Pizza Hut 2011 Annual Report Download - page 198

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Management’s Responsibility for Financial Statements
To Our Shareholders:
We are responsible for the preparation, integrity and fair presentation of the Consolidated Financial Statements, related notes and
other information included in this annual report. The financial statements were prepared in accordance with accounting principles
generally accepted in the United States of America and include certain amounts based upon our estimates and assumptions, as
required. Other financial information presented in the annual report is derived from the financial statements.
We maintain a system of internal control over financial reporting, designed to provide reasonable assurance as to the reliability
of the financial statements, as well as to safeguard assets from unauthorized use or disposition. The system is supported by formal
policies and procedures, including an active Code of Conduct program intended to ensure employees adhere to the highest standards
of personal and professional integrity. We have conducted an evaluation of the effectiveness of our internal control over financial
reporting based on the framework in Internal Control – Integrated Framework issued by the Committee of Sponsoring
Organizations of the Treadway Commission. Based on our evaluation, we concluded that our internal control over financial
reporting was effective as of December 31, 2011. Our internal audit function monitors and reports on the adequacy of and
compliance with the internal control system, and appropriate actions are taken to address significant control deficiencies and other
opportunities for improving the system as they are identified.
The Consolidated Financial Statements have been audited and reported on by our independent auditors, KPMG LLP, who were
given free access to all financial records and related data, including minutes of the meetings of the Board of Directors and
Committees of the Board. We believe that management representations made to the independent auditors were valid and
appropriate. Additionally, the effectiveness of our internal control over financial reporting has been audited and reported on by
KPMG LLP.
The Audit Committee of the Board of Directors, which is composed solely of outside directors, provides oversight to our financial
reporting process and our controls to safeguard assets through periodic meetings with our independent auditors, internal auditors
and management. Both our independent auditors and internal auditors have free access to the Audit Committee.
Although no cost-effective internal control system will preclude all errors and irregularities, we believe our controls as of
December 31, 2011 provide reasonable assurance that our assets are reasonably safeguarded.
Richard T. Carucci
Chief Financial Officer
Form 10-K