Xerox 2002 Annual Report Download - page 7

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5
credibility and our confidence. We’ve also made good
progress in the past year on corporate governance:
• We have adopted strict new guidelines on what constitutes
director independence. Applying this definition, 75% of our
Directors are independent.
• We have proactively integrated Sarbanes-Oxley and
proposed NYSE rules into our governance processes.
• We have revised and strengthened the charters for our
Board of Directors’ committees.
• We hold regular executive sessions of outside directors
without Xerox management present.
• We launched a massive effort to strengthen internal con-
trols, train our people and promulgate a clear and strong
Code of Conduct.
• We established an Ethics Helpline for our employees and
have taken other measures all aimed at making Xerox a
role model in ethical behavior.
• And, of course, in June we brought Larry Zimmerman on
board as new Chief Financial Officer.
Going forward, here is what shareholders can expect from
Xerox and from my management team.
First, credibility. We made a lot of commitments a year ago.
We’ve delivered and we’ve executed. My intention is to contin-
ue to earn your confidence and to give every ounce of my
energy to that end. When we say we’ll do something, we will.
You should expect no less. We will deliver no less.
Second, communication. We’ll be open, honest and accessible
and we’ll build an environment that encourages communica-
tion with the investment community – freely, openly and often.
To enable you to make the wisest investment decisions, you
should have the information you need about the company as
quickly as practicable. My objective is to make sure you have it.
Third, leadership. In two ways. In the market through techno-
logical and market leadership. But also in terms of our people
and our culture. As good as we are today, we will be better
tomorrow. You have no interest in a company that isn’t leader-
ship in every way. Neither do I.
Return to Profitability
Net Income (Loss)
($ millions)
2000 2001 20022002
91
0
(273)
(94)