Disclosure and Reporting Committee

Abstract

Regulators and corporate governance experts all over the world consider disclosure and transparency to be fundamental conditions for properly functioning securities markets. In the U.S., rules and regulations, as well as regulatory pronouncements, place public companies under strict obligations with respect to disclosure controls and procedures. Specifically, such companies must establish and maintain disclosure and internal controls; periodically evaluate the effectiveness of such controls; and provide investors with reports on the effectiveness of such controls and certifications from senior management regarding such controls. In order to meet their obligations under these requirements, and provide adequate protections for senior managers — particularly the CEO and the CFO, public companies must develop a procedural framework for collecting and evaluating information regarding their businesses to determine the scope and timing of disclosures to the investment community. This chapter covers various duties and responsibilities of a board level disclosure and reporting committee including disclosure controls and procedures and review of reports and disclosure statements, oversight responsibility for all primary components of the sustainability reporting process and establishment of assurance procedures for sustainability reporting.

Keywords: disclosure, reporting, governance, board