Rule VII: Ensure Timely and High-Quality Disclosure and Transparency
Disclosure mechanisms and characteristics
Disclosure and transparency are among the most important principles in corporate governance. The company aims, through its disclosures, to ensure that its shareholders and other stakeholders understand the nature of the company’s operations, future direction and other fundamental developments and information resulting from its daily operations.
The company’s disclosure policy is a part of the governance framework. The purpose of this policy is to ensure the company adheres to the rules, laws and regulations issued by the Capital Markets Authority and other relevant regulatory bodies. The policy aims to define the roles and responsibilities of key parties in the disclosure process and those responsible for providing the data to be disclosed to manage governance and compliance, and to help them determine the nature and level of detail.
The company’s disclosure policy sets out the methods for disclosing financial and non-financial information that may affect the share price, performance and ownership.
The Company is committed to providing accurate disclosures of all material information, while ensuring fairness and equality of access to such information. The Board monitors the process of disclosure and communication with stakeholders within and outside the Company and ensures that all disclosures are fair, comprehensive, transparent, clear and accurate and timely, reflecting the nature and extent of the risks inherent in the Company’s business activities.
The Corporate Governance and Compliance Department is responsible for overseeing the disclosure process in accordance with the requirements of the Capital Markets Authority and applicable laws and regulations. Accordingly, The Corporate Governance and Compliance Department provides any clarification or advice regarding the disclosure requirements of the Capital Markets Authority. The Corporate Governance and Compliance Department is responsible for communicating with and responding to CMA’s inquiries and related regulatory authorities.
Disclosures record for the Board of Directors and the executive management
The company maintains a record that includes all the disclosures of Board members and executive management. The company is committed to updating this record according to the disclosures issued to ensure accuracy.
The company also maintains a record that includes the disclosures of the insiders. The information and disclosures are kept within the internal electronic library that facilitates the availability of information to the concerned parties at the appropriate time.
The official website of the company contains a record that includes all the company’s disclosures to the market that date back to more than nine years.
Investor Relations
The Investor Relations team includes multiple competencies and expertise, ensuring easy and clear communication with potential shareholders, potential investors, analysts and the media. The Board adopted a policy to regulate the communication with shareholders and investors to ensure compliance with all legal and regulatory requirements. The main principles of this policy are: protecting shareholders’ rights, communicating with shareholders, and disclosure of material information to shareholders. Material information is provided to shareholders through appropriate disclosure means such as periodic reports, annual report, company website, Boursa Kuwait website, quarterly analyst calls and related Investor relations conferences.
The main objectives of Investor Relations
- Establish consistent and reliable channels of communication with investors in compliance with relevant regulations and laws, including those issued by the CMA and the Commercial Companies Law of the State of Kuwait.
- Strengthen the company’s position in the market and attract shareholders and investments.
- Establish a link between executive management and the financial community with a view to strengthening the relationship of executive management with analysts and stakeholders.
- Provide financial and non-financial information to the Company’s Board of Directors, executive management, shareholders and analysts.
IT infrastructure and disclosure processes
- The company’s website includes all the disclosures which date back to more than 9 years. The website also includes the periodic financial reports, in addition analyst reports and other facts and indicators.
- The website contains the information of the Board of Directors, the executive management and the company’s code of conduct, as well as the main principles and values that support the company’s operations.
- The CMA is addressed by e-mail (in addition to mail) to provide the required information and disclosures
- The company follows the electronic system of disclosures through the Boursa Kuwait website, in order to update disclosures and data.
- The company’s intranet includes an electronic library that contains all the details and information, which are easily accessible at any time with the correct credentials.