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2018 Annual Report of Elektro Primorska, D.D. and the Elektro Primorska Group

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2018 Annual Report of Elektro Primorska, D.D. and the Elektro Primorska Group 2 I 2018 annual report of Elektro Primorska, d.d. and the Elektro Primorska Group 2018 ANNUAL REPORT OF ELEKTRO PRIMORSKA, D.D. AND THE ELEKTRO PRIMORSKA GROUP May 2019 CONTENTS A BUSINESS REPORT ........................................................................................................................................................................................................................................................................................................... 9 01 REPORT BY THE MANAGEMENT BOARD ...................................................................................................................................................................................................................................................................................... 10 02 STATEMENT OF MANAGEMENT RESPONSIBILITY ......................................................................................................................................................................................................................................................................12 03 SUPERVISORY BOARD REPORT ......................................................................................................................................................................................................................................................................................................13 04 CORPORATE GOVERNANCE STATEMENT .....................................................................................................................................................................................................................................................................................16 4.1. Declaration of compliance with the Corporate Governance Code .....................................................................................................................................................................................................................16 4.2. Compliance with the recommendations and expectations of the Slovenian Sovereign Holdinga .......................................................................................................................................................16 4.3. Internal control and risk management system relating to the financial reporting and auditing ........................................................................................................................................................16 4.4. Holding of securities of a company, in terms of achieving a qualifying holding, as defined by the law governing the takeovers, ownership of securities ensuring special control rights, restrictions on voting rights .......................................................................................................................................................................................................................................16 4.5. Management Board ..............................................................................................................................................................................................................................................................................................................17 4.5.1. Appointment and composition ........................................................................................................................................................................................................................................................17 4.5.2. Responsibilities and functions .......................................................................................................................................................................................................................................................17 4.5.3. Remuneration of the Management Board .................................................................................................................................................................................................................................17 4.6. Supervisory Board ..............................................................................................................................................................................................................................................................................................................17 4.6.1. Appointment and composition ........................................................................................................................................................................................................................................................17 4.6.2. Responsibilities and functions .......................................................................................................................................................................................................................................................18 4.6.3. Remuneration of members of the Supervisory Board and Supervisory Board Committees ....................................................................................................................................18 4.7. General Meeting of Shareholders ..................................................................................................................................................................................................................................................................................18 4.8. Governance of the parent company and the Group ...............................................................................................................................................................................................................................................18 05 PRESENTATION OF THE COMPANY .................................................................................................................................................................................................................................................................................................................... 19 5.1. Company profile .....................................................................................................................................................................................................................................................................................................................19 5.2. Mission, vision and business culture of the Company ..........................................................................................................................................................................................................................................20 5.2.1. Mission of the Company ....................................................................................................................................................................................................................................................................20 5.2.2. Vision of the Company.......................................................................................................................................................................................................................................................................20 5.2.3. Business culture ..................................................................................................................................................................................................................................................................................20 5.3. The regulatory framework of the Company's activities in the sphere of power supply .......................................................................................................................................................................20 5.4. Organisation of the Company ......................................................................................................................................................................................................................................................................................... 22 06 HUMAN RESOURCE MANAGEMENT IN 2018 .................................................................................................................................................................................................................................................................................................23 6.1. General .......................................................................................................................................................................................................................................................................................................................................23 6.2. Employee age structure ................................................................................................................................................................................................................................................................................................... 24 6.3. Structure of employees according to the years of service .................................................................................................................................................................................................................................25
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