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The most valuable privilege of METKA Group is its human resources. As a result, being unable to retain such
resources or approach and retain new, suitably trained personnel that may allow to the Group to develop its
know-how could significantly influence in current or future performance.
METKA’s success in this field depends on the ability to recruit, train and retain a sufficient number of employees,
including high rank executives, engineers and technicians that have the appropriate skills and specialization.
Force majeur
Unforeseen events, including natural disasters, acts of war or terrorist attacks, non scheduled interruption of
the production operation/ outage, interruption of supply or incapacity of the equipment and/or of the processes
to meet the specifications may increase the cost and affect the Group’s financial results. Moreover, the Group’s
insurance terms in force may not provide sufficient coverage for the entire damage generated by such events.
Pendency of proceedings
The Group, mainly via its subsidiaries, has been involved in a number of cases against third parties, either
as complainant or as respondent. The outcome of such cases may involve expenses or revenues that can
significantly affect the results as well as the financial position of both the subsidiaries and the Group alike.
b. Organization and implementation of risk management
The Group determines risk as a set of uncertain and unpredictable situations that may affect all its activities,
its business operation, its economic performance as well as the implementation of its strategy and the
achievement of its goals.
For this reason it has established a specific risk management approach in all its fields of activities where
certain risks have been recognized as follows:
(i) Identification and assessment of risk factors
(ii) Design of a risk management policy
(iii) Implementation and evaluation of risk policies
The Group is currently defining a specific, integrated and established Risk Management Organizational
Structure. However, all its top executives are involved in the risk detection and primary assessment procedures
so as to facilitate the work of the Management’s Councils in all business fields as well as the mission of the
Board and of all legal persons in relation to the design and approval of specific Risk Management processes
and policies.
Last but not least the Group conducts regular internal audits to ensure the appropriate and effective
implementation of the risk detection and assessment procedures as well as the management policy for such
risks.
c. Internal Audit System
In addition to everything mentioned herein and everything described above relevant to the competences of
the Audit Committee, the Internal Audit Division of the Company is an independent unit which reports to the
BoD. Its competences involve, among others, the assessment and improvement of risk management and
internal audit systems as well as monitoring of the compliance with the established institutional policies and
procedures as those are determined by the Internal Operation Regulation, the legislation in force and the
regulatory provisions.
