Finance and Investment Committee (“FIC”) report
The FIC of NWR was established by the Board at the end of 2007 and started meeting in January 2008.
The main responsibilities of the FIC are to:
- review and recommend to the Board the annual budget of the NWR Group;
- review, recommend to the Board and approve all major strategic or financial investments and divestments and other major capital expenditure decisions;
- review the adequacy of the NWR Group’s capital structure and make recommendations to the Board;
- advise on relationships with banks, rating agencies and financial institutions;
- oversee and provide guidance on funding and treasury management; and
- take decisions on all matters related to NWR subsidiaries.
Composition
The FIC presently comprises: Peter Kadas (Chairman), Zdeněk Bakala, Mike Salamon, Marek Jelínek and Alex T. Krueger. The members are appointed by the Board and include Executive and Non-Executive Directors and NWR’s CFO.
Activities undertaken during the year
In 2008, the FIC met six times. Among the main items discussed by the FIC and recommended for the Board’s approval were: IPO strategy, Group budget for 2008, treasury, cash pooling and hedging arrangements, dividend policy, capital expenditure financing, Group Corporate Governance and contingency plans for 2009. The FIC also reviewed market analysis and monitored the performance of NWR shares. The committee also took a number of decisions on financial and operating matters of NWR subsidiaries. It regularly reported to the Board.
Self-assessment
The FIC is of the view that its composition is appropriate and that its members carried out all duties and responsibilities set out in the charter and that it acted fully in line with the charter.
The charter of the FIC is available on NWR’s website at www.newworldresources.eu.