Pallet-Management-Services - AFM

The Supervisory Board has established committees whose duties, responsibilities and
processes are set out in separate charters (see below).
The Supervisory Board discussed on its own, without the Board of Managing Directors or the
Executive Management Committee being present, both their functioning and that of their
individual members as well as the competence and the composition of the Supervisory Board.
The Supervisory Board discussed the corporate strategy and the business plan of the Company
as well as the risks of the business. The discussion with the Board of Managing Directors and
the Executive Management Committee regarding the structure and operation of internal risk
management and internal control systems was delegated to the Audit Committee.
SUPERVISORY BOARD COMMITTEES
In order to fulfil the requirements of the Dutch Corporate Governance Code and the rules of the
Frankfurt Stock Exchange, the Supervisory Board has established committees whose duties,
responsibilities and processes are set out in separate charters.
Audit Committee
Effective September 6, 2005 the Supervisory Board adopted a charter of the Audit Committee.
This charter was amended on November 20, 2006.
Pursuant to its charter, the Audit Committee is to be composed of at least three Supervisory
Board members. All members of the Audit Committee are required to be financially literate and
at least one member shall be a financial expert as defined in BPP III.3.2. of the Dutch Corporate
Governance Code.
The Audit Committee is currently composed of Ralf Gruss (Chairman), Hervé Defforey and Dr.
Philipp Gusinde. All of them are financially literate and Mr. Defforey is qualified as the financial
expert.
According to the charter, the Audit Committee shall meet as often as it determines necessary,
but not less frequently than quarterly.
The Audit Committee met five (5) times in 2006. The main items discussed in these meetings
were: annual and interim financial statements, earnings releases, audit findings, audit fees,
external audit planning, internal audit planning and results, internal control, risk management
system and tax issues.
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