Risk Policy

OVERVIEW

CIC recognises the importance of managing risk and controlling its business activities in a manner which enables it to maximise profitable opportunities, avoid or reduce risk which can cause loss and ensure compliance with applicable laws and regulations. It is the responsibility of the Board and Management to establish, maintain, operate and demonstrate an appropriate framework of business controls. This framework covers all activities of the company and a regular review of the effectiveness of CIC’s implementation of that system is required.

CIC adopts a proactive and ongoing business risk awareness, assurance and control culture which enables continuous improvement of business processes. By monitoring both financial and non-financial risks to the company which could influence the achievement of the company’s strategic, operational and financial objectives, management is able to add value to the strategic business planning process.

POLICY

Risk management will be practised throughout the company and be overseen by the Board. While the Board’s Audit Committee is expected to work closely with the Finance department on the company’s financial risk management function, other aspects of risk management are monitored by the Executive Directors and reported to the Board.

The scope of the CIC risk management program includes all entities in the CIC group.

RISK PROFILE & MANAGEMENT

A risk profile, being a description of the material risks facing the company and how they are managed, is prepared for the Board on an annual basis. Material risks include financial and non-financial risks.

The annual review of the risk profile will be facilitated by the CEO and the risk management system will be reviewed for its effectiveness, at least annually by the Board. The Board constantly monitors the company’s system of internal controls, in both operational and financial aspects of the company’s activities, and through the Audit Committee, the Board considers the recommendations and advice of external auditors on the financial risks that affect the company.

The Board ensures that recommendations made by the external auditors and other external advisors are investigated and, where considered necessary, appropriate action is taken to ensure that the Company has an appropriate internal control environment in place to manage the key risks identified.