LeapFrog 2003 Annual Report Download - page 115

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In 2003 our board had two committees: an Audit Committee and a Compensation Committee. In April 2004,
our board formed a third committee, a Nominating and Corporate Governance Committee. The following table
provides membership and meeting information for each of the board committees existing in 2003:
Member of our board of directors in the fiscal year 2003 Audit Compensation
Thomas J. Kalinske ...........................................
Paul A. Rioux ...............................................
Michael C. Wood ............................................
E. Stanton McKee, Jr. ......................................... X*(1)
Jeffrey Berg ................................................. X X
Steven B. Fink ...............................................
Stanley E. Maron ............................................
Barry Munitz ................................................ X(2) X*
Stewart A. Resnick ........................................... X X
Sarina D. Simon .............................................
Total meetings in fiscal year 2003 ............................... 8 3
*Committee Chairman
(1) Mr. McKee was elected to our board of directors in November 2003. At that time he was appointed Audit
Committee Chairman. Prior to Mr. McKee’s appointment, Mr. Berg served as our Audit Committee
Chairman.
(2) Upon Mr. McKee’s appointment to our Audit Committee in November 2003, Mr. Munitz ended his service
on our Audit Committee.
Below is a description of each committee of the board of directors. Each of the committees has authority to
engage legal counsel or other experts or consultants, as it deems appropriate to carry out its responsibilities. The
board of directors has determined that each member of each committee meets the applicable rules and regulations
regarding “independence” and that each member is free of any relationship that would interfere with his or her
individual exercise of independent judgment with regard to LeapFrog.
AUDIT COMMITTEE
The Audit Committee of our board of directors oversees LeapFrog’s corporate accounting and financial
reporting process. For this purpose, the Audit Committee performs several functions. Among other things, the
Audit Committee:
•evaluates the performance of and assesses the qualifications of the independent auditors;
•determines the engagement of the independent auditors;
•determines whether to retain or terminate the existing independent auditors or to appoint and engage
new independent auditors;
•reviews and approves the retention of the independent auditors to perform any proposed permissible
non-audit services;
•monitors the rotation of partners of the independent auditors on LeapFrog’s engagement team as
required by law;
•confers with management and the independent auditors regarding the effectiveness of internal controls
over financial reporting;
•establishes procedures, as required under applicable law, for the receipt, retention and treatment of
complaints received by us regarding accounting, internal accounting controls or auditing matters and the
confidential and anonymous submission by employees of concerns regarding questionable accounting or
auditing matters;
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