Dear shareholder,
On behalf of the Board, I am pleased to present our corporate governance report for the year ended 30 September
2010.
During the last year there have been a number of reviews of corporate governance practices in the UK, the most
significant being the review of the Combined Code on Corporate Governance (as defined below) by the Financial
Reporting Council (FRC). As a result of these reviews, several key characteristics have emerged which we believe
are already embedded in our existing governance structures.
Governance needs to be meaningful, relevant and focused on helping our business deliver its strategy, generate
long-term shareholder value and minimise risk. It follows that the role of the Chairman in leading the Board, the
commitment of all members of the Board and the mix of skills, experience and independence that they bring
are of paramount importance. We believe that our Board meets these tests, has the independence to ensure an
objective approach and provides leadership and challenge in the boardroom. This report sets out our governance
structures, the work of the Board and its Committees and provides a sense of how we seek to comply with our
obligations.
For the year under review the appropriate governance provisions are those set out in the Combined Code on
Corporate Governance adopted by the FRC in June 2008 (the ‘Combined Code’). Throughout the year ended
30 September 2010, the Company has been in full compliance with the provisions of the Combined Code.
Following its review of the Combined Code, the FRC published a revised UK Corporate Governance Code in May
2010. This revised code will apply to reporting periods beginning on or after 29 June 2010 and therefore does not
apply to our financial year ended 30 September 2010 or our AGM business in 2011.
In summary, I believe that we continue to take a rigorous approach to governance and that our existing processes
and structures encourage independent challenge to the executive.
Hubert Reid
Chairman
15 November 2010
Further details of our corporate governance are reported in our Report & Accounts.