In accordance with Article 27 of the Banking Law(1), the Risk Committee is composed exclusively of non-executive directors, and at least one independent director, including the chairman of the Risk Committee, within the meaning of Article 526ter of the Companies Code. It must have sufficient skills in the fields of activity of the Dexia Group enabling it to understand the Group’s risk strategy and level of tolerance.
The Risk Committee is composed as follows:
- Mr. Bart Bronselaer, Chairman;
- Mr. Alexandre De Geest;
- Mr. Bertrand Dumont;
- Mrs. Tamar Joulia-Paris.
The Risk Committee is responsible for monitoring aspects of strategy and level of tolerance with regard to current and future risks. It assists the Board of Directors when the latter supervises the implementation of such strategy by the Management board. The Risk Committee examines the (operational) implementation of procedures regarding risk control and internal audit. It ensures integrity and adequacy in relation to risk management, including procedures and organisational structures. The Risk Committee also deals with any observations and recommendations from the supervisory authorities in matters falling within its competence.
The Risk Committee determines the nature, volume, form and frequency of information concerning risks to be sent to it. It has direct access to the Chief Risk Officer and may take the advice of external experts. The remit and operations of the Risk Committee are described in the internal rules of the Board of Directors. The Chief Executive Officer may attend meetings of the Risk Committee, without being a member. The Risk Committee may invite members of the Management Board to take part in its work. If necessary, it may also be assisted by an expert.
The Chairman of the Risk Committee ensures that its members can meet in the absence of any representative of management. In order to improve the reading of files by directors in the company’s interest, the Board of Directors invites all the members of the Board of Dexia and of Dexia Crédit Local to attend meetings of the Risk Committee.