Holiday Inn 2014 Annual Report Download - page 101

Report of independent registered public accounting
firm on internal control over financial reporting
To the Board of Directors and Shareholders of InterContinental
Hotels Group PLC.
We have audited InterContinental Hotels Group PLC’s internal
control over financial reporting as of 31 December 2014, based
on criteria established in Internal Control-Integrated Framework
issued by the Committee of Sponsoring Organizations of the
Treadway Commission (2013 Framework) (the COSO criteria).
InterContinental Hotels Group PLC’s management is responsible
for maintaining effective internal control over financial reporting,
and for its assessment of the effectiveness of internal control over
financial reporting included in the Annual Report and Form 20-F
2014. Our responsibility is to express an opinion on the Group’s
internal control over financial reporting based on our audit.
We conducted our audit 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 effective internal
control over financial reporting was maintained in all material
respects. Our audit included obtaining an understanding of
internal control over financial reporting, assessing the risk that
a material weakness exists, testing and evaluating the design and
operating effectiveness of internal control based on the assessed
risk, and performing such other procedures as we considered
necessary in the circumstances. Webelieve that our audit provides
a reasonable basis for our opinion.
A company’s internal control over financial reporting is a process
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. A company’s internal control over financial
reporting includes those policies and procedures that (1) pertain
to the maintenance of records that, in reasonable detail, accurately
and fairly reflect the transactions and dispositions of the assets
of the company; (2) provide reasonable assurance that transactions
are recorded as necessary to permit preparation of financial
statements in accordance with generally accepted accounting
principles, and that receipts and expenditures of the company
are being made only in accordance with authorisations of
management and directors of the company; and (3) provide
reasonable assurance regarding prevention or timely detection
of unauthorised acquisition, use, or disposition of the company’s
assets that could have a material effect on the financial statements.
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.
In our opinion, InterContinental Hotels Group PLC maintained,
in all material respects, effective internal control over financial
reporting as of 31 December 2014, based on the COSO criteria.
We also have audited, in accordance with the standards of the
PublicCompany Accounting Oversight Board (United States),
theaccompanying Group statement of financial position of
InterContinental Hotels Group PLC as of 31 December 2014 and
2013, and the related Group income statement, Group statement
of comprehensive income, Group statement of changes in equity
and Group statement of cash flows for each of the three years in
the period ended 31 December 2014, and our report dated
16 February 2015 expressed an unqualified opinion thereon.
ERNST & YOUNG LLP
London, England
16 February 2015
Report of independent registered public
accounting firm
To the Board of Directors and Shareholders of InterContinental
Hotels Group PLC.
We have audited the accompanying Group statement of financial
position of InterContinental Hotels Group PLC as of 31 December
2014 and 2013, and the related Group income statement, Group
statement of comprehensive income, Group statement of changes
inequity and Group statement of cash flows for each of the three
years in the period ended 31 December 2014. These Financial
Statements are the responsibility of the Group’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.
In our opinion, the Financial Statements referred to above present
fairly, in all material respects, the consolidated financial position
of InterContinental Hotels Group PLC at 31 December 2014
and 2013, and the consolidated results of its operations and
its cash flows for each of the three years in the period ended
31 December 2014, in conformity with International Financial
Reporting Standards as issued by the International Accounting
Standards Board.
We also have audited, in accordance with the standards of the
PublicCompany Accounting Oversight Board (United States),
InterContinental Hotels Group PLC’s internal control over
financialreporting as of 31 December 2014, based on criteria
established in Internal Control-Integrated Framework issued
by theCommittee of Sponsoring Organizations of the Treadway
Commission (2013 Framework), and our report dated 16 February
2015 expressed anunqualified opinion thereon.
ERNST & YOUNG LLP
London, England
16 February 2015
Notes:
1. The maintenance and integrity of the InterContinental Hotels Group PLC
website is the responsibility of the Directors; the work carried out by the
auditors does not involve consideration of these matters and, accordingly,
the auditors accept no responsibility for any changes that may have occurred
to the Financial Statements since they were initially presented on the website.
2. Legislation in the United Kingdom governing the preparation and
dissemination of financial statements may differ from legislation in other
jurisdictions.
STRATEGIC REPORT GOVERNANCE
GROUP FINANCIAL STATEMENTS
PARENT COMPANY FINANCIAL STATEMENTS
ADDITIONAL INFORMATION
99
Independent Auditor’s US Report