Mercedes 2002 Annual Report Download - page 158

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The Executive Automotive Committee
The Executive Automotive Committee (EAC) has been estab-
lished as a committee of the Board of Management. The task
of the EAC is to coordinate all cross-divisional automotive
issues and to identify potential for improving efficiency. The
EAC prepares Board of Management decisions and regularly
informs the Board of Management of its activities. Further
details of the work of the EAC can be found on pages 42 and
43 of this Annual Report.
The Chairman’s Council
The Chairman’s Council is headed by the Chairman of the
Board of Management of DaimlerChrysler AG, and reflects
elements of US and German corporate governance. It advises
the Board of Management, primarily on questions of global
business strategy.
The International Advisory Board
The International Advisory Board (IAB) consults with the Board
of Management of DaimlerChrysler once a year on develop-
ments in the fields of the global economy, technology, politics
and society, and their effects on the company’s activities.
The IAB is composed of high-ranking international per-
sonalities from the fields of economics, politics and science.
Guest speakers are also invited to hold talks on issues of
current relevance.
Financial statements
The consolidated financial statements of the DaimlerChrysler
Group are prepared in accordance with United States
Generally Accepted Accounting Principles (US GAAP). Details
of US GAAP can be found on page 94 of this Annual Report.
The year-end financial statements of DaimlerChrysler AG
are prepared in accordance with the accounting guidelines of
the German Commercial Code (HGB). Both sets of financial
statements are audited by an independent company of auditors.
Risk management
DaimlerChrysler has a risk-management system commen-
surate with its situation as a company with global operations
(details can be found on page 78 et seq. of this Annual Report
or on the Internet at www.daimlerchrysler.com/corpgov_e
under transparency). The risk-management system is one
component of the overall planning, controlling and reporting
process. Its goal is to enable the company’s management
to recognize significant risks at an early stage and to initiate
appropriate countermeasures.
The Chairman of the Supervisory Board has regular contacts
with the Board of Management to advise not only on the
Group’s strategy and business developments, but also to
discuss the issue of risk management.
Transparency
DaimlerChrysler regularly informs its shareholders, financial
analysts, shareholders’ associations, the media and the
interested public on the situation of the company and on any
significant changes in its business.
In accordance with the principle of fair disclosure, all share-
holders are equally treated with regard to the disclosure of
information. All new facts that DaimlerChrysler communicates
to institutional investors and financial analysts are simultane-
ously also made available to the shareholders. If any
information is made public outside Germany as a result of the
regulations governing capital markets in the respective
countries, the company also makes this information available
without delay in Germany in the original version, or at least in
English. In order to ensure that information is provided quickly
and equally, DaimlerChrysler makes full use of the Internet,
but also of other methods of communication.
In a financial diary all the dates of important disclosures
(e.g. the Annual Report, interim reports, the Annual Meeting)
are published in advance. The financial diary can also be
accessed on the Internet, at
www.daimlerchrysler.com/ir/calendar.
In addition to its regular scheduled reporting, Daimler-
Chrysler also reports without delay any new facts which may
arise within the company’s areas of activity and which are
not known to the public, if these facts are likely to have a sub-
stantial impact on the stock-market price of DaimlerChrysler’s
shares due to their effects on the company’s assets, financial
situation or general course of business (ad-hoc publications).
DaimlerChrysler also reports, in accordance with the require-
ments of the law and without any delay, after being informed
that by means of acquisition, disposal or any other method,
the shareholding in DaimlerChrysler AG of any person or insti-
tution has reached, exceeded or fallen below 5, 10, 25, 50
or 75%.
152 |Corporate Governance