Risk management Internal control process relating to the preparation of accounting and financial information 03 Monthly changes generated based on consolidated data are systematically analyzed. Differences between forecast and actual management accounting data are reviewed in detail every month by the Business Units as well as by the Group Budget Control Office, which prepares a monthly report for the Managers and the Executive Committee. At every interim and annual closing, the Regional Directors and their Finance Managers certify in writing that, to the best of their knowledge, the separate accounts submitted by the companies in their Region provide a true and fair view of the results of their operations. This statement specifically covers a number of issues that could significantly affect the financial statements in the event of non‑compliance (e.g., applicable laws and regulations and contractual provisions) or occurrence (e.g., disputes or fraud). The Investor Relations Department, which forms an integral part of the Corporate Finance Department, is responsible for preparing and disclosing all of the Group's financial information to the investing community. Financial information is disclosed in three main forms: n the Universal Registration Document; n financial press releases; n presentations to analysts and investors. The design and preparation of the Universal Registration Document are coordinated by the Investor Relations Department and approved by the Managers, with significant input from the Corporate Legal Department and the Corporate Sustainable Development and Impact Department. The document contains extensive, high-quality information drawn from contributions by a range of specialists in the Group's main fields of operations. Financial press releases are written by the Head of Investor Relations; those that announce earnings are also reviewed by the Audit Committee. Presentations to analysts and investors are directly prepared by the Investor Relations Department. MANAGEMENT OF ACCOUNTING AND FINANCE INTERNAL CONTROL Group managers can detect any weaknesses in their internal control processes through the systems used to manage their operations. In addition, internal reviews are performed in the units by their specialized experts. Information generated by the management systems is analyzed by the budget control teams and reported to the managers concerned for inclusion in the scorecards used to manage their operations. A management scorecard is also prepared for the Group Executive Committee, enabling it to track the Group's business month by month. On a quarterly basis, similar reports are presented in an appropriate format to the Supervisory Board. The Corporate Finance Department is responsible for ensuring the relevance and consistency of this management data. The Operational Information Processing Department is in charge of overseeing information system policies and resources. The internal control procedures contained in the Group's Quality System include rules relating to data access and protection, the development of applications, and structuring and segregating development, process engineering and production tasks. RECURRING ASSESSMENTS OF THE ACCOUNTING AND FINANCIAL INFORMATION PREPARATION PROCESS Self-assessments To ensure that the work carried out to comply with France's Financial Security Act delivers lasting improvements, the Accounting and Financial Internal Control Department reports to the Corporate Finance Department. It is responsible for managing internal control processes and for overseeing work on financial internal control, with a view to providing reasonable assurance that the Group's financial information is reliable and that its assets are safeguarded. It defines internal control standards, coordinates and sets up internal control information systems and day-to-day management procedures in coordination with the Corporate Internal Audit, Risk Management, Internal Control and Quality Department. It also assists the network of internal controllers in the Regions and main areas of operation in implementing these systems and procedures. Its role includes: n standardizing internal control best practices and training regional correspondents in their use; n regularly updating key risks by process; n defining key controls in conjunction with the owners of the processes concerned; n drafting control guidelines and manuals and preparing internal control tests; n mapping the issues for which controls are applied in the different Group organizations; 168 2024 UNIVERSAL REGISTRATION DOCUMENT_MICHELIN
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