IBERSOL | 2019 Annual Report

2019 ANNUAL REPORT III.12. The supervisory body should provide its view on the work plans and resources of the in- ternal auditing service, including the control of compliance with the rules applied to the com- pany (compliance services) and of internal audit, and should be the recipient of the reports prepa- red by these services, at least regarding matters related with approval of accounts, the identifica- tion and resolution of conflicts of interest, and the detection of potential irregularities. Adopted 37, 38, 49, 51, 55 Chapter IV EXECUTIVE MANAGEMENT Recommendation Degree of Compliance Corporate Governance Report IV.1. The managing body should approve, by in- ternal regulation or equivalent, the rules regar- ding the action of the executive directors and how these are to carry out their executive func- tions in entities outside of the group. Adopted 22,27 and 61 IV.2. The managing body should ensure that the company acts consistently with its objects and does not delegate powers, namely, in what re- gards: i)the definition of the strategy and main policies of the company; ii)the organisation and coordination of the business structure; iii)mat- ters that should be considered strategic in virtue of the amounts involved, the risk, or special cha- racteristics. Adopted 21, 24, 27 and 29 IV.3. In matters of risk assumption, the managing body should set objectives and look after their accomplishment. Adopted 24,29, 50 and 52 IV.4. The supervisory board should be internally organised, implementing mechanisms and pro- cedures of periodic control that seek to guaran- tee that risks which are effectively incurred by the company are consistent with the company’s objectives, as set by the managing body. Adopted 50 and 51 185