbytheBoardfromtimetotime.High potentialexecutivesmeetregularlywiththemembersoftheBoard. Executive Sessions Fromtimetotime,and,consistentwithourCorporateGovernanceGuidelines,atleastsemi-annually,theBoard meetsinexecutivesessionwithoutmembersofmanagementpresent.Mr.Mehra,asLeadDirector,presidesatthese executivesessions. Code of Conduct WehaveaBusinessConductPolicythatappliestoallofourdirectors,officersandemployees,includingourprincipal executiveofficer,principalfinancialofficerandprincipalaccountingofficer,whichisavailableontheInvestor Relationssectionofourwebsiteatwww.aramark.com.OurBusinessConductPolicycontainsa“codeofethics,”as definedinItem406(b)ofRegulationS-K.Wewillmakeanylegallyrequireddisclosuresregardingamendmentsto,or waiversof,provisionsofourcodeofethicsonourInternetwebsite. Committee Charters and Corporate Governance Guidelines ThechartersoftheCompensationCommittee,theNominatingCommittee,theAuditCommittee,theFinance CommitteeandtheStockCommitteeandourCorporateGovernanceGuidelinesareavailableundertheInvestor Relationssectionofourwebsiteatwww.aramark.com.PleasenotethatallreferencestoourwebsiteinthisProxy Statementareintendedtobeinactivetextualreferencesonly. 21