Tyson Foods 2006 Annual Report Download - page 61

The management of Tyson Foods, Inc., (the Company) has the
responsibility of preparing the accompanying financial statements
and is responsible for their integrity and objectivity. The statements
were prepared in conformity with accounting principles generally
accepted in the United States applied on a consistent basis. Such
financial statements are necessarily based, in part, on best esti-
mates and judgments.
The Company maintains a system of internal accounting controls,
and a program of internal auditing designed to provide reasonable
assurance that the Company’s assets are protected and that trans-
actions are executed in accordance with proper authorization and
are properly recorded. This system of internal accounting controls
is continually reviewed and modified in response to changing busi-
ness conditions and operations and to recommendations made by
the independent auditors and the internal auditors. The Company
has a code of conduct and an experienced full-time compliance
officer. The management of the Company believes the accounting
and control systems provide reasonable assurance that assets are
safeguarded and financial information is reliable.
The Audit Committee of the Board of Directors meets regularly
with the Company’s financial management and counsel, with the
Company’s internal auditors and with the independent auditors
engaged by the Company. These meetings include discussions of
internal accounting controls and the quality of financial reporting.
The Audit Committee has discussed with the independent auditors
matters required to be discussed by Statement of Auditing
Standards No. 61 (Communication with Audit Committees). In addi-
tion, the Committee has discussed with the independent auditors,
the auditors’ independence from the Company and its manage-
ment, including the matters in the written disclosures required by
the Independence Standards Board Standard No. 1 (Independence
Discussions with Audit Committees). The independent auditors and
the Internal Audit Department have free and independent access to
the Audit Committee to discuss the results of their audits or any
other matters relating to the Company’s financial affairs.
Ernst & Young LLP, independent auditors, have audited the accom-
panying consolidated financial statements.
December 11, 2006
Richard L. Bond
President and
Chief Executive Officer
REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING
Management is responsible for establishing and maintaining
adequate internal control over financial reporting, as defined
in Rules 13a-15(f) of the Securities Exchange Act of 1934. The
Company’s internal control system was designed to provide reason-
able assurance to management and the board of directors regarding
the preparation and fair presentation of published financial state-
ments. 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 conducted an
evaluation of the effectiveness of the Company’s internal control
over financial reporting as of September 30, 2006. In making this
assessment, the Company used criteria set forth by the Committee
of Sponsoring Organizations of the Treadway Commission (COSO)
in Internal Control–Integrated Framework.
Based on this evaluation under the framework in Internal Control–
Integrated Framework issued by COSO, Management concluded
that the Company’s internal control over financial reporting was
effective as of September 30, 2006.
Management’s assessment of the effectiveness of the Company’s
internal control over financial reporting as of September 30, 2006,
has been audited by Ernst & Young LLP, the Company’s independent
registered public accounting firm. Accordingly, Ernst & Young LLP
has issued an attestation report on management’s assessment of
the Company’s internal control over financial reporting. The report
appears on page 58.
Wade D. Miquelon
Executive Vice President and
Chief Financial Officer
Ty s o n F o o d s , I n c . 2 0 0 6 A n n u a l R e p o r t 59
Report of Management