The management of confidential information is overseen by the CEO, with the counsel of the Chairman, both of whom are to take steps to ensure that adequate verifications are conducted regarding the qualification of confidential information in accordance with applicable laws and regulations.
The press releases regarding the approval of the annual and interim financial statements, as well as any extraordinary transactions that may be subject to approval of the Board of Directors are, themselves, to be approved by the Board.
The communications and relations with the press and institutional and private shareholders are the responsibility of the Media & Communications and Investor Relations offices, respectively.
In 2002, by way of implementing the rules of the markets organized and managed by Borsa Italiana S.p.A., the Company adopted the related Code of Conduct on Internal Dealing, which governs the disclosure obligations regarding transactions executed by so-called “significant parties” (“persone rilevanti”), as defined by said code, in financial instruments issued by Benetton Group S.p.A. The obligations of disclosure for significant parties as defined by this Code of Conduct called for more restrictive timeframes and involved broader categories of parties and types of securities than those of the rules defined by Borsa Italiana S.p.A.
On March 30, 2006, the Company adopted the new Internal Dealing Regulations, which, in compliance with the provisions of Article 114 of the Italian Consolidated Law on Finance and Article 152-sexies et seq. of the Regulation implementing the provisions on issuers of CONSOB, both of which have recently been amended, establishes new terms, conditions and procedures for the disclosure of transactions by these significant parties in Benetton securities.
The entire text of the Internal Dealing Regulations can be found on the Company’s web site in the Corporate Governance section.
Compliance to the evolution of corporate governance legislation.
The Corporate Affairs Department, in coordination with the various corporate departments involved, ensures observance of the legislation in force regarding corporate governance, which includes all related laws and legislation in the U.S. and Germany, given that Benetton shares are listed in New York and Frankfurt, as well as in Italy.
To that end, the Department promotes the evolution of the corporate governance structure and tools to adapt them to new legislation, while also seeing to the adoption of appropriate rules of corporate governance that are in line with domestic and international best practice.
In 2006, the Company will adopt the provisions of the new Corporate Governance Code issued on March 2006.