Internal control system for financial reporting

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Since delisting from the New York Stock Exchange in 2007, the Telekom Austria Group has retained the internal control system (ICS) for financial reporting as was required by law up until that time. The ICS is intended to provide reasonable assurance regarding the reliability and accuracy of external financial reporting in compliance with international and national standards. Regular internal reporting to management and the review of the internal control system by Internal Audit also ensure that weaknesses are identified promptly and reported and eliminated accordingly. The most important content and principles apply to all Telekom Austria Group subsidiaries. Each significant financial transaction has a risk and control matrix to ensure that its financial reporting is correct and complete. The effectiveness of this system is reviewed, analysed and assessed at regular intervals. At the end of each year, the Group’s management carries out an assessment of the relevant companies with the involvement of the business units. Based on the findings of this assessment and the defined criteria, the management declared the internal control system to be effective as at 31 December 2014.

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