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Paving the way to Integrated Reporting <IR>

Corporate Reporting Awards

www.pwc.com/mu/cra

04 March 2015 Presenting the Jury Findings

PwC Corporate Reporting Awards 2015

Welcome

1 The Awards

2 The Process and Review

3 The Judging Panel

4 The Ceremony

2015

2

04 March 2015 Paving the way to Integrated Reporting <IR>


The Awards

Category Awards

• SEM-10 • Financial Institutions • Listed Companies • Non-listed Public Interest Entities and

Parastatals

Cross-Category Awards • Online Reporting • Corporate Governance Disclosures • Risk Management Disclosures - financial

institutions • Risk Management Disclosures - non-financial

institutions

Entities listed on the SEM are automatically considered for the Award.

Non-listed PIEs, state-owned entities and parastatals will only compete if they submit their ARs for review.

Where an entity has the attributes of more than one category, it will qualify to participate in the top most category.

2015

3



Process and Review

3-6 reports

Per category

103 Annual Reports

104 websites

4 websites

172 entities initially

identified

172 entities initially

identified

103 Annual Reports

104 websites

3-6 reports

per category

4 websites

Review by

Judging Panel

Review by

Judging Panel

PwC screening and review Shortlisted for Awards Jury final decision

2015

4



The Judging Panel

Mrs Sharona Rambocus Mr Jean-Paul de Chazal Dr Raj Daliah Mr Cyril Wong Sun Thiong Mr Maurice de Marassé Enouf

5



Time for the ceremony

2015

6



Cross-Category Awards Risk Management Disclosures Financial and Non-Financial Institutions

7



Findings

• Not a good year for banks from a risk management perspective

• More difficult to report on negative performance

• Reporting approach varied

• Say nothing

• Say a little bit

• Say a little bit more

• Are you walking the talk?

Risk Management Disclosures Financial Institutions

Sponsored by the MIoD

8


Recommendations

• Tell it as it is!


Findings

• Increased disclosures

• Trend to add risk oversight to audit committees – is this right?

• Mapping of strategic risks and related mitigating actions

• Explanation of risk assessment methodology

• Details on how risk condition have evolved during the year

• Early days in the risk management maturity journey – still some way to travel

Risk Management Disclosures Non-Financial Institutions


9


Recommendations

• Focus on changes in the year

• Connect your risk disclosures

• Explain your appetite for the identified risks

• Rank your risk in order of significance

• Demonstrate how this appetite is reflected in the entity culture and the day to day management and governance processes

• Use more graphics


Trends and best practices from Fresnillo Achievements and plans

Risk Management

10



Trends and best practices from Fresnillo Risk profiling

Risk Management

11



Trends and best practices from Fresnillo Evolution of risk profile

Risk Management

12



Trends and best practices from Lloyds Banking Group - Achievements

Risk Management

13



Trends and best practices from Lloyds Banking Group - Priorities for next year

Risk Management

14



Trends and best practices from Lloyds Banking Group - Risks mapped to Mitigating Actions…

Risk Management

15



… and mapped to KRI and future focus

Risk Management

16



Trends and best practices from Lloyds Banking Group - Not just Financial and Capital Risks

Risk Management

17



Trends and best practices from Lloyds Banking Group - Connectivity of information

Risk Management

18



Trends and best practices from Lloyds Banking Group - Emerging Risks

Risk Management

19



Trends and best practices from Lloyds Banking Group - Risk and Risk Appetite defined and explained

Risk Management

20



Trends and best practices from Lloyds Banking Group - Consistent presentation

Risk Management

21





AfrAsia Bank Limited

The Mauritius Commercial

Bank Ltd

State Bank of Mauritius Ltd

Nominees

22





Winner: The Mauritius Commercial Bank Limited

23


Mr Anthony Withers receiving his Award from Mr Jean-Paul de Chazal, Jury Member




Air Mauritius Limited

Omnicane Limited

Rogers & Company Ltd

Nominees

24



Winner: Air Mauritius Limited



25


Mrs Jane Valls (MIoD) presenting the Award to Mr Vijay Seetul


Corporate Governance Disclosures

Sponsored by the NCCG

26



Corporate Governance Disclosures

Findings

• High level of compliance

• Key areas for improvements

• How you remunerate your executive directors

• Safeguarding external auditor’s independence

• Composition of Board Committees

• Risk oversight to audit committees

• Boards are well attended

• Board evaluations

• Better health & safety and sustainability disclosures


27


Recommendations

• Focus on changes

• Consider putting static information on website

• Executive remuneration

• Evolution over the year and rationale for change

• Fixed and variable portion

• Long-term incentives

• Watch out for the new Code


Corporate Governance Disclosures Nominees


Nominees

Terra Mauricia Ltd

ENL Land Ltd

MCB Group Limited

Omnicane Limited


28



Corporate Governance Disclosures Winner

Winner: Terra Mauricia Ltd


29


Dr Raj Daliah, Jury Member, presenting the Award to Mr Maurice Enouf


Online Reporting

30



Online Reporting

Websites were assessed from the perspective of an investor or a provider of financial capital.

31


Focus on:

• Ease of access & navigation

• Newsworthy information

• Technology

• Variety of support

• Financial highlights

• Link with off-screen activity


Online Reporting

Findings

• Rather easy to locate the financial pages

• Mostly static information

• Some viewing and navigation issues

• < 50% of listed entities had updated share prices on home page

• Prices not the latest prices

• Investor presentations

• Board committee charter

32



Online Reporting

Recommendations

• Provide relevant up-to-date information

• Give information that your shareholders want to see

• Appoint an investor relation contact

• Adapt to digital media

Web trends

• Investor tools

• RSS feeds and email alerts

• Webcasts

• AGM Q&A

• Investor Relations Apps

33



Online Reporting Nominees

Nominees


ENL Group


MCB Group Limited

34



Online Reporting

Winner: MCB Group Limited

35


Mr Gilbert Gnany receiving the Award from Mrs Sharona Rambocus, Jury Member


The Categories

36



Categories

Findings

• Few are embracing <IR> contents and principles

• Heavy reading at times

• Too much focus on the ‘what’ rather than on the ‘how’

• Guest satisfaction surveys

• Boasting comments

• Insurance companies must up their reporting

2015

37


Recommendations

• Apply materiality threshold to narratives

• Put yourself in your shareholder’s shoes

• Push static information to web site

• Report in a balanced way (strengths and weaknesses, positive and negative)

• Listed companies should produce integrated reports


Categories

Accounting remarks

• Accounting for business combinations

• Lots of bargain purchase

• Comparatives in “amalgamations”

• Operating costs outside operating profits

• We’ve been listened to – on land revaluations

• Have a policy for exceptional expenses

2015

38



Listed Companies Nominees

Nominees

Air Mauritius Limited

Rogers & Co Ltd

Omnicane Limited

LUX Island Resorts Ltd

ENL Commercial

Limited

39



Listed Companies Winner

Winner: Omnicane Limited

40


Mr Eddie Ah-Cham receiving the Award from Mr Maurice Enouf, Jury Member


Financial Institutions Nominees


The Mauritius Commercial

Bank Ltd

MUA Group

Nominees

41



Financial Institutions

42


Winner: The Mauritius Commercial Bank Limited

Mr Cyil Wong, Jury Member, presenting the Award to Mr Anthony Withers


SEM-10 Nominees

MCB Group Limited

State Bank of Mauritius Ltd

Terra Mauricia Ltd

Nominees

43



SEM-10

44


Winner: MCB Group Limited

The Hon. Minister Roshi Bhadain presenting the Award to Mr Gilbert Gnany


Award Winners

45


From left to right: Vicky Hurynag (MCB Ltd), Anthony Withers (MCB Ltd), Gilbert Gnany (MCB Group), Eddie Ah-Cham (Omnicane), Maurice Enouf (Terra), Vijay Seetul (Air Mauritius)

2015

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http://www.corporatereporting.com/

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Documents

Paving the way to Integrated Reporting ......• Adapt to digital media Web trends • Investor tools • RSS feeds and email alerts • Webcasts • AGM Q&A • Investor Relations