Frontken Berhad Annual Report 2017

29 Frontken Corporation Berhad (651020-T) ANNUAL REPORT 2017 PRINCIPLE B – EFFECTVE AUDIT AND RISK MANAGEMENT (cont’d) II. Risk Management And Internal Control Framework (cont’d) The Audit Committee assists the Board in reviewing the adequacy and operating effectiveness of the system of risk management and internal control in the Group. The Audit Committee does this via the deployment of an independent outsourced internal audit function that conducts internal audit based on an internal audit plan approved by the Audit Committee. Findings raised from internal audit are presented directly to the Audit Committee, including the remedial measures and action plans agreed by Management to address the matters so highlighted. For more details of the Internal Audit function, refer to the Statement on Risk Management and Internal Control which is included in the Company’s 2017 Annual Report as well as the Corporate Governance Report that is made available on the Company’s website at www.frontken.com . The Audit Committee is responsible to oversee the risk management framework and policies while Management of the respective business units or subsidiaries tasked to manage business risks, including developing, implementing and monitoring mitigating measures to manage such risks to acceptable levels. Details of the Group’s Risk Management framework, activities carried out for the financial year under review and reporting processes are set out in the Statement on Risk Management and Internal Control included in this Annual Report. PRINCIPLE C – INTEGRITY IN CORPORATE REPORTING AND MEANINGFUL RELATIONSHIP WITH STAKEHOLDERS I. Communication With Stakeholders The Board recognises the importance of being transparent and accountable to the Company’s stakeholders and acknowledges the continuous communication between the Company and stakeholders would facilitate mutual understanding of each other’s objectives and expectations. As such, the Board consistently ensures the supply of clear, comprehensive and timely information to their stakeholders via various disclosures and announcements including quarterly and annual financial results which provides investors with up-to-date financial information of the Group. All these announcements and other information about the Company are available on the Company’s website at www. frontken.com where shareholders, investors and public may access. In addition, the Directors also ensure that engagement with shareholders occurs at least once a year during the AGM to better understand their needs and obtain their feedback. II. Conduct Of General Meetings The AGM is the principal forum for shareholder dialogue, allowing shareholders to review the Group’s performance via the Company’s Annual Report and pose questions to the Board for clarification. At the 13th AGM held on 30 May 2017, all the Directors (including the chair of the Board Committees) were present in person to engage directly with and were accountable to the shareholders for their stewardship of the Company. During the AGM, shareholders participated in deliberating resolutions being proposed or on the Group’s operations in general. The Directors and Senior Management appropriately responded to all questions raised and provided clarification as required by the shareholders. The Board has not adopted electronic voting as the number of shareholders turning up for the AGM was relatively small and the voting for resolutions was expediently carried out by traditional balloting, supervised by an independent scrutineer. The Board has set up the corporate website at www.frontken.com to encourage shareholders and investors to pose questions and queries to the Company. These questions and queries will be attended to by the Company’s Senior Management. In addition, the Board also encourages shareholders, stakeholders and other investors to communicate with the Company through other channels, via post at Suite 301, Block F, Pusat Dagangan Phileo Damansara 1, No. 9, Jalan 16/11, Off Jalan Damansara, 46350 Petaling Jaya, Selangor, Malaysia, fax at (03) 7968 3316 or e-mail at erichee@ frontken.com. This Statement is dated 28 March 2018. Corporate Governance Overview Statement (cont’d)