FOR IMMEDIATE RELEASE
As G8 leaders meet for summit focused on increasing transparency, 150 business leaders and investors gather to advance a market-led solution
(London, Frankfurt June 18, 2013) – Business transparency is one of the main focus points at the G8 summit this week. The British Government, the summit’s host, has stated that a lack of transparency is creating a barrier to responsible investment.
The political call for transparency is mirrored by those at the forefront of business. Today, around 150 business and investor leaders participating in the Pilot Programme of the International Integrated Reporting Council (IIRC) come together to advance Integrated Reporting as a market-led solution to the growing problem of corporate reports that fail to reveal the true value created by business activities.
The Pilot Programme conference features many of the world-renowned businesses and investor organizations that together believe Integrated Reporting can contribute to increased transparency. This is done by embedding awareness of an organization’s value creation, business model and capitals at the heart of its reporting process.
Ahead of the conference Paul Druckman, Chief Executive of the IIRC, said, “Information is the lifeblood of capital markets, yet today’s corporate reporting is opaque. Despite its volume, too often it fails the first test of transparency: clarity. All over the world we are hearing the same message from businesses and investors – that the reporting landscape needs a reboot. Today, we convene the businesses and investors who are the pioneers of Integrated Reporting, a new model that is being piloted in 25 countries. We hope policymakers will take note of this global market-led movement. The result will be transparency with a purpose – the purpose being to transform the behaviour of businesses everywhere, as well as the behaviour of their investors”.
“I would also like to extend my thanks to PwC, our partner and host of this year’s Pilot Programme Conference. Their expertise, as well as the many hours devoted to the planning of each session, will contribute to a highly successful and valuable conference”.
Businesses and investors from 25 countries participate in the Pilot Programme with innovators such as HSBC, Unilever, Coca-Cola, Hyundai, Rosneft, Petrobras, Deutsche Bank and Nissay Asset Management Corporation attending the Pilot Programme conference this week to progress this evolution in robust reporting.
Unilever CFO, Jean-Marc Huët said in an interview with Financial Management Magazine, “The call for Integrated Reporting is beginning to rise in volume. With public trust in business undermined by scandal after scandal, we would do well to listen and act quickly.”
HSBC Group Chief Accounting Officer, Russell Picot said, “For us this is a really important project – it has to succeed. At the moment, corporate reporting has a very heavy compliance burden to it, and sometimes that burden gets in the way of communication to all the stakeholders. So we believe this project is very important with a seriously good opportunity to succeed.”
Support for Integrated Reporting is coming from multiple audiences, as the key to unlocking the benefits of transparency, namely, market resilience, financial stability and sustainability. Mr Li Yong, Vice Minister of the Ministry of Finance, People’s Republic of China said, “I firmly believe that with China’s active participation, the concepts of Integrated Reporting and its good practice will provide useful reference to us and promote further reform of Chinese corporate reports.”
NOTES TO EDITORS
1. The International Integrated Reporting Council (IIRC) is a global coalition of regulators, investors, companies, standard setters, the accounting profession and NGOs. Together, this coalition shares the view that corporate reporting needs to evolve to provide a concise communication about how an organization’s strategy, governance, performance and prospects, in the context of its external environment, lead to the creation of value over the short, medium and long term.
2. A link to the Consultation Draft of the International Integrated Reporting Framework can be found here.
3. A list of businesses and investors involved in the IIRC’s work can be found here.
All media enquiries should be directed to Jonathan Labrey (+44 207 504 2581; jonath[email protected]) or Kate Turner (+44 207 504 2580; [email protected])