Fraser & Neave Holdings Bhd Annual Report 2021

The Board is pleased to present the following report on the Audit Committee and its activities for the financial year ended 30 September 2021. AUDIT COMMITTEE COMPOSITION AND MEETINGS The Audit Committee, is chaired by Mr. David Siew Kah Toong. The Audit Committee comprises four Non-Executive Directors, a majority of whom are independent, which is in line with the Main Market Listing Requirements (“Listing Requirements”) of Bursa Securities Malaysia Berhad (“Bursa Securities”). The names of the members of the Audit Committee and the record of their attendance at meetings during the financial year are as follows:- Date of Meeting Names 3.11.2020 27.1.2021 4.5.2021 3.8.2021 Independent and Non-Executive Director Mr. David Siew Kah Toong (Chairman) Y.Bhg Dato’ Sri Johan Tazrin bin Hamid Ngo Y.Bhg Datuk Mohd Anwar bin Yahya Non-Independent and Non-Executive Director Mr. Hui Choon Kit Attendance at meetings At the invitation of the Audit Committee, the Chief Executive O&cer, relevant Senior Management personnel, external and internal auditors attended the Audit Committee meetings and presented their reports on financial results, audit and other matters for the information and/or approval of the Audit Committee. The Chairman of the Audit Committee thereafter tabled the recommendations of the Audit Committee to the Board and apprised the Board of relevant issues. Throughout the year, there was continuous engagement between members of the Audit Committee and Senior Management on matters impacting the Group. This included the conduct of quarterly pre-Audit Committee meetings chaired by the Audit Committee Chairman and attended by the external and internal auditors as well as the Chief Executive O&cer and Chief Financial O&cer focusing on items related to financial management and internal controls. TERMS OF REFERENCE The Audit Committee is responsible among others, to review and monitor the integrity of the Group’s reporting process, system of internal control, audit process as well as compliance with legal, regulatory and taxation matters for the Group. The Terms of Reference (“TOR”) of the Audit Committee, which is annually reviewed, is made available on the Company’s corporate website at www.fn.com.my. SUMMARY OF ACTIVITIES During the financial year, the Audit Committee discharged its functions and carried out its duties as set out in its TOR. The summary of key activities undertaken by the Audit Committee during the financial year is provided below: FINANCIAL REPORTING AND COMPLIANCE The Audit Committee reviewed the quarterly and annual consolidated financial statements and announcements of the Group, before submission to the Board. In doing so, there was focus on changes in major accounting policies and practices as well as adjustments/issues a!ecting the audit to ascertain compliance with applicable financial reporting standards, the Bursa Securities Listing Requirements and other statutory requirements. The external auditors’ annual audit reports and interim review reports as well as the accompanying management reports and responses by Management were also reviewed by the Audit Committee as part of their oversight over the accounting, auditing and financial reporting practices and procedures of the Group. INTERNAL CONTROL Based on reports presented by the Management, external and internal auditors during the Audit Committee meetings, the Audit Committee assessed the adequacy of the internal control system of the Group. EXTERNAL AUDIT At the Annual General Meeting held on 19 January 2021, the shareholders had approved the re-appointment of KPMG PLT as auditors of the Company. The Audit Committee had conducted an evaluation of the external auditors, KPMG PLT for the financial year 2021, encompassing technical competencies, adequacy of specialist support and partners/director accessibility and time commitment, independence and objectivity, audit scope and planning, audit and non-audit fees and audit communications to the Audit Committee. On the basis of the evaluation by the Audit Committee, a recommendation was made to the Board to re-appoint KPMG PLT for the ensuing financial year. The re-appointment will be put to the shareholders for approval at the forthcoming Annual General Meeting. 136 Audit Committee Report