Corporate Governance

Nanosonics and the Board are committed to effective and best practice corporate governance standards which ensure it meets the interests of all stakeholders of the Company.

Meeting the interests of shareholders and other key stakeholders

The Board regularly reviews the policies and practices applied by the Group to ensure they meet the interests of shareholders and other key stakeholders, both for the present and as the Group progresses its business plans and grows in operational complexity. The Company complies with the ASX listing rules and supports the ASX Corporate Governance Principles for Good Corporate Governance and the Code of Best Practice for Reporting by Biotechnology, Medical Device and other Life Sciences Companies.

The statements below set out Nanosonics principles on Corporate Governance:

Corporate Governance Statement
Corporate Governance Charter

Committees

Nanosonics' Board has three committees to provide the Board with advice and assistance on particular business items.

Currently the committees of the Board include the following three committees:

1. The Governance and Nomination Committee

This committee is responsible for advising the Board on issues and policies relating to the recruitment, training, performance, evaluation and remuneration of the Directors and recommending to the Board a framework for the assessment and evaluation of the performance of each Director individually and of the Board as a whole.

Terms and Conditions of Appointment for a Non-Executive Director
Governance and Nomination Committee Charter

2. The Audit and Financial Risk Management Committee

This committee provides advice and assistance to the Board in fulfilling its obligations for the Group's audit, accounting, reporting and for reviewing the integrity of the Company's financial systems.

Audit and Financial Risk Management Committee Charter

3. The Remuneration Committee

This committee is responsible for advising the Board on remuneration issues and policies in the context of the Company's operations and markets.

Remuneration Committee Charter

Company policies

The Company has a series of policies in place to ensure best business practices. Current policies include:

• Nanosonics' Continuous Disclosure and Shareholder Communication Policy ensures compliance with the disclosure requirements of the ASX and to ensure individual accountability at executive level.
• All Nanosonics employees and contractors are expected to act with integrity and objectivity and to maintain ethical standards which have been formalised in the Code of Conduct and Ethics. This code acts as a guideline for all employees and contractors of Nanosonics.
• The Company has a Risk Management Policy in place for the oversight and management of material business risks and which describes the risk management processes applied.
• The Whistleblower Protection Policy applies to everyone working for or dealing with Nanosonics in any capacity. It provides a process for the reporting of a Reportable Conducts and requires the Company to provide all practical protection for whistleblowers from discrimination or victimisation.
• Nanosonics is committed to protecting the privacy of personal and third party information. Nanosonics will only collect, use or disclose private information in accordance with the Privacy Act 1988 ("the Act") and this Privacy Policy.
• The Company has a Securities Trading Policy in place which applies to all designated persons comprising directors, employees, officers, senior management, contractors and such other persons as the Board nominates. All designated persons may only deal in the Company's securities in terms of this policy.
• The Nanosonics Diversity Policy describes the Company's commitment to ensuring a diverse mix of skills and talent exists amongst its directors, officers and employees to enhance Company performance.