2018 Guide to Effective Proxies

2.11 Board committee grids | 179 6 TH EDITION | GUIDE TO EFFECTIVE PROXIES INTERCONTINENTAL EXCHANGE, INC. JOHNSON & JOHNSON MARTIN MARIETTA MATERIALS MGM RESORTS INTERNATIONAL STRUCTURE AND ROLE OF OUR BOARD Meetings and Committees of the Board of Directors TheBoardofDirectorsconductsitsbusinessthroughmeetingsofthefullBoardofDirectorsandthroughmeetingsofthecommitteesof theBoardofDirectors,consistingofanAuditCommittee,aCompensationCommittee,aNominating&CorporateGovernanceCommittee andaRiskCommittee.Thecurrentmembersofthecommitteesareidentifiedinthetablebelow. Director Audit Committee Compensation Committee Nominating& CorporateGovernance Committee Risk Committee Hon.SharonY.Bowen AnnM.Cairns X CharlesR.Crisp X X DuriyaM.Farooqui X Jean-MarcForneri X X Hon.FrederickW.Hatfield X X ThomasE.Noonan X(Chair) TheRightHon.theLordHagueofRichmond X X FredericV.Salerno X(Chair) JeffreyC.Sprecher JudithA.Sprieser X(Chair) X VincentTese X X(Chair) In2017,ourBoardofDirectorsheldfourmeetings,theAuditCommitteeheldsevenmeetings,theCompensationCommitteeheldsix meetings,theNominating&CorporateGovernanceCommitteeheldfourmeetingsandtheRiskCommitteeheldfourmeetings.Inaddition,our non-managementdirectorsmetperiodicallyinexecutivesessionwithoutmanagementparticipation,asrequiredbyNYSElistingstandards. Mr.SalernohasbeenappointedbytheBoardofDirectorsasthenon-managementleadindependentdirectorpresidingatthesemeetings. AsamatterofBoardpolicy,itisexpectedthateachdirectorwillbeavailabletoattendsubstantiallyallofthemeetingsoftheBoardof Directorsandanycommitteesonwhichthedirectorserves.Eachdirectorattendedatleast75%oftheaggregatenumberofmeetingsof theBoardofDirectorsandmeetingsofthecommitteesofwhichheorsheisamember.Infact,allofourdirectorsservingonourBoard in2017attended100%ofourBoardandtheirrespectivecommitteemeetingsin2017.Asamatterofpolicy,itisexpectedthateach directorandnomineewillattendannualmeetingsofstockholders.Tenofourelevendirectorsatthetimeoflastyear’sannualmeeting attendedthemeetingin-personandonedirectorattendedtheannualmeetingtelephonically. AUDIT COMMITTEE Members: JudithA.Sprieser* (Chairperson) DuriyaM.Farooqui CharlesR.Crisp VincentTese* * AuditCommittee FinancialExperts TheAuditCommitteeiscomprisedsolelyofdirectorswhomeettheindependencerequirementsoftheNYSE andtheSecuritiesExchangeActof1934,asamended(the“ExchangeAct”),andarefinanciallyliterate,as requiredbyNYSErules.AtleastonememberoftheAuditCommitteequalifiesasanauditcommitteefinancial expert,asdefinedbytherulesandregulationsoftheSEC.TheAuditCommitteehasbeenestablishedin accordancewithSection3(a)(58)(A)oftheExchangeAct.TheAuditCommitteeassiststheBoardofDirectors infulfillingitsoversightresponsibilitieswithrespectto: • thequalityandintegrityofourfinancialstatements; • ourcompliancewithlegalandregulatoryrequirements; • oursystemofinternalcontrolsregardingfinance,accountingandlegalcompliance; • theindependence,qualificationandperformanceofourindependentauditors; • theperformanceofourinternalauditfunction;and • ourauditing,accountingandfinancialreportingprocesses. TheAuditCommitteeisgovernedbyawrittenAuditCommitteeCharter,whichhasbeenapprovedbyourBoard ofDirectors.Thecharterisavailableonourwebsiteat www.intercontinentalexchange.com underthelinks “ Investors&Media—Governance—Governance&CharterDocuments—CharteroftheAuditCommitteeof theBoardofDirectors .”Wewillalsoprovideaprintedcopyofthechartertostockholdersuponrequest. 12 INTERCONTINENTALEXCHANGE 2018ProxyStatement BOARD COMMITTEES TheBoardofDirectorshasastanding AuditCommittee,Compensation&BenefitsCommittee,Nominating&Corporate GovernanceCommittee,Regulatory ,Compliance&Government AffairsCommitteeandScience,T echnology& SustainabilityCommittee,eachcomposedentirelyofnon-employeeDirectorsdeterminedtobe“independent”underthe listingstandardsoftheNYSEandourStandardsofIndependence.UndertheirwrittenchartersadoptedbytheBoard,each oftheseCommitteesisauthorizedandassuredofappropriatefundingtoretainandconsultwithexternaladvisors, consultantsandcounsel.Inaddition,theBoardhasastandingFinanceCommittee,composedoftheChairmanoftheBoard andtheLeadDirector,whichexercisestheauthorityoftheBoardbetweenBoardmeetings. BoardCommitteeRotation In2016,theBoarddeterminedtorotatemembershiponeachofitsCommittees,includingtheChairmanofthree Committees.TheBoardalteredthecompositionofourfivekeyCommittees,witheachCommitteehavingatleastonenew memberandthreeCommittees,Compensation&Benefits,Regulatory,Compliance&GovernmentAffairsandScience, Technology&Sustainability,beingledbyanewChairman.EachCommittee,otherthanFinance,continuestobecomprised solelyofindependentDirectors. BoardCommitteeMembership ThefollowingtableshowsthecurrentmembersandChairmenofeachofthestandingBoardCommitteesandthenumberof meetingseachCommitteeheldin2017. Directors Audit Compensation &Benefits Nominating& Corporate Governance Regulatory, Compliance& Government Affairs Science, Technology& Sustainability Finance MaryC.Beckerle I a C D.ScottDavis (1) I C a IanE.L.Davis I a a AlexGorsky CH C MarkB.McClellan I a a AnneM.Mulcahy I LD a a a WilliamD.Perez I a C CharlesPrince I a C A.EugeneWashington I a a RonaldA.Williams I C a NumberofMeetingsin2017 9 (2)(3) 7 4 5 (3) 5 — ChairmanoftheBoard: CH LeadDirector: LD IndependentDirector: I Chair: C Member: a (1) Designatedasan“auditcommitteefinancialexpert.” (2) Doesnotincludeteleconferencesheldpriortoeachreleaseofquarterlyearnings(4intotal) (3) IncludesanannualjointmeetingoftheAuditandRegulatory ,Compliance&Government AffairsCommittees 2018ProxyStatement-29 CorporateGovernance INFORMATION REGARDING THE BOARD AND BOARD COMMITTEES Followingtheannualmeetingin2017,theBoardconsistedof11directors.In2017,theBoardmet14timesandhadfour Committees:theAuditCommittee,theCompensationCommittee,theNominating/CorporateGovernanceCommittee,and theCorporateSocialResponsibilityCommittee. Eachdirector,withtheexceptionofMr.Kilroy,attendedatleast75%ofthetotalofallmeetingsoftheBoardofDirectors andallcommitteesonwhichthedirectorserved.The2017BoardandCommitteeschedules(withtheexceptionofspecial meetingsheldthroughouttheyear)wereapprovedinJuneof2016,whichwaspriortoMr.Kilroy’sappointment,andhe hadschedulingconflictswithcertainofthepreviouslyestablisheddates. ThetablebelowprovidesmembershipasofMarch8,2018and2017meetinginformationfortheBoardCommittees.** COMMITTEE MEMBERSHIP AUDIT COMPENSATION NOMINATING/CORPORATE GOVERNANCE CORPORATESOCIAL RESPONSIBILITY ROBERTH.BALDWIN WILLIAMA.BIBLE ‹ ‹ MARYCHRISGAY ‹ ‹ WILLIAMW.GROUNDS ‹ ALEXISM.HERMAN CHAIR ‹ ROLANDHERNANDEZ(LID) ‹ CHAIR ‹ JOHNKILROY* ‹ ‹ ROSEMCKINNEY-JAMES ‹ CHAIR JAMESJ.MURREN GREGORYM.SPIERKEL CHAIR ‹ DANIELJ.TAYLOR ‹ ‹ TotalNumberofMeetingsin 2017 11 11 5 6 * Mr.KilroywasappointedtotheseBoardcommitteesonMay31,2017. ** Ms.SwartzwasappointedtotheBoardonMarch14,2018. BelowisasummaryofthecompositionandresponsibilitiesofourAudit,Compensation,Nominating/Corporate GovernanceandCorporateSocialResponsibilityCommittees,eachofwhichhasawrittencharteravailableonourwebsite at mgmresorts.investorroom.com/corporate-governance underthecaptions“AuditCommitteeCharter,”“Compensation CommitteeCharter,”“Nominating/CorporateGovernanceCommitteeCharter,”and“CorporateSocialResponsibility CommitteeCharter.” MGMResortsInternational 2018ProxyStatement 7 BoardCommittees / CorporateGovernanceMatters Board Committees Martin Marietta’s Board of Directors has six standing committees: the Audit Committee, the Ethics, Environment, Safety and Health Committee, the Executive Committee, the Finance Committee, the Management Development and Compensation Committee, and the Nominating and Corporate Governance Committee. Each committee has a written charter that describes its purposes, membership, meeting structure, authorityandresponsibilities.Thesechartersarereviewedbythe respectivecommitteeonanannualbasiswithanyrecommended changes adopted upon approval by our Board. The charters of oursixstandingcommitteesarepostedonourwebsite. Belowisasummaryofourcurrentcommitteestructureandmembershipinformation. Director Audit Committee Ethics, Environment, Safetyand Health Committee Executive Committee Finance Committee Management Development and Compensation Committee Nominating andCorporate Governance Committee SueW.Cole Chair JohnJ.Koraleski FinancialExpert DavidG.Maffucci FinancialExpert Chair C.HowardNye Chair LareeE.Perez FinancialExpert Chair MichaelJ.Quillen LeadIndependentDirector Chair DennisL.Rediker FinancialExpert DonaldW.Slager StephenP.Zelnak,Jr. Chair NumberofMeetings in2017 8 2 0 5 6 3 The Executive Committee held no meetings during 2017. It has the authority to act during the intervals between the meetings of the Board of Directors and may exercise the powers of the Board in the management of the business and affairs of Martin Marietta as may be authorized by the Board of Directors, except to the extent such powers are by statute, the Articles of Incorporation or Bylaws reserved to the full Board. The Committee’s current members are Directors Nye (Chair), Koraleski,andQuillen. 2018PROXYSTATEMENT 21