Main Principles of the Risk Management Process

In connection with the strategy process and annual planning the CEO reviews business risks which could endanger the achievement of strategic or financial targets. The risk assessments of the strategy process are produced in accordance with the group’s risk management process. Strategic and operative risks are monitored through monthly reporting by businesses in the Board of the Company. According to the risk management process, the Business Segments and Enabling Functions must produce assessments of risks in their designated areas of responsibilities and provide action plans to manage risks as well as to report on measures taken including the stage and effectiveness of such measures. These assessments and action plans are consolidated at the group level. The Company’s CLO is responsible for the risk management process and coordinates its appropriateness and compliance.