IBERSOL | 2019 Annual Report

2019 ANNUAL REPORT The Fiscal Board exercised its powers to supervise the activities and independence of the External Auditor and the Auditor, having the perception that the recommended practices were observed; and the Fiscal Board has rendered its approval to additional services to the auditory services that were hired to the External Auditor, having considered that it’s indepen- dence was safeguarded, its remuneration was contained in market conditions, and, therefore, it was in the society’s interest to benefit of the knowledge and punctuality assured in those services. The provision of additional services performed by the external auditor did not over- come the established by European regulations and national legislation in force. The Fiscal Board observed recommendation I.5 of the Corporate Governance Code of the IPCG to characterize the relevant level of transactions with shareholders holding relevant transactions according to those criteria, nor identified the presence of conflicts of interest. The Fiscal Board examined the individual and consolidated management report and the in- dividual and consolidated financial statements, their respective attachments, including the 2019 Corporate Governance Report presented by the Board of Directors, having examined, as well, the Legal Certification of Accounts and its Opinion issued by the Chartered Accoun- tant and has also considered the Audit Report submitted by KPMG & Associados, SROC, S.A. , attached to the “Additional Report of the External Auditor to the Supervisory Body”, that it produced and referring to the 2019 financial year, in accordance with Article 24 of the Portuguese RJSA (Legal Regime of Audit Supervision) , approved by Law 148 / 2015, of 7 September. It covers the scope of the Audit, the partners and employees of the Statutory Auditor who participated in it, the evaluation methods used with reference to impairment tests and corporate concentrations, the consolidation perimeter with mention of entities not audited by KPMG, materiality, Independence and the additional services provided, as well as, among others, the results of the analysis of Internal Control that responds to the questions raised, the answers obtained and the recommendations made. The Fiscal Board also examined the compliance of the Corporate Governance Report inclu- ded in the Management Report in compliance to the nº 5 art. 420 of the Commercial Socie- ties Code, focusing its analysis in the inclusion, in that Governance Report, of the required elements of the 245º-A article of the Portuguese Securities Market Code. Given the relevance, impact and possible consequences on the activity and results on the IBERSOL group companies in Portugal, Spain and Angola, in the year 2020, of the Covid-19 pandemic, that at the beginning of March 2020 led to declarations of states of emergency and calamity with the mandatory confinement and the significant closing activity in those countries, the Fiscal Board monitors the apprehension and considerations made on the mat- ter by the Board of Directors in Note 37 of the Annex to the financial statements, and by the Statutory Auditor/External Auditor in its Legal Certification of Accounts and Audit Report. 299