Astral Foods Annual Report 2008

CORPORATE GOVERNANCE (continued)ORGANISATIONAL INTEGRITY AND ETHICSWe maintain a code of ethics, which requires all employees, managers and directors to comply with the letterand spirit of the code by observing the highest ethical standards and to ensure that all business practices areconducted in a manner which is beyond reproach.We maintain a zero-tolerance approach to unethical behaviour. Any employee found to be acting unethicallyis subject to disciplinary proceedings, which can lead to dismissal. An independent hotline is available whereunethical behaviour, workplace dishonesty, fraud, theft or any other crime may be reported anonymously.The Code of Ethics includes:✦✦✦✦✦✦✦Compliance with laws and regulations and codes;Culture, ethics and values;Client service;Privacy and confidentiality;Respect and dignity;Social responsibility; andConflict of interest.The board has no reason to believe that there has been any material non-adherence to the code of ethics duringthe year under review.RESTRICTIONS ON SHARE DEALINGSDirectors and employees are prohibited from dealing in Astral shares during price sensitive periods. There is aformal clearance procedure in place with respect to directors dealing in Astral shares. Closed periods extend from31 March and 30 September, being the commencement of the interim and year-end reporting dates, up to thedate of announcement of interim and year-end results, and include any other period during which the companyis trading under a cautionary announcement.RISK MANAGEMENT AND INTERNAL CONTROLRisk management is an integral part of our culture and strategic operations. The audit and risk managementcommittee is responsible for assessing our management of identified risk issues.The board believes its focus on risk issues is appropriate and that an adequate system of internal control is inplace to mitigate significant risks and to provide the board with a reliable means of monitoring operationalsustainability.Internal control self-appraisal systems are in place for all operations and are reviewed at divisional auditcommittee meetings. Annual audits are conducted in respect of health and safety, risk control organisation,emergency planning and fire and loss control. Documented crisis management plans are in place for alloperations. In addition, we promote ongoing commitment to risk management and control by participating inexternally organised risk management and safety programmes such as ISO 9001/2000, Good ManufacturingProcesses (GMP) and Hazard Analysis and Critical Control Points (HACCP) at our various operations.Astral Foods Annual Report 2008In terms of the current Environmental Risk Management programme within the group, all manufacturingbusiness units are audited on a three year rotational basis. These audits are completed by a third party auditingcompany – Alexander Forbes Risk Engineering. Audits are aligned with the Group Environmental RiskManagement Policy Statement and aim to highlight areas of risk exposure and legal non compliance.The board believes that it has reasonable, but not absolute, assurance with regard to the effectiveness andefficiency of operations, protection of assets and information, and regulatory and legal compliance.20