CORPORATE GOVERNANCE

THE BOARD REQUESTED THAT AECI'S MANAGEMENT "CONTROL WORKING CAPITAL AGGRESSIVELY". IN THE 2009 FINANCIAL YEAR, THE GROUP'S NET WORKING CAPITAL AS A RATIO OF REVENUE IMPROVED TO 15,9% FROM 19,2% AT THE END OF 2008. CASH MANAGEMENT WAS EXCELLENT AND THE REDUCTION IN WORKING CAPITAL DELIVERED MORE THAN R1 BILLION IN CASH. THE EFFORTS OF CHEMSERVE IN THIS REGARD WERE PARTICULARLY COMMENDABLE.

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THE YEAR AHEAD

For 2010, the key corporate governance areas of focus will remain:

  • to evaluate the implications of King III and implement the principles of this Code;
  • a continued focus on strategic issues at Board level;
  • a continued focus on corporate social responsibility and integrated sustainability matters, including the development of Company employees and transformation;
  • the identification and management of business risks;
  • the development and formalising of a succession plan for executive directors and senior management;
  • continued training relevant to the Company's Code of Ethics, whistle blowing and competition matters; and
  • the continued training and development of non-executive directors.