Avner Oil - Annual Report 2011 - Delek Energy Systems

5. External auditors' feesThe amounts paid to the Partnership's external auditors, and the Partnership's share of the fees in jointtransactions and in Delek, Avner, Yam Tethys Ltd.For audit and auditrelatedservices andtax servicesNISthousandsHours2011 2010For other servicesNISthousandsHoursFor audit and auditrelatedservices andtax services 2NISthousandsHoursAvner Partnership 3Kost Forer Gabbay & Kasierer 425 2,163 462 242 2,2 1,902Joint transactions:Kost Forer Gabbay & KasiererCPA Ziv Haft106102489462Delek and Avner Yam Tethys:Ziv Haft CPA and Kost ForerGabbay & Kisierer 12 21 38 57Total 645 3,135 448 ,,, 637 2,1912,423123046. Approval of the financial statementsThe board of directors of the General Partner is the organ charged with overall supervision of thePartnership.The Companies (Provisions and Conditions for the Process of Approving the Financial Statements)Regulations, 5770-2010, do not apply to the Partnership.Nevertheless, in 2008 the General Partner's board of directors appointed a committee to review thePartnership's financial statements ("Balance Sheet Committee") which makes recommendations to theboard of directors regarding approval of the financial statements.The balance sheet committee includes board members Gabi Last, Gideon Tadmor and BarakMasharak, who has accounting and financial expertise.The Partnership's external auditor and internal auditor are invited to the meetings of the balance sheetcommittee and the board of directors at which financial statements are discussed and approved.The balance sheet committee reviews the material issues in the financial statements, including materialtransactions that are not in the normal course of business, if there are any, the material assumptions andcritical estimates employed in the financial statements, the reasonability of the data, the accounting policywhich was applied and any changes to that policy, as well as the application of principle of fair disclosure inthe financial statements and accompanying information. Where necessary and upon request, the balancesheet committee receives comprehensive reviews of matters of particular significance. As part of theprocedure for approval of the Partnership's financial statements by the board of directors of the GeneralPartner, a draft of the financial statements, a draft of the Board of Directors' report, and a draft of updates toChapter 1 (Description of the Corporation's Business) in the annual Periodic Report, are sent to the boardmembers and the Commissioner for review several days before the meeting scheduled to approve thefinancial statements. During the board meeting at which the financial statements are discussed andapproved, the General Partner's officeholders review in detail the main points of the financial statements,the material issues in the financial reporting, the financial results, and the Partnership's financial positionand cash flow. In addition, information on the Partnership's operations is presented and compared withprevious periods.Two of the four board members have accounting and financial expertise.23In 2010 Alafia & Alafia were the external auditors of the Partnership, and in 2011 they merged with Kost ForerGabbay and Kasierer.The fees of the external auditors for their work were set in discussions with the Company's management and arebased on past experience, assessment of the number of hours for the year, and actual hour reports from the prioryear.B-16