Audit Committees: Are the expectations too high? Nkonki 5 th Annual Audit Committee Conference Ansie Ramalho 12 October 2015

Membership criteria King II Financially literate King III IR - standards IFCs External audit Internal audit Corporate law Risk management Sustainability issues IT Corporate governance Co Act Economics Law Corporate governance Finance Accounting Commerce Industry Public affairs or Human resource management (Elected by shareholders)

Duties King II IFCs Internal audit Risks Financial reporting Accounting or auditing concerns Compliance with law King III Integrated report Financial report Sustainability Combined assurance model external audit internal audit Risk management Financial reporting IFCs Fraud IT Whistle-blowing Process for appointment of auditor Reporting to s/holders Co Act Nominate auditor Auditor fees and engagement Non-audit services Report in AFS Concerns and complaints Accounting policies Financial controls Records Reporting (Statutory duties)

Developments since King III Audit committee reporting Regulation Risk Cyber security Auditor rotation Materiality Assurance Tax Integrated Reporting WORKLOAD

Beyond the scope of King IV Ensure skills for reliance on management Co-ordination with other board committees Informal information gathering Planning and prioritising Figure out materiality