KWIH values good corporate governance to deliver sustainable value to the shareholders of the Company. The Group complies with the code provisions in the Corporate Governance Code as set out in Appendix 14 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited. The Board of Directors has set up the Audit Committee, the Nomination Committee and the Remuneration Committee to ensure proper reporting and adequate internal controls of the Group.

The Board is accountable for the proper stewardship of the Group's affairs, and Directors acknowledge their responsibility for preparing the financial statements of the Group in accordance with the generally accepted accounting standards in Hong Kong, the requirements of the Listing Rules and the applicable laws as well as the integrity of financial information so reported. Such responsibility is extended to cover not only the annual and interim reports but also announcements and other financial disclosures of the Group required under the Listing Rules.

Besides, the management of individual businesses within the Group provides the Directors with such information and explanations necessary to enable them to make an informed assessment of the financial and other information put before the Board for approval. The Group also adopts the going concern basis in preparing its financial statements.

The Board acknowledges its responsibility for maintaining and reviewing the effectiveness of the Group's risk management and internal controls system on an ongoing system. The Group has a clear organizational structure with well-defined responsibilities, reporting lines and authority limits and budgetary controls for managers of operating divisions. Policies and procedures are in place to effect all material controls, including financial, operational and compliance control. Appropriate risk mitigation actions are also being taken to manage and control individual risks identified.