Sally Beauty Supply 2011 Annual Report Download - page 87

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and procedures are also evaluated by our internal audit department, by our legal department and by
personnel in our finance organization. The overall goals of these various evaluation activities are to
monitor our disclosure controls and procedures on an ongoing basis, and to maintain them as dynamic
systems that change as conditions warrant.
Conclusions regarding Disclosure Controls. Based on the required evaluation of our disclosure controls
and procedures, our CEO and CFO have concluded that, as of September 30, 2011, we maintain disclosure
controls and procedures that are effective in providing reasonable assurance that information required to
be disclosed by us in the reports that we file or submit under the Exchange Act is recorded, processed,
summarized and reported within the time periods specified in the SEC’s rules and forms, and that such
information is accumulated and communicated to our management, including our CEO and CFO, as
appropriate to allow timely decisions regarding required disclosure.
Management’s Annual Report on Internal Control over Financial Reporting.
Management of the Company, including the CEO and CFO, is responsible for establishing and
maintaining adequate internal control over financial reporting as defined in Rule 13a-15(f) under the
Exchange Act. Our internal control system was designed to provide reasonable assurance to management
and our Board of Directors regarding the reliability of financial reporting and the preparation of financial
statements for external purposes in accordance with generally accepted accounting principles.
All internal control systems, no matter how well designed, have inherent limitations. A system of internal
controls may become inadequate over time because of changes in conditions or deterioration in the degree
of compliance with the policies or procedures. Therefore, even those systems determined to be effective
can provide only reasonable assurance with respect to financial statement preparation and presentation.
Management assessed the effectiveness of our internal control over financial reporting as of September 30,
2011 using the criteria set forth by the Committee of Sponsoring Organizations of the Treadway
Commission (‘‘COSO’’) in Internal Control-Integrated Framework. Based on this assessment, management
has concluded that, as of September 30, 2011 our internal control over financial reporting was effective 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
based on such criteria.
Report of Independent Registered Public Accounting Firm. Please refer to KPMG’s Report of Independent
Registered Public Accounting Firm on Internal Control over Financial Reporting on page F-1 of the
financial statements, which begin on page 88 of this Annual Report.
Changes in Internal Control over Financial Reporting. During our last fiscal quarter, there have been no
changes in our internal control over financial reporting identified in connection with the evaluation
described above that have materially affected, or are reasonably likely to materially affect, our internal
control over financial reporting.
ITEM 9B. OTHER INFORMATION
None.
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