Annual Report 2012 - IOI Group

SHAREHOLDERSDialogue Between the Company and InvestorsThe Company strives to maintain an open and transparent channelof communication with its stakeholders, institutional investors andthe investing public at large with the objective of providing asclear and complete picture of the Group’s performance andposition as possible. The Company believes that a constructiveand effective investor relationship is an essential factor inenhancing value for its shareholders. However, whilst the Companyendeavours to provide as much information as possible to itsshareholders and stakeholders, it is mindful of the legal andregulatory framework governing the release of material and pricesensitiveinformation.The Company uses the following key investor relation activities inits interaction with investors:• Meeting with analysts and institutional fund managers;• Participating in roadshows and investors conferences, bothdomestically and internationally; and• Participating in teleconferences with investors and analysts.The Group has also established several websites with the mainone being www.ioigroup.com for shareholders and the public toaccess corporate information, financial statements, news andevents related to the Group on a timely basis. Material facts andpresentation materials given out at above functions are madeavailable on the Group’s website to provide equal opportunity ofaccess for other shareholders and the investing public and toallow them to write in to the Group if they have questions.During the financial year, the Group had approximately 48meetings with analysts and investors. The Group enjoys a relativelyhigh level of coverage and exposure to the investment community.Besides the above, management believes that the Company’sAnnual Report is a vital and convenient source of essentialinformation for existing and potential investors and otherstakeholders. Accordingly, the Company strives to provide a highlevel of reporting and transparency that goes beyond mandatoryrequirements in order to provide value for users.Annual General Meeting and Other Communications withShareholdersHistorically, the Company’s Annual General Meetings (“AGMs”)have been well attended. It has always been the practice for theChairman to provide ample time for the Q&A sessions in the AGMsand for suggestions and comments by shareholders to be notedby management for consideration.Timely announcements are also made to the public with regard tothe Company’s quarterly results, corporate proposals and otherrequired announcements to ensure effective dissemination ofinformation relating to the Group.ACCOUNTABILITY AND AUDITDirectors’ Responsibility for Preparing the Annual AuditedFinancial StatementsThe Directors are required by the Companies Act, 1965 (the “Act”)to prepare financial statements for each financial year which give atrue and fair view of the Group and of the Company’s state ofaffairs, results and cash flows. The Directors are of the opinion thatthe Group uses appropriate accounting policies that are consistentlyapplied and supported by reasonable as well as prudent judgementsand estimates, and that the financial statements have been preparedin accordance with applicable approved Financial ReportingStandards in Malaysia, the provisions of the Act and the MainMarket Listing Requirements of Bursa Securities.The Directors are satisfied that the Group and the Company keepaccounting records which disclose with reasonable accuracy thefinancial position of the Group and of the Company and whichenable proper financial statements to be prepared. They have alsotaken the necessary steps to ensure that appropriate systems arein place to safeguard the assets of the Group, and to detect andprevent fraud as well as other irregularities. The systems, by theirnature can only provide reasonable and not absolute assuranceagainst material misstatements, loss and fraud.Financial ReportingIn presenting the annual financial statements and quarterlyfinancial results announcements to shareholders, the Board aimsto present a balanced and comprehensible assessment of theGroup’s financial position and prospects and ensures that thefinancial results are released to Bursa Securities within thestipulated time frame and that the financial statements complywith regulatory reporting requirements. In this regard, the Boardis assisted by the Audit and Risk Management Committee.92IOI CORPORATION BERHADAnnual Report 2012