The implementation of the principles of Good Corporate Governance forms an integral part of Post Publishing Plc's corporate philosophy.

During the past year, we have expanded our procedures regarding risk management by developing a plan to deal with a possible outbreak of avian influenza. We have taken all necessary precautionary measures, including warning staff of the danger of coming into contact with infected chickens, fowl and ducks and eating poultry which has not been cooked properly.

In the past year, we were short of manpower in our Internal Audit Division which reports directly to the Audit Committee and follows the programme approved by the committee. This hampered our programme of monitoring compliance with Good Corporate Governance.
However, steps have since been taken to remedy the situation.

We are aware that the implementation of the principles of Good Corporate Governance is a continuing process that necessitates consistent efforts to improve in order to achieve the maximum possible level of compliance and thereby protect the interests of the company.

Our Board consists of fourteen members, of which five are independent directors. The Audit Committee consists entirely of independent directors.

We pay particular attention to ensuring that the information provided to shareholders is adequate and timely.

The attendance record of directors in 2005 and the remuneration of individual directors are shown below.