IBERSOL | Annual Report 2021

CORPORATE GOVERNANCE REPORT dated turnover. The Group began to monitor receivables more regularly with the aim of: i) control the credit granted to customers; ii) analyse the age and recoverability of receivables; iii) analyze the risk profile of customers. d) Liquidity risk Liquidity risk management implies the maintenance of sufficient cash and bank deposits, the feasibility of consolidating floating debt through an adequate amount of credit facilities and the ability to liquidate mar- ket positions. The management of cash requirements is based on annual planning, which is reviewed quarterly and adjusted on a daily basis. In accordance with the dynamics of the underlying business, the Ibersol Group has been performing a flexible management of commercial paper and the negotiation of credit lines available at all times. e) Capital risk The Company seeks to maintain a level of own capital appropriate to its principal business (cash sales and supplier credit) and ensure its conti- nuity and expansion. The balance of the capital structure is monitored based on the finan- cial leverage ratio (defined as: net remunerated debt / net remunerated debt + equity) with the aim of placing it between 50% -75%. Environmental Risk management in the environmental area falls within the domain of the Quality Department, responsible for implementing and reinforcing sustainability concepts with a view to adopting more sustainable and efficient practices in all aspects of the Ibersol Group’s activity. In this context, there are several measures implemented in the promotion of responsible and proactive behaviors and procedures that distribute shared value to the business, environment and society, in areas consid- ered as priorities, namely the circular economy and waste management, the preservation of resources and reducing the ecological footprint. It is also worth noting the recertification in the NP EN ISO 14001: 2015 Standard - Environmental Management Systems, in different business 272