Scandinavian Tobacco Group A/S is incorporated in Denmark under Danish law. On 10 February 2016, our shares were publicly listed on Nasdaq Copenhagen.
Governance structure and activities
The Group’s corporate governance is based on the Danish Companies Act, the Danish Financial Statement Act, the International Financial Reporting Standards (IFRS), the Danish Securities Trading Act, Nasdaq Copenhagen A/S’ Rules for Issuers of Shares and the company’s articles of association.
The ultimate authority over the company is held by the shareholders who exercise their rights at general meetings. The annual report and amendments to the articles of association are approved by the general meeting which also elects members of the Board of Directors and the independent auditor. The general meeting exercises its powers pursuant to the provisions of Scandinavian Tobacco Group’s articles of association which are available on www.st-group.com.
As a publicly listed company, Scandinavian Tobacco Group is required by law to report on its compliance with the Danish Recommendations on Corporate Governance, which can be found at www.corporategovernance.dk. The company is required to report whether it complies with the Recommendations, and if it does not, an explanation must be provided (“comply-or-explain principle”).
Read more about our organisation and management here.
Scandinavian Tobacco Group complies with the corporate governance recommendations. A detailed overview can be found in Scandinavian Tobacco Group’s Statutory Report on Corporate Governance.
The Statutory Report on Corporate Governance for the Financial Year 2022 is available here.
Søren Ørjan Jensen, State-Authorized Public Accountant
Michael Groth Hansen, State-Authorized Public Accountant
The responsibility for the governance of risks lies with our Board of Directors. On behalf of the Board of Directors, the Audit Committee monitors the effectiveness of our Group's risk management and evaluates the design annually. The Executive Board manages the operational part of our risk management and our Executive Management ensures proper and complete reporting to the Audit Committee.
Risk assessment process
Scandinavian Tobacco Group operates with a framework including various principles that secure a structured and cross-functional approach to risk management. The approach is a top-down facilitated process with the intent to identify risks and support risk management throughout the organisation, and ensure consistent follow-up and reporting on risks to the Executive Board during the year. To receive input from the organisation, a Risk Team works with key stakeholders across the business to ensure an effective assessment before presenting recommendations to the Executive Board. The Executive Board performs an annual risk assessment based on the impact and likelihood of a risk materialising. The process ensures that appropriate actions are taken to reduce, prevent or mitigate risks and to ensure that the Group is transparent and compliant in its external communication on these risks. The main risk categories identified are regulation, excise taxes, total market development, cyber risk and implementation of a new Group Enterprise Resource Planning (ERP) system.