Corporate
Social
Responsibility

Practice

Implementation of Ethical Corporate Management

Implementation of Ethical Corporate Management

Communication between the Audit Committee, internal audit and CPAs

The Company’s Audit Committee which is entirely composed of independent directors shall convene a meeting at least once a quarter, and may call a meeting whenever deemed necessary.

Communication between the Company’s head of internal audit department and the Audit Committee:
(1) The monthly audit report based on the audit plan shall be submitted to each independent director through email or in person
      by the end of the following month.
(2) The quarterly audit report shall be submitted to the Audit Committee periodically.
(3) Occasionally conduct communication and provide instruction and response by telephone, email, or in person.
(4) Immediately report to the members of the Audit Committee any material matters.

Communication between the Company’s CPAs and the Audit Committee:
(1) The Company’s CPAs provide opinions/explanations to and discuss any additional matters with the Audit Committee in  
      accordance with laws and regulations.
(2) The Audit Committee and CPAs can employ different communication channels (telephone, email, and in person) to conduct
      discussions on the findings and results of financial statements for the current period.
(3) A meeting may be convened if communication of significant opinions is deemed necessary.

Communication between the Company’s independent directors, the head of internal audit department, and CPAs works smoothly.
The major matters of these communications in 2018 are summarized as follows.

Date Communication Method Party Communicated Matters Communicated Result
2018.03.26 Audit Committee CPAs Reported CPA's opinions on the Company's adoption of IFRS 16, IFRS 9 and IFRS 15. After thorough communication and discussion, submitted to the Board.
Reported conclusions from the audit of the Company's 2017 financial report. After thorough communication and discussion, the Audit Committee approved and submitted to the Board for approval.
The Head of internal audit department Internal control system effectiveness assessment report. After thorough communication and discussion, the Audit Committee approved.
2018.11.14 Audit Committee CPAs The independence of CPAs and audit members. After thorough communication and discussion, the Audit Committee approved the independence assessment and appointment, and submitted to the Board for approval.
The Head of internal audit department Discussed the amendments to the Company's "Internal Control System" and "Internal Auditing Implementation Regulations" After thorough communication and discussion, the Audit Committee approved and submitted to the Board for approval.
2018.12.24 Audit Committee The Head of internal audit department Submitted the internal audit plan for 2018 After thorough communication and discussion, the Audit Committee approved and submitted to the Board for approval.