Audit and Corporate Practices Committees
These are comprised by 3 Directors, all of them independent.
Primary duties:
- Selecting the independent auditor for the Company and determining fees.
- Ensuring that the internal control scheme for the Company is appropriate; that any and all applicable accounting and legal provisions are strictly followed; and reviewing operations with related parties that the Company conducts.
- Reviewing the financial statements and ensuring they are a true reflection of the financial standing of the Company. There is also a procedure for receiving, keeping and responding to claims regarding accounting controls and audit-related matters. These committees have the authority and the necessary resources to retain legal counsel and any other independent consultant needed in the fulfillment of their duties.
- Reducing the risk of conducting operations that may be disadvantageous for Company wealth or that could provide an added advantage for any specific group of shareholders.
- Approving policies for the use of property pertaining to Company assets.
- Authorizing transactions with related parties, wages, and benefits for the CEO and policies governing wages and benefits for relevant executives.
- Assisting the Board of Directors in the preparation of reports on accounting practices.
- Holding closed meetings and receiving periodic reports from Internal Audit, Legal, and Ethics.
- Calling to meeting of the Shareholders’ Meeting, and ensuring the order of business includes those points deemed pertinent.
Primary requirements and practices:
- All members must be Independent Directors, with expertise in finance.
- Independent auditors may not provide consultancy services to the Company.
- The partner from the independent audit firm who renders a decision on the Company financial statements audited must be periodically rotated.
Members of the Audit and Corporate Practices Committees:
Adolfo Cerezo (Chairman)
Ernesto Cervera (Alternate)
Roberto Newell
Blanca Treviño