SOUTHERN PERU COPPER CORPORATION 39. SOUTHERN PERU COPPER CORPORATION 38. 16. The Board will perform certain key functions,  namely: Monitor the soundness of the company’s governance  practices and introducing the required changes.  (Principle V.D.6) X In the past, the Board has occasionally introduced or sug- gested the General Meeting to approve changes to the  Company’s governance bodies. All these changes have  contributed to enhancing good practices and transpar- ency in corporate governance at SPCC. 17. The Board will perform certain key functions,  namely: Monitoring the company’s information policy. (Principle V.D.7) The Board members sitting in the Audit Committee pe- riodically advise on the appointment of the independent  auditors and constantly assess the risks to which our  Company may be exposed. Management is in charge of  establishing an internal control system. SPCC’s General  Shareholders’ Meeting annually approves or rejects the  appointed Independent Auditors.  19. The number of Board members of a company should  ensure a diversity of viewpoints so decisions are the  result of appropriate debate, with due consideration  paid to the best interest of both the corporation and  its shareholders.  (Principle V.E.3) 18. The Board may create special bodies to fit the  company’s needs and size, in particular as concerns  the audit function. Additionally, these special bodies  may concern themselves with functions relating to  appointments, remunerations, control and planning,  among others.  These special bodies will be organized within the  Board to support its role, and will preferably include  independent directors who may thus make impartial  decisions about matters where conflicts of interest  may emerge.  (Principle V.E.1) its financial and non-financial management sys- tems–are in place and conform to the law.  (Principle V.D.5) X The Chief Executive Officer and the Board have approved  the Company’s information policy. It seeks to provide  shareholders, workers and stakeholders complete infor- mation about SPCC’s operations and its economic re- sults. This policy is available at www.southernperu.com X The Board has set up several committees that perform  special functions. They include the Audit Committee, sit- ting independent Board members who are responsible for  appointments, establishing remuneration of the indepen- dent auditors, and control and planning.  Specialized committees mostly sit independent Board  members and discharge their roles particularly in situa- tions involving potential conflicts of interest.  These special Committees include: (i) Executive Commit- tee, (ii) Audit Committee, (iii) Compensation Committee,  (iv) Share Incentive Plan Committee, (v) Appointment  Committee, (vi) Corporate Governance Committee, (vii)  Special Committee for Divested Board Members and (viii)  Trust Committee for the ERISA United States Plan. X The Board sits professionals from various fields with vast  knowledge of the mining, metallurgical and commercial  fields. This setup provides a diversity of viewpoints and  opinions when making corporate decisions. Independent  Board members contribute to these decisions.  COMPLIANCE REASONS FOR THE CHOSEN OPTION PRINCIPLE REASONS FOR THE CHOSEN OPTION COMPLIANCE PRINCIPLE 0  1  2  3  4  0  1  2  3  4 