Mercedes 2013 Annual Report Download - page 18

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During the reporting period, the Board of Management
informed the Supervisory Board about all significant key finan-
cials and continually provided information to it on important
topics. Those topics included the return on equity and the Group’s
liquidity situation, the internal control and risk management
system including compliance, the particular development of sales
and procurement markets, the general economic situation in
the main sales markets and developments in the area of financial
services. The Supervisory Board dealt in detail also with the
share-price development and its causes and discussed in detail
with the Board of Management the expected effects of the
strategic projects on the share-price development. Additional
topics were securing the Group’s long-term competitiveness,
fundamental questions of corporate planning including financial,
investment, unit-sales and personnel planning, development
at companies of the Group, the revenue development, the
situation of the Company and the divisions and the ongoing
implementation of measures to secure future-oriented,
sustainable mobility.
Cooperation between the Supervisory Board and the Board
of Management. All the members of the Board of Manage-
ment attended all the meetings of the Supervisory Board. The
meetings featured intensive and open exchanges of informa-
tion and opinions. The Supervisory Board arranged an executive
session in each of its meetings in order to discuss topics in
the absence of the Board of Management. No member of the
Supervisory Board attended less than half of the meetings
in the past financial year.
The members of the Supervisory Board regularly prepared
for upcoming resolutions on transactions requiring Supervisory
Board consent on the basis of documentation that had been
provided in advance by the Board of Management. They were
supported by the relevant committees and discussed the
actions and transactions upon which decisions were to be taken
with the Board of Management. Furthermore, the members
of the Supervisory Board attended such courses of training and
further training as might be necessary for the performance
of their tasks. In this context, the meetings of the Supervisory
Board dealt with issues of fundamental importance for the
Group such as the macroeconomic situation of key sales markets
or the presentation of new products and forward-looking
technologies. The Supervisory Board meetings were regularly
prepared in separate discussions of the members repre-
senting the employees and the members representing the share-
holders with the members of the Board of Management.
In the year 2013, the Supervisory Board performed its tasks
as laid down by applicable law, the Articles of Incorporation
and its rules of procedure, and continually advised and super-
vised the Board of Management on the management of the
company. Following careful reviews and consultations, the Super-
visory Board passed resolutions on numerous business mat-
ters for which its consent was required. Those matters included
investment and personnel planning, capital changes at com-
panies of the Group, investments and the conclusion of contracts
of particular importance for the Group. In addition, the Super-
visory Board examined whether the annual financial statements
for the Company, the consolidated financial statements, the
combined management report for the Company and the Group,
the risk report and the other financial reporting were in con-
formance with requirements. The Board of Management also
informed the Supervisory Board about a large number of
transactions not requiring the Supervisory Board’s consent
and the two boards discussed those matters together, for
example the further development of strategic programs in the
various divisions and the status of various cooperation
projects. The Supervisory Board discussed the information and
evaluations that were material for its decisions and sugges-
tions together with the Board of Management.
Daimler’s business operations continued to develop success-
fully in 2013. The results of the growth strategy followed
by the Group and expressly supported by the Supervisory Board
became increasingly apparent. In the year under review,
all the automotive divisions launched products that have been
very well received by the customers. The exceptionally
positive reactions to the presentation of the new S-Class and
the Mercedes-Benz Actros family are particularly noteworthy.
The Group’s unit sales and revenue increased significantly and
reached new record levels. Earnings from ongoing operations
of €7.9 billion were generally at a good level, although the prior-
year result was not quite equaled. Ongoing high expenses
for the development of the product portfolio and the production
plants once again had an impact on key financials in the
year 2013. But it was important that the earnings situation, as
announced at the beginning of the year, continually improved
as the year progressed. The effects of the efficiency programs
running in all divisions were becoming increasingly apparent.
The well-balanced worldwide positioning of our business has
helped us to compensate for the difficult situation in the
markets of Western Europe.
Report of the Supervisory Board.
Dear Shareholders, the Supervisory Board dealt intensively and comprehensively with
the strategic and operational development of the Daimler Group in seven meetings during
the 2013 financial year.