Corporate Governance and Declaration of conformity
The Supervisory Board meeting on November 13, 2020 focused on the implementation of the recommendations and suggestions of the Code in the Volkswagen Group. We discussed the Code’s guidance in detail and issued the annual declaration of conformity with the recommendations of the Code in accordance with section 161 of the AktG together with the Board of Management.
The joint declarations of conformity by the Board of Management and the Supervisory Board are permanently available at www.volkswagenag.com/en/InvestorRelations/corporate-governance/declaration-of-conformity.html. Additional information on the implementation of the recommendations and suggestions of the Code can be found in the Group Corporate Governance Declaration.
The Supervisory Board, and particularly the Audit Committee, also discussed the new provisions of the German Act on the Implementation of the Second Shareholders’ Rights Directive (ARUG II – Gesetz zur Umsetzung der zweiten Aktionärsrechterichtlinie) regarding the treatment of related-party transactions. To this end, the Audit Committee agreed a suitable procedure with the Board of Management for ongoing monitoring of the Volkswagen Group’s related party transactions. The Audit Committee commissioned EY to regularly review, on a spot check basis, whether related-party transactions were conducted at arm’s length in accordance with proper business practice. No disclosures or approval decisions on the part of the Supervisory Board were required for related-party transactions under statutory provisions in the reporting year.