Annual Report 2010 - Muenchener Hypothekenbank eG

münchener hypothekenbank eg | annUaL report 2010 report of the sUpervisory board 88 | 89 REPORT Of ThE SUPERvISORy BOARd during the year under review the Supervisory Board carried out its supervisory functions in accordance with the legal require- ments, the Bank’s Articles of Association and its bylaws. The Board of Management reported in a timely manner to the Su- pervisory Board regarding the Bank’s corporate planning, as well as its business and financial situation and the Bank’s further strategic development. The Supervisory Board thereby advised the Board of Management and supervised its management of business. The Supervisory Board’s decisions on actions requiring its approval were made on the basis of reports and materials submitted by the Board of Management. four regularly scheduled Supervisory Board meetings with the Board of Management and the constituent meeting took place during the year under review. The key subjects and advisory issues covered were the Bank’s business development and busi- ness planning, the further development of the business and risk strategy, the risk situation, and the development of the Münchener hypothekenbank's equity capital. The Supervisory Board established committees to enable it to carry out its duties efficiently. during the year under review these committees remained unchanged and were the Personnel Com- mittee, the Lending Committee and the Audit Committee. The committees regularly reported to the Supervisory Board during their meetings that took place immediately after the committees’ meetings. The accounting documents, the annual financial statements and the Management Report for the 2010 financial year were audited as assigned by the deutsche genossenschafts- und Raiffeisen- verband e.v., Berlin, and received an unqualified certificate from the auditors. There were no reservations. The auditors gave a detailed oral presentation of the primary results of the audit in a meeting of the Supervisory Board’s Personnel Committee. This also took place during a subsequent joint meeting of the Super- visory Board and the Board of Management. Moreover, the au- ditors were also available to provide additional information. Prior to the meeting of the Supervisory Board, each member of the Supervisory Board received a copy of the audit report of the legal audit prepared by the auditors in accordance with Article 53 of the Cooperatives Act (genossenschaftsgesetz), including the audit of the 2010 annual statement of accounts for the Münchener hypothekenbank eg, for their information on a timely basis. in addition, the results of the audit are also stated during the delegates Meeting. The Supervisory Board noted the results of the audit during a meeting held to review the final audit results, which was held in accordance with the terms of Article 57 Paragraph 4 of the Cooperatives Act. The annual financial statements, the Man- agement Report, and the Board of Management’s proposal for the allocation of distributable income were examined by the Supervisory Board and endorsed. The Supervisory Board rec- ommends that the delegates’ Meeting approve the annual fi- nancial statements for 2010 – as explained – and endorse the Board of Management’s proposal for the allocation of net in- come. The proposal is in accordance with the terms of the Bank’s Articles of Association. in accordance with Article 14, Paragraph1 of the Bank’s Articles of Association, Prof. dr. Willibald folz stepped down from the Supervisory Board following the end of his term as member. Prof. dr. folz was elected to the Supervisory Board in 1990 and became its chairman in 1998. The Supervisory Board wishes to express its gratitude to Prof. dr. folz for his successful efforts on behalf of the Bank and his extraordinary dedication. Prof. dr. folz earned great recognition on behalf of the Bank as a member of the Supervisory Board and prior to this as the Spokes- man of the Board of Management. Newly elected to the Supervisory Board were Mr. Wolfhard Binder, Chairman of the Board of Management of the Raiffei- sen-volksbank Ebersberg eg, and Mr. Erich Rödel, who, due to age reasons, stepped down from the Board of Management of Münchener hypothekenbank effective April 17, 2010 at the close of the delegates’ Meeting. The Supervisory Board thanks Mr. Rödel for his dedicated efforts during his nine years on the Münchener hypothekenbank’s Board of Management.