Proctor and Gamble 2011 Annual Report Download - page 33

Download and view the complete annual report

Please find page 33 of the 2011 Proctor and Gamble annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 82

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82

The Procter & Gamble Company 31
In our opinion, such Consolidated Financial Statements present fairly,
in all material respects, the financial position of the Company at
June30,2011 and 2010, and the results of its operations and cash
flows for each of the three years in the period ended June 30,2011,
inconformity with accounting principles generally accepted in the
United States of America.
We have also audited, in accordance with the standards of the Public
Company Accounting Oversight Board (United States), the Company’s
internal control over financial reporting as of June 30,2011, based on
the criteria established in Internal Control – Integrated Framework
issued by the Committee of Sponsoring Organizations of the Treadway
Commission and our report dated August 10,2011 expressed an
unqualified opinion on the Company’s internal control over financial
reporting.
Cincinnati, Ohio
August 10,2011
Management’s Report on Internal Control over Financial Reporting
Report of Independent Registered Public Accounting Firm
Management is responsible for establishing and maintaining adequate
internal control over financial reporting of The Procter & Gamble
Company (as defined in Rule 13a-15(f) under the Securities Exchange
Act of 1934, as amended). Our internal control over financial reporting
is designed to provide reasonable assurance regarding the reliability
of financial reporting and the preparation of financial statements for
external purposes in accordance with generally accepted accounting
principles in the United States of America.
Strong internal controls is an objective that is reinforced through our
Worldwide Business Conduct Manual, which sets forth our commit-
ment to conduct business with integrity, and within both the letter and
the spirit of the law. The Company’s internal control over financial
reporting includes a Control Self-Assessment Program that is conducted
annually by substantially all areas of the Company and is audited by
the internal audit function. Management takes the appropriate action
to correct any identified control deficiencies. Because of its inherent
limitations, any system of internal control over financial reporting, no
matter how well designed, may not prevent or detect misstatements
due to the possibility that a control can be circumvented or overrid-
den or that misstatements due to error or fraud may occur that are
not detected. Also, because of changes in conditions, internal control
effectiveness may vary over time.
Management assessed the effectiveness of the Company’s internal
control over financial reporting as of June 30,2011, using criteria
established inInternal Control –Integrated Framework issued by
theCommittee of Sponsoring Organizations of the Treadway
Commission (COSO) and concluded that the Company maintained
effective internal control over financial reporting as of June 30,2011,
based on these criteria.
Deloitte & Touche LLP, an independent registered public accounting
firm, has audited the effectiveness of the Company’s internal control
over financial reporting as of June 30,2011, as stated in their report
which is included herein.
Robert A. McDonald
Chairman of the Board, President and Chief Executive Officer
Jon R. Moeller
Chief Financial Officer
August 10,2011
To the Board of Directors and Stockholders of
The Procter & Gamble Company
We have audited the accompanying Consolidated Balance Sheets of
The Procter & Gamble Company and subsidiaries (the “Company”) as
of June 30,2011 and 2010, and the related Consolidated Statements
of Earnings, Shareholders’ Equity, and Cash Flows for each of the three
years in the period ended June 30,2011. These financial statements are
the responsibility of the Company’s management. Our responsibility is to
express an opinion on these financial statements based on our audits.
We conducted our audits in accordance with the standards of the
Public Company Accounting Oversight Board (United States). Those
standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
of material misstatement. An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the financial
statements. An audit also includes assessing the accounting principles
used and significant estimates made by management, as well as
evaluating the overall financial statement presentation. We believe
that our audits provide a reasonable basis for our opinion.