Supervisory Board

In addition to its rights and obligations prescribed by applicable law, the Supervisory Board endeavours to conduct its work in a manner that surpasses the prescribed, recommended and agreed standards. It devotes its best efforts to ensuring that the highest standards of corporate governance are implemented in the Gorenje Group. A high degree of transparency of operations and proper communication with shareholders and other stakeholders are also recognised in our environment as values of Gorenje. The international composition of the Supervisory Board in particular carries considerable weight, as its members can directly apply their rich international experience in practice.

Over the past year and part of the present year, the Supervisory Board laid special emphasis on the adoption of a new strategy of the Gorenje Group covering the period up to the end of 2015, as well as on improvements in corporate governance. The strategic plan will be adapted to new realities, and the Supervisory Board will carefully monitor the fulfilment of commitments and the attainment of planned activities, and in this way significantly contribute to the creation of long-term value for all stakeholders.

By adopting a Code of Conduct in December and posting it on the web pages of the Company, the Supervisory Board has strengthened the transparency of the Company's operations, its management, and all other employees. Even in difficult operating conditions, the Supervisory Board is therefore devoting adequate attention to corporate governance, which is augmenting the trust of all shareholders in the Company.

In connection with any information received from the public that could have affected the business decisions of investors or the interested public, the Supervisory Board immediately requested and always received explanations from the Management Board. In order to protect Gorenje's reputation and joint business interests, the Company, in some cases, duly responded through the media in line with the fundamental principles of corporate management, applicable legislation, and international best practices.

All members of the Supervisory Board meet the independence criterion as defined in the Corporate Governance Code for Public Limited Companies. The competences and obligations of the members of the Supervisory Board are the same, the only difference being that certain members are also members of some of its committees. These committees conduct their activities in accordance with applicable law and authorisation granted by the Supervisory Board.

The Supervisory Board regularly participates in the development of corporate governance policy, which is constantly being upgraded and improved also on the basis of proposals submitted by its members. The Supervisory Board operates transparently and efficiently, which is ensured by regular press releases of the summaries of its meetings and resolutions.