The financial reports of HUGO BOSS AG are prepared in accordance with the International Financial Reporting Standards (IFRS) as endorsed by the European Union. The Audit Committee established by the Supervisory Board regularly monitors the financial reporting process and the audit of the financial statements. The audit has been performed by Ernst & Young GmbH Wirtschaftsprüfungsgesellschaft, Stuttgart, since fiscal year 2012. Mr. Peter Werling has signed the auditors’ report since December 31, 2019 and Mr. Tobias Störzinger since December 31, 2020. It was agreed with the auditor with respect to the reporting year that the Chairman of the Audit Committee shall be informed without delay during the audit of any possible grounds for disqualification or partiality that could not be immediately rectified. It was also agreed that the external auditor is obliged to report on any findings or events arising during the performance of the audit that are of importance to the duties of the Supervisory Board. In addition, the external auditor is obliged to inform the Supervisory Board and state in his audit report if findings are made during the audit that are inconsistent with the declaration of compliance made by the Managing Board and Supervisory Board pursuant to Sec. 161 AktG. Moreover, the Supervisory Board requested a declaration of independence from the external auditor and duly convinced itself of the auditor’s independence. This declaration also included mandates to perform non-auditing services.
In order to implement the provisions of Regulation (EU) No. 537/2014 on the mandatory rotation of the auditor, a public tender procedure was conducted in fiscal year 2021 to select a new auditor for HUGO BOSS AG and the HUGO BOSS Group from fiscal year 2022 onwards. A project team was set up to ensure an efficient and effective selection procedure, which acted under the supervision and decision-making authority of the Audit Committee. In accordance with EU regulations on a public tender, the entire process was fair, transparent and non-discriminatory. At the end of the procedure and on the basis of detailed reporting on the procedure and the assessment of applicants, the Audit Committee recommended two applicants to the Supervisory Board and supplemented the recommendation with a preference for one of these applicants. The Supervisory Board will submit a corresponding proposal for a vote to the Annual Shareholders’ Meeting in fiscal year 2022.