Externally
SSAB’s communications must be correct, open, and prompt and provided simultaneously to all stakeholders. All communications must take place in accordance with Nasdaq OMX Stockholm’s Rules and Regulations and in accordance with other regulations. The financial information must provide the capital market and stock market, as well as current and future shareholders, with a comprehensive and clear view of the Company, its operations, strategy and financial development.
The Board of Directors approves the Group’s annual reports and half-year reports, and instructs the CEO to submit quarterly reports and results for the year in accordance with the Board’s rules of procedure. All financial reports and press releases are published on the website (www.ssab.com) simultaneously with publication via Nasdaq OMX Stockholm, and are notified to the Swedish Financial Supervisory Authority.
Financial information regarding the Group may be provided only by the CEO and CFO, as well as by the Executive Vice President, Communications, and the Head of Investor Relations. The business areas/subsidiaries disseminate financial information regarding their operations only after the Group has published corresponding information.
The Company applies silent periods during which the Company does not communicate information regarding the Company’s development. Silent periods are three weeks prior to publication of results for the year, half-year reports and quarterly reports.
In the event of a leakage of price-sensitive information or upon the occurrence of special events which may affect the valuation of the Company, Nasdaq OMX Stockholm will be notified, after which a press release containing the same information will be distributed. Informational activities are governed by an information policy.
Internally
Each business area and subsidiary has a chief financial officer who is responsible for maintaining high quality and precision of delivery with respect to the financial reporting.
The local intranets constitute important communication channels in the Company on which information is published regularly. In 2008, SSAB introduced a new joint Group intranet. Regular joint Group accounting meetings are held with the chief financial officers of the business areas/subsidiaries. In this way, the business areas/subsidiaries are updated regarding news and changes within, among other things, the accounting area as well as routines and internal controls with respect to the financial reporting. In addition, the parent company regularly communicates changes in the joint Group accounting principles and policies as well as other relevant issues relating to the financial reporting.
Monitoring
The Board’s monitoring of the internal control with respect to financial reporting takes place primarily through the Audit Committee, among other things by monitoring the work and reports of the internal and external auditors.
The internal audit regularly carries out independent and objective audits in accordance with an adopted audit plan. The audits are carried out in accordance with an adopted audit process which commences with an annual risk analysis in order to create an audit plan. Following a completed audit, the audit is formally concluded with regular reporting back to the Audit Committee regarding observations and of measures taken by the Company. The audits are carried out as process audits focusing on SSAB’s compliance with its internal and external rules and regulations and the existence of efficient and suitable processes for risk management, business management and internal controls.
The external auditors review each year selected parts of the internal control within the scope of the statutory audit. The external auditors report the results of their review to the Audit Committee and Group Executive Committee. Important observations are also reported directly to the Board of Directors. In 2010, the external auditors monitored the internal control in selected key processes and reported thereon to the Audit Committee and Group Executive Committee.