The Fourth Meeting of the Latin American Coporate Governance Roundtable

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The Fourth Meeting of the Latin American Coporate
Governance Roundtable
White Paper Drafting Sessions Paulo D.
Villares ibgc_at_ibgc.org.br
 
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The Fourth Meeting of the Latin American Coporate
Governance Roundtable

• White Paper Chapter 5.III and 5.V
• The Role of the Stakeholders and Reponsibilities
  of the Board

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Relationships
Suppliers Clients Employees Government Community
Labor Union
Selection/Accountability Informations Occasional
relationship
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(No Transcript)
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Board of Directors

• Defining strategies
• Electing and removing the CEO
• Defining Officers remuneration
• Supervising Officers and Management
• Selecting Independent Auditors
• Calling together Annual General Meeting
• Corporate Law 6.404/76 - section 142

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IBGC
CODE OF BEST PRACTICE OF CORPORATE GOVERNANCE
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Best Practices

• The Chairman and the CEO should be two different
  persons
• Experience, knowledge and diversity among board
  members
• Size of the Board 5 to 9 members
• The majority of the Board should be independent
• Board members term of office should be one year
  and reelection accepted.

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Best Practices

• There should be at least 6 board meetings
  annualy
• Annual Evaluation of the Board and/or Board
  Members
• The CEO should indicate Officers for approval by
  the Board of Directors
• Independent Auditors selection, scope
  definition, fees and report practices
• Auditing or consulting
• Board Committees audit, compensation, nominating
  and corporate governance.

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Issues not considered in the White Paper

• Board members term of office
• Board Size
• Board diversity (knowledge, experience and
  background)
• Executives/board members conflict of interests
• Chairman and CEO
• Executive sessions

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Remarks

• Fiscal Councils
• Audit Committees
• (92) - Alternate Directors

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