Shareholders' Letter

8.4 Supplementary fees
The supplementary fees for non-audit services such as tax and other advisory services (other services)
amounted to CHF 0.4 million (previous year: CHF 0.74 million).
8.5 Supervision and controlling instruments vis-à-vis the auditors
The Audit Committee verifies the qualifications, independence and performance of the statutory
auditors on behalf of the Board of Directors, approves the integrated strategic audit plan of the
auditors, which includes the annual audit plan of both the internal and external auditors, and proposes
the appointment and discharge of auditors to be appointed or discharged by the Annual
General Meeting. It defines the criteria for the annual approval of fees. The CFO reports quarterly
and the auditors annually on current mandates being performed by the auditors, broken down
into audit services, audit-related services and non-audit services. It is also responsible for observing
the statutory rotation principle of the auditor in charge. The statutory auditors, represented by
the auditor in charge and his representative, usually attend all meetings of the Audit Committee
and report in detail on the performance and results of their activities. In particular they report
half-yearly and yearly on the findings of their review. They submit a written report to the Board of
Directors and the Audit Committee about the implementation and results of the half-yearly
reviews and the final annual audit, as well as on their findings with regard to accounting and the
internal control system. The Chairman of the Committee also liaises closely with the auditor in
charge and regularly reports to the Board of Directors.
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Corporate Governance