Cummins Inc. 2007 Sustainability Report

› The effectiveness of internal controls
and risk management practices
› Compliance with all applicable laws
and regulations
› Communications and relationships
with stakeholders
In discharging its fiduciary duties to act in the best
interests of the Company, the Board considers the
effect of its actions on shareholders, employees,
suppliers, customers, communities and the interests
of society as represented by our regulators. The
Board has seven standing committees: Executive
Committee, Audit Committee, Compensation
Committee, Governance and Nominating Committee,
Finance Committee, Technology and Environment
Committee and Proxy Committee. The responsibilities
of the Audit, Compensation, Governance and
Nominating, Finance and Technology and
Environment committees are set forth in written
committee charters approved by the Board.
The Company complies with all NYSE and
regulatory requirements concerning the
membership of certain committees, including
the requirements with respect to independence
and financial expertise. The Governance and
Nominating Committee reviews the committee
structures of the Board and the membership
of the various committees annually, and makes
recommendations for any changes to the Board.
Managing Risks
Controlling Exports
Ravi Pandit (right), KPIT Cummins Chairman
and Group CEO, accepts India’s prestigious
Golden Peacock Award for Excellence in
Corporate Governance 2007.
As an international Company, Cummins faces a
complex set of export controls. The United States
frequently imposes trade embargoes against
certain countries and places restrictions on items
that can be shipped to certain other countries.
Cummins follows all applicable U.S. export laws,
but goes further in some instances. For example,
Governance
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