Western Digital 2005 Annual Report Download - page 70

Inherent Limitations of Effectiveness of Controls
The Company's management, including its Chief Executive Officer and its Chief Financial Officer, does not expect
that its disclosure controls and procedures or its internal control over financial reporting will prevent all error and all fraud.
A control system, no matter how well conceived and operated, can provide only reasonable, not absolute, assurance that
the objectives of the control system are met. Further, the benefits of controls must be considered relative to their costs.
Because of the inherent limitations in all control systems, no evaluation of controls can provide absolute assurance that all
control issues and instances of fraud, if any, within the Company have been detected. These inherent limitations include
the realities that judgments in decision-making can be faulty, and that breakdowns can occur because of simple error or
mistake. Additionally, controls can be circumvented by the individual acts of some persons, by collusion of two or more
people, or by management override of the control. The design of any system of controls is also based in part upon certain
assumptions about the likelihood of future events, and there can be no assurance that any design will succeed in achieving
its stated goals under all potential future conditions. Because of the inherent limitations in a cost-effective control system,
misstatements due to error or fraud may occur and not be detected.
Item 9B. Other Information
At a board meeting held on August 5, 2005, our board of directors approved the payment of $2,500 per day (or
time aggregating a full work day) for time spent by any independent director outside of board or committee meetings
assisting with specified succession planning matters.
PART III
Item 10. Directors and Executive Officers of the Registrant
There is incorporated herein by reference the information required by this Item included in the Company's Proxy
Statement for the 2005 Annual Meeting of Shareholders, which will be filed with the Securities and Exchange
Commission no later than 120 days after the close of the fiscal year ended July 1, 2005, except that the information
required by this Item 10 concerning executive officers is set forth in Part I of this report under ""Item 1. Business Ì
Executive Officers of the Registrant.''
Item 11. Executive Compensation
There is incorporated herein by reference the information required by this Item included in the Company's Proxy
Statement for the 2005 Annual Meeting of Shareholders, which will be filed with the Securities and Exchange
Commission no later than 120 days after the close of the fiscal year ended July 1, 2005.
Item 12. Security Ownership of Certain Beneficial Owners and Management and Related
Stockholder Matters
There is incorporated herein by reference the information required by this Item included in the Company's Proxy
Statement for the 2005 Annual Meeting of Shareholders, which will be filed with the Securities and Exchange
Commission no later than 120 days after the close of the fiscal year ended July 1, 2005.
Item 13. Certain Relationships and Related Transactions
There is incorporated herein by reference the information, if any, required by this Item included in the Company's
Proxy Statement for the 2005 Annual Meeting of Shareholders, which will be filed with the Securities and Exchange
Commission no later than 120 days after the close of the fiscal year ended July 1, 2005.
Item 14. Principal Accountant Fees and Services
There is incorporated herein by reference the information required by this Item included in the Company's Proxy
Statement for the 2005 Annual Meeting of Shareholders, which will be filed with the Securities and Exchange
Commission no later than 120 days after the close of the fiscal year ended July 1, 2005.
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