COVER SHEET - 2Go
COVER SHEET - 2Go
COVER SHEET - 2Go
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Noteworthy, in compliance with corporate governance policy, SGV reported during the November 2010<br />
meeting, that it will be replacing its Lead Financial Audit Partner, Ladislao Z. Avila, in 2011 as it is his<br />
fifth year as SGV partner assigned to ATS.<br />
2010 Financial Results<br />
During the period covered by this report, the new Board AudCom concurred with the opinions<br />
expressed by ATS’ external Auditor, SGV and Company, on the overall presentation of the financial<br />
statements of the company.<br />
The audit also included an evaluation of the appropriateness of accounting policies used and the<br />
reasonableness of accounting estimates made by management.<br />
The audit concluded that the balance sheets and the related statement of income and expenses, cash<br />
flows, changes in capital and reserves present fairly, in all material aspects, the financial position of<br />
ATS.<br />
Based on the judgment about quality of accounting principles, SGV disclosed that the accounting<br />
principles used by ATS are in compliance with the Philippine Financial Reporting Standards.<br />
Significant accounting principles are disclosed in the notes to the financial statements, as required by<br />
the standards.<br />
Internal Audit<br />
In accordance with established Standards and Code of Ethics of the profession, the Internal Audit<br />
Department (IAD) continually strives to improve the proficiency, effectiveness and quality of the<br />
Internal Audit activities.<br />
The IAD reported to the Board AudCom, in its meeting held March 02, 2011, the annual general<br />
assessment of the company’s compliance and procedures. Highlights on the validation of the<br />
operational effectiveness of key activities and controls within these policies and procedures were<br />
likewise presented. The assessment focused on policies and procedures relating to processes in<br />
finance, operations, and IT systems. A summary update on management action plans for audit issues<br />
raised requiring follow-up was also presented.<br />
The accomplishments realized by IAD in 2010 were not without difficulties. There were a number of<br />
constraints and limiting factors such as unfilled manpower plantilla and underestimated number of<br />
man days to cover engagements for first-time audits and new auditable units.<br />
Despite above operational challenges and with available resources at hand, IAD continued to deliver its<br />
value-adding services to help improve operations; to serve the shareholders and management of ATS;<br />
to partner with the business units in enhancing current performance and future competitiveness, and<br />
to supply a source of future management talent and be an active participant in the improvement of<br />
ATS.<br />
Approval<br />
Approved by the ATS Board Audit Committee and signed on its behalf by:<br />
Mr. Washington Z. Sycip<br />
Chairman, ATS Board Audit Committee<br />
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