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5) Analysis of related-party operations
During 2015 the Audit and Control Committee has analysed the following operations with related parties:
- Sale of a room in NH Collection EUROBUILDING to one of the Directors.
- Settlement of balances deriving from the management contract signed between NH Hotel Group, S.A. and Grupo Inversor Hesperia, S.A.
- Negotiations in relation to the sale of a Hotel to a business group of which one of the Directors of NH Hotel Group is a member.
The analysis and decision in relation to these operations have been conducted in strict compliance with the rules established by the Company
both in the Articles of Association and the Board Regulations, as well as in the Procedure for Related-Party Operation and Conflicts of Interest.
6) Priorities for 2016
Independently of the customary tasks required by general regulations and by the regulations of NH in relation to financial information to be
reported to the market and the supervision of the external auditors’ independence, the Audit Committee has examined and approved a work plan
for the internal audit department in 2016 which contemplates the following priorities:
1. Audit of the programme for monitoring the transformation plan the group is carrying out, as well as supervision of the processes established
at both corporate and hotel level.
2. Supervision of the activities of the Compliance Office, which include management of the ethical line, the performance of compliance audits
and the extension of its activities to the main countries where the group does business.
3. Extension of the Financial Reporting Internal Control System to the business units of Latin America and Italy. Work on the execution and
periodic review of the established system (Corporate and business units of Spain and Portugal, Benelux, Central Europe, Italy and Latin
America).
4. Supervision of the implementation of the risk management system, including the implementation of an integrated monitoring system.
5. Follow-up of incidents detected in the audits carried out in previous years and of the execution of the action plans drawn up by the
different departments and business units.
As the conclusion of this Report, it should be noted that in carrying out all the tasks mentioned in it, the Committee has had access, whenever it
has considered it useful, to all the external professionals (auditors, appraisers or consultants) or members of economic and financial management,
Legal and Internal Audit, or management control it has considered necessary.
Madrid, 24th February 2016
ANNUAL REPORT OF THE AUDIT AND CONTROL COMMITTEE OF NH HOTEL GROUP, S.A.
