Capital One 2014 Annual Report Download - page 149

MANAGEMENT’S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING
The management of Capital One Financial Corporation (the “Company” or “Capital One”) is responsible for
establishing and maintaining adequate internal control over financial reporting and for the assessment of the
effectiveness of internal control over financial reporting. Internal control over financial reporting is a process designed
by, or under the supervision of, the Company’s principal executive and principal financial officers, or persons
performing similar functions, and effected by the Company’s Board of Directors, management and other personnel,
to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial
statements for external reporting purposes in accordance with U.S generally accepted accounting principles.
Capital One’s internal control over financial reporting includes those policies and procedures that (1) pertain to the
maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of
the Company’s assets; (2) provide reasonable assurance that transactions are recorded as necessary to permit
preparation of financial statements in accordance with generally accepted accounting principles, and that the
Company’s receipts and expenditures are being made only in accordance with authorizations of the Company’s
management and directors; and (3) provide reasonable assurance regarding prevention or timely detection of
unauthorized acquisition, use or disposition of the Company’s assets that could have a material effect on its financial
statements.
Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements.
Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become
inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may
deteriorate.
Management completed an assessment of the effectiveness of the Company’s internal control over financial reporting
as of December 31, 2014, based on the framework in “2013 Internal Control—Integrated Framework” issued by
the Committee of Sponsoring Organizations of the Treadway Commission (COSO), commonly referred to as the
“2013 Framework.”
Based on this assessment, management concluded that, as of December 31, 2014, the Company’s internal control
over financial reporting was effective based on the criteria established by COSO in the 2013 Framework.
Additionally, based upon management’s assessment, the Company determined that there were no material
weaknesses in its internal control over financial reporting as of December 31, 2014.
The effectiveness of the Company’s internal control over financial reporting as of December 31, 2014, has been
audited by Ernst & Young LLP, an independent registered public accounting firm, as stated in their accompanying
report, which expresses an unqualified opinion on the effectiveness of the Company’s internal control over financial
reporting as of December 31, 2014.
/s/ RICHARD D. FAIRBANK
Richard D. Fairbank
Chair, Chief Executive Officer and President
/s/ STEPHEN S. CRAWFORD
Stephen S. Crawford
Chief Financial Officer
February 24, 2015
127 Capital One Financial Corporation (COF)