Risk Management

Philosophy

The Board of Salinas is responsible for the oversight of the Group’s risk management and control framework. Responsibility for control and risk management is delegated to the appropriate level of management within the Group with the Managing Director and Finance Director having ultimate responsibility to the Board for the risk management and control framework.

Procedures and Guidelines

Areas of significant business risk to the Group are highlighted in the Risk Management Plan and risk matrix which is reviewed by the Board periodically, but not less than annually.

Procedures have been put in place by the Board to monitor risk management which include routine reporting to the Board in respect of operations and the financial position of the Group.

Integrity of Financial Reporting:

Salinas’s Managing Director (John Begg) and Finance Director (Dougal Ferguson) report in writing to the Board that:

• The consolidated financial statements of the Company and its controlled entities for each half and full year present a true and fair view,
• In all material aspects, of the Company’s financial condition and operational results and are in accordance with accounting standards;
• The above statement is founded on a sound system of risk management and internal compliance and control which implements the policies adopted by the Board; and
• The Company’s risk management and internal compliance and control framework is operating efficiently and effectively in all material respects.

Role of Auditor:

The Company’s practice is to invite the auditor to attend the annual general meeting and be available to answer shareholder questions about the conduct of the audit and the preparation and content of the auditor’s report.