Page 189 - MEDIASET ESPAÑA / 2012. Financial Statements, Management and Corporate Governance Report

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FINANCIAL STATEMENTS AND MANAGEMENT. ANNUAL CORPORATE GOVERNANCE REPORT. BALANCE SHEETS 2012
HEDGING
The Group uses financial instruments to hedge the impact of foreign exchange differences in connection with transactions
(primarily the acquisition of external production rights) denominated in foreign currency. These hedges are designed
to offset the impact on the income statement of exchange-rate fluctuations in outstanding amounts payable on these
transactions. Specifically, the Group buys foreign currency forward for the amounts payable so as to match the forecast
payment dates.
RISK CONTROL
As part of its general oversight function, the Board of Directors is in charge of identifying the Mediaset Group’s main
risks, as well as implementing and monitoring the internal information and control, and internal reporting systems.
In addition, among the basic responsibilities of the Audit and Compliance Committee are to know and verify the
appropriateness of the financial reporting process and internal control systems.
To support and back this Committee, a Corporate Risk Management System is applied consistently at all Group
companies.This system is reviewed and updated periodically.
Corporate risk management at Mediaset is based on the COSO II (Committee of Sponsoring Organizations of the
Treadway Comission) integrated framework for enterprise risk management.
Mediaset España Comunicación monitors its risks permanently, assessing the relevance and potential impact on Group
companies, the probability that this risk will occur and the degree of control over the risk.
RESEARCH AND DEVELOPMENT
Mediaset’s biggest investments go to the current and future content broadcast by the Group. It does not have a specific
R&D department, although innovation is still a crucial area of future development.
EVENTS AFTER THE REPORTING PERIOD
The main events occurring between the end of the reporting period and the date of authorization for issue of the
financial statements are those discussed in the related note to the financial statements.
CAPITAL STRUCTURE
The Company’s share capital before the capital increases carried out to acquire Cuatro and 22% of Digital+ amounted
to 123,320,928.00 euros, made up of 246,641,856 shares of the same class represented by book entries and with a par
value of 0.50 euros each. As a result of the capital increases, the number of shares increased to 406,861,426 of 0.50
euros par value each, taking the total to 203,430,713 euros. All the shares are of the same class and represented by
book entries.
The Company’s shares are listed on the Madrid, Barcelona, Bilbao, and Valencia stock exchanges. The ISIN code is
ES0152503035.
Mediaset España Comunicación, SA has been a member of the IBEX 35 since January 3, 2005.