Adidas 2001 Annual Report Download - page 59

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54 Corporate Governance
Dear Shareholders,
In the year under review, the Supervisory Board
oversaw the management activities of the Executive
Board on a regular basis and acted in an advisory
capacity. The Supervisory Board was kept informed
about the financial position of the Company, corporate
policy and matters relating to major business trans-
actions through verbal and written reports from the
Executive Board. In five joint meetings with the
Executive Board and in one meeting of the General
Committee of the Supervisory Board, business devel-
opment of the adidas-Salomon Group as well as the
individual operational units and the major Group
companies was reviewed in detail. In addition to
the responsibilities laid down by law and the Articles
of Association, the Supervisory Board acted in an
advisory capacity in important individual matters.
Topics covered by the Supervisory Board in 2001
included:
• The development of business and future business
strategies in the United States.
• The impact of changes in the exchange rates.
• The planned acquisition of a 10% participation
in FC Bayern München AG.
• The acquisition of Arc’Teryx Equipment Inc.
• The conclusion of a license and distribution
agreement with the Dunlop Slazenger Group Ltd.
Additional topics dealt with by the Supervisory
Board were:
• The distribution of the third tranche of the adidas-
Salomon AG management stock option plan.
• The technical innovations of the Spring/Summer
2002 range.
• The European logistics concept.
The external auditors attended the annual financial
statements meeting of the Supervisory Board on
March 8, 2001 and subsequent meetings on May 9,
August 6 and November 5, 2001. During these meet-
ings, the quarterly financial statements for 2001
were presented.
Examination and Approval of the 2001
Financial Statements
As in the previous year, consolidated financial
statements were prepared in compliance with
International Accounting Standards (IAS). Under
the provisions of § 292a of the German Commercial
Code (HGB), these financial statements exempt
adidas-Salomon AG from drawing up consolidated
financial statements in accordance with German
Commercial Law.
The external auditors, KPMG Deutsche Treuhand-
Gesellschaft Aktiengesellschaft Wirtschaftsprüfungs-
gesellschaft, Frankfurt am Main, have audited the
consolidated financial statements and the Group
management report. Additionally, they have audited
the financial statements and the management report
of adidas-Salomon AG and issued unqualified opin-
ions thereon. In the context of their auditing duties
in line with § 317 section 4 HGB, the auditors have
looked at the existing adidas-Salomon AG monitor-
ing system for early identification of risk. They con-
cluded that the existing system was appropriate and
that the management reports for adidas-Salomon AG
and the Group accurately reflected future risk. The
financial statements, the management reports and
the auditors’ reports have been presented to all the
Supervisory Board Report