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DOCUMENTS SPECIFIC TO THE SHAREHOLDERS’ GENERAL MEETING
8
and, where relevant, with the items gathered by your Company from
companies controlling or controlled by your Company. On the basis of
our work, we vouch for the precision and honesty of this information.
Additional information
Pursuant to the law, we have ensured that the information on the
identity of holders of the capital or of voting rights have been provided
to you in the management report.
Disclosures arising from other legal and regulatory obligations
Auditors appointment
We were appointed as Auditors of LISI by your Shareholders’ General
Meeting in 1993 for Exco et Associés and of April 27, 2011 for Ernst &
Young et Autres.
At December 31, 2017, Exco et Associés was in the 25
th
year of its
engagement and Ernst & Young et Autres in its 7
th
year.
Responsibilitiesofmanagement andof thosechargedwithcorporate
governance in relation to the Company financial statements
It is management’s responsibility to draw up the Company financial
statements giving a true and fair view in accordance with the French
accounting rules and principles and to put in place the internal
control that it deems necessary for drawing up the Company financial
statements free of material misstatements, whether due to fraud or
error.
When drawing up the Company financial statements, it is the
responsibility of management to assess the company’s capacity to
continue its operations, to present in these financial statements,
if applicable, the necessary information on the going concern
assumption and to apply the going concern principle, unless it is
planned to wind up the company or discontinue its operation.
It is the responsibility of the Audit Committee to monitor the process
for preparation of the financial information and the effectiveness of
internal control and risk management systems, and, if applicable,
the internal audit systems, as regards the procedures relating to the
preparation and processing of accounting and financial information.
The financial statements were approved by the Board of Directors.
Responsibilities of Auditors relating to the audit of the Company
financial statements
Audit objective and approach
It is our responsibility to prepare a report on the Company financial
statements. Our objective is to obtain a reasonable assurance that the
Company financial statements, taken as a whole, are free of material
misstatements. Reasonable assurance is a high level of assurance,
without however guaranteeing that an audit conducted in accordance
with professional standards systematically ensures that any material
misstatement is detected. Misstatements may be due to frauds or
errors and are considered as material where it is reasonable to expect
that they can, taken separately or together, influence the economic
decisions that users of the financial statements take based on them.
As set out in Article L.823-10-1 of the French Commercial Code,
our task of certifying the financial statements does not consist in
guaranteeing the viability or the quality of the management of your
company.
As part of our audit conducted in accordance with the professional
standards applicable in France, the Auditor exercises his professional
judgment throughout this audit. Furthermore:
■■
The Auditor identifies and assesses the risks that the Company
financial statements containmaterial misstatements, whether due
to fraud or error, defines and implements audit procedures to tackle
these risks, and gathers the information that he deems sufficient
and relevant to form his/her opinion. The risk of non-detection of a
material misstatement arising from a fraud is higher than that of a
material misstatement arising froman error, since fraudmay involve
collusion, forgery, deliberate omissions, misrepresentations or the
circumvention of internal control;
■■
he/she reviews the internal control relevant to the audit in order to
define appropriate audit procedures in the circumstances, and not
with the objective of expressing an opinion on the effectiveness of
the internal control;
■■
he/she assesses the appropriateness of the accounting policies
used and the reasonableness of the accounting estimates made by
management, as well as the disclosures provided in the Company
financial statements;
■■
he/she assesses the appropriateness of the application by
management of the accounting principle of going concern and,
based on the information gathered, the existence or non-existence
of a significant uncertainty relating to events or circumstances
likely to undermine the company’s ability to continue its operation.
This assessment is based on information compiled up to the date
of his/her report, it being specified however that subsequent
circumstances or events may undermine the company’s ability to
continue as a going concern. If he/she concludes that there is a
significant uncertainty, he/she draws the attention of readers of
his/her report on the information provided in the Company financial
statements regarding this uncertainty or, if such information is not
provided or is not relevant, he/she issues a qualified opinion or
refuses to certify;
■■
he/she assesses the overall presentation of the Company financial
statements and appraises whether the Company financial
statements reflect the underlying transactions and events such as
to give a true and fair view;
Report to the Audit Committee
We submit a report to the Audit Committee presenting the scope
of the audit work and the program of work implemented, as well as
the findings following from our work. We also inform the Committee,
where applicable, of significant weaknesses in internal control that we
have identified as regards procedures relating to the preparation and
processing of accounting and financial information.
The report to the Audit Committee includes information on the risks
of material misstatements that we deemed to have been the most
important for the audit of the Company financial statements of the
LISI 2017 FINANCIAL REPORT