Annual Corporate Governance Report 2017

48 oversee the Risk Management and Control Model and, in particular, the GRC System, the tool used by the Atresmedia Group to manage its model; review, analyse and discuss financial reporting with internal staff in charge of producing and reviewing the information and with external auditors; oversee the overall ICFR model and ensure that it functions properly so that the financial information reported is correct; and oversee ongoing assessment of ICFR. To carry out its role the Audit and Control Committee sometimes seeks the support of Internal Audit and the Finance Department. The Internal Audit and Process Control area has been given the function of supervising the internal control system by the Audit and Control Committee. This area carries out periodic reviews of business cycles at Group and subsidiary level, and proposes corrective action plans that are communicated to the Atresmedia Group’s Senior Management and to the Audit and Control Committee. F.5.2. State whether a discussion procedure exists whereby the auditor (pursuant to technical auditing standards), the internal audit function and other experts can report any significant internal control weaknesses encountered during their review of the financial statements or other engagements to the company’s senior management and its audit committee or board of directors. Likewise, disclose whether an action plan exists to endeavour to correct or mitigate the weaknesses observed. The external accounts auditor, the Finance Department and the Internal Audit and Process Control Division meet, in accordance with the meetings schedule established and/or if any relevant matter exists, with the Audit and Control Committee and informs it of the main aspects detected in the review area and of the functions commissioned to each of these departments. The external auditor attends Audit Committee meetings at least twice a year to submit the results of its review engagement for the relevant period and to discuss with Committee members the main findings of the audit. In 2017, the external auditor attended a Board meeting to discuss with directors the key findings of its review of financial reporting and the related recommendations and suggested improvement plans. The work done in the course of the auditing process throughout the year is also scrutinised. The Audit and Process Control Division has periodically informed the Audit and Control Committee about the evolution and progress of the action plans to be implemented progressively in relation to the ICFR. F.6 F.6 Other relevant information. No. F.7 External auditor’s report Disclose whether: The information on ICFR submitted to the markets was reviewed by the external auditor, in which case the entity should include the review report as an appendix. Otherwise, state why. The ICFR information has not been submitted with respect to the external auditors’ report. However, the external auditor has access to the Group’s Risk and Control System and accordingly, to all the ICFR mechanisms, and may assess its functioning to the extent required for its audit work and to obtain its conclusions. G DEGREE OF COMPLIANCE WITH CORPORATE GOVERNANCE RECOMMENDATIONS Indicate the degree to which the company complies with the recommendations set out in the Código de buen gobierno de las sociedades cotizadas (Spain’s good governance code for listed companies). If the company has elected not to follow a recommendation or to follow it only in part, explain the reasons for this in detail, so that shareholders, investors and the wider market have adequate information to evaluate the running of the company. Explanations of a purely general nature are unacceptable.