Trend Micro 2011 Annual Report Download - page 43

Certified copy of the audit report by the Board of Corporate Auditors
AUDIT REPORT
In order to audit the business activities of the Directors undertaken during the 23rd fiscal
year from January 1, 2011, to December 31, 2011, we, the Board of Corporate Auditors, prepared
this Audit Report based on the Audit Report prepared by each Corporate Auditor and hereby
report as follows:
1. Method of Audit by Corporate Auditors and the Board of Corporate Auditors and Details
In addition to specifying the auditing guidelines and assigned business, etc. and
receiving reports on the audit and its results from each Corporate Auditor, we have received
reports from the Directors and the accounting auditor on their performance of duties and
requested explanations when necessary.
In accordance with the auditing guidelines and assigned business, etc. specified by the
Board of Corporate Auditors, each Corporate Auditor has communicated with the Directors,
the internal control division and other employees and made efforts to collect information and
improve the auditing environment. Each Corporate Auditor has attended meetings of the
Board of Directors and other important meetings and has been informed by the Directors and
other employees in respect of the status of performance of their duties and requested
explanations when necessary. Furthermore, each Corporate Auditor has examined important
documents in respect of the authorization of corporate actions, etc., and inspected the
operations and the assets at the Head Office and other principal business offices. Also, we
regularly received reports from the Directors and other employees, requested explanation
from them whenever necessary, and expressed our opinions on the resolution of the Board of
Directors concerning the establishment of a system to ensure that performance by the
Directors of their duties described in Business Report complies with applicable laws and
regulations and the Articles of Incorporation or other systems necessary to ensure validity of
operations of
Kabushiki Kaisha as provided for in Article 100, paragraphs 1 and 3 of the
Ordinance for Enforcement of the Companies Act and the status of the system (internal
control system) established based on such resolution. As to subsidiaries, in addition to
communicating with the Directors in charge, we have received reports from subsidiaries on
their businesses. Based on the above-mentioned method, we have examined the Business
Report and its supplementary schedules for the said fiscal year.
Furthermore, in addition to monitoring and verifying that the Accounting Auditor
maintains its independence and conducts the audit properly, we have received reports from
the Accounting Auditor on the performance of its duties and requested explanations when
necessary. We have received notice from the Accounting Auditor concerning that the “system
to ensure that duties are properly performed” (matters stipulated in each item of Article 131
of the Corporate Accounting Ordinance) is established in accordance with the “Quality
Management Standards concerning the Audit” (October 28, 2005, Business Accounting
Council) and requested explanations when necessary. Based on the above method, we have
examined the unconsolidated financial statement (balance sheet, profit and loss statement,
statements of changes in net assets and notes to the unconsolidated financial statements)
and their supplementary schedules, and the consolidated financial statements (consolidated
balance sheet, consolidated profit and loss statement, consolidated statements of changes in
net assets and notes to the consolidated financial statements) for the fiscal year under review.
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