CVS 1998 Annual Report Download - page 22

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20
CVS Corporation
The integrity and objectivity of the financial statements and related financial information in this report are the responsibility
of the management of the Company. The financial statements have been prepared in conformity with generally accepted
accounting principles and include, when necessary, the best estimates and judgments of management.
The Company maintains a system of internal controls designed to provide reasonable assurance, at appropriate cost, that
assets are safeguarded, transactions are executed in accordance with management’s authorization, and the accounting records
provide a reliable basis for the preparation of the financial statements. The system of internal accounting controls is contin-
ually reviewed by management and improved and modified as necessary in response to changing business conditions and
the recommendations of the Company’s internal auditors and independent auditors.
KPMG LLP, independent auditors, are engaged to render an opinion regarding the fair presentation of the consolidated
financial statements of the Company. Their accompanying report is based upon an audit conducted in accordance with
generally accepted auditing standards and included a review of the system of internal controls to the extent they considered
necessary to support their opinion.
The Audit Committee of the Board of Directors, consisting solely of outside directors, meets periodically with manage-
ment, internal auditors and the independent auditors to review matters relating to the Company’s financial reporting, the
adequacy of internal accounting controls and the scope and results of audit work. The internal auditors and independent
auditors have free access to the Audit Committee.
Thomas M. Ryan
President and Chief Executive Officer
Charles C. Conaway
Executive Vice President and Chief Financial Officer
January 27, 1999
Management’s Responsibility for Financial Reporting