Corporate governance comprises the entire management and monitoring system of the company, including its organization, its corporate policy principles and guidelines, and its internal and external controlling and supervisory mechanisms. Good, transparent corporate governance ensures a company is managed and controlled responsibly, and with an orientation to value-creation.
It promotes the trust of national and international investors, financial markets, business partners, employees, and the general public, in centrotherm photovoltaics AG.
The "Government Commission for the German Corporate Governance Code" set up by the Federal Minister for Justice in September 2001 approved the German Corporate Governance Code ("Code") on February 26, 2002, and passed various modifications to the Code most recently on June 14, 2007. The Code provides recommendations and suggestions for the management and monitoring of German listed companies. The Code contains recommendations (so called "target regulations") and suggestions (so-called "optional regulations") on corporate governance relating to shareholders and shareholders' general meetings, management and supervisory boards, transparency, accounting, and auditing.
There is no obligation to comply with the recommendations or the suggestions contained in the Code. Stock corporation law solely obligates the management and supervisory boards of a listed company to make an annual declaration as to whether the recommendations of the Code have been, and are, complied with, or to declare which recommendations have not been, and are not, applied. The declaration should be made permanently available to shareholders. It is possible to diverge from suggestions made in the Code without making related disclosure.
A download of the German Corporate Governance Code is available here www.corporate-governance-code.de