Since the day it was listed in October 2015, Covestro has met this commitment and been in compliance with all of the recommendations of the German Corporate Governance Code. It has formally documented this compliance with annual declarations and has further declared that it intends to comply fully with the recommendations of the German Corporate Governance Code in the future as well.
Moreover, a detailed corporate governance report is an integral part of the annual report. Here, Covestro discusses corporate governance, compliance and compensation in addition to its declaration of conformity.
Corporate Governance in detail
Click on the topics below for a comprehensive documentation of corporate governance at Covestro.
The Supervisory Board comprises 12 members. Under the German Codetermination Act, half of the members represent the shareholders and half of the members represents the company’s employees. The shareholder representatives of the Supervisory Board are elected by the shareholders at the Annual General Meeting. The Supervisory Board appoints, oversees and advises the Board of Management and is directly involved in decisions of fundamental importance to the company.
The Board of Management has the ultimate responsibility for managing the company in the company’s best interest, considering the interests of the shareholders, employees and other stakeholders, with the aim of creating sustainable value.
Covestro treats all shareholders in the same circumstances equally when disseminating material information. It is Covestro’s policy to immediately provide notice to all shareholders of all new and material information that is communicated to financial analysts and institutional investors. To access this important information, please visit the Investor Relations website at: covestro.com/investors.
Shareholders and third parties are mainly informed by the Consolidated Financial Statements and the Group Management Report. During the financial year they are additionally informed by means of a half-year financial report and, in the first and second halves, by quarterly financial reports. The Consolidated Financial Statements and the Condensed Consolidated Financial Statements in the half-year financial report and the quarterly financial report are prepared under observance of internationally recognized accounting principles.
Independent Auditor's Report
The compensation system for Covestro AG’s Board of Management is aligned with the corporate strategy and is designed to facilitate a long-term increase in the company’s value and responsible corporate governance. We aim to position Covestro as an attractive employer in the competition for highly qualified executives, and, at the same time, ensure statutory and regulatory compliance. Board of Management compensation is in line with the basic principles of the compensation structure and, as a principle, is structured uniformly for the Board of Management as well as for other executives, including managerial employees, in the Covestro Group.