Work of the Board of Directors

The Board of Directors is the Company’s second highest decision-making body after the General Meeting. According to the Swedish Companies Act, the Board is responsible for the administration and organization of the Company, which means that the Board is responsible for, among other things, identifying objectives and strategies, ensuring procedures and systems for evaluating established objectives, continually evaluating the Company’s financial position and performance, as well as evaluating its operational management.

The Board is also responsible for ensuring that the annual report and interim reports are prepared on schedule. In addition, the Board appoints the Chief Executive Officer.

Board members are elected by the Annual General Meeting of shareholders for the period lasting until the end of the next AGM. The Company’s Articles of Association stipulate that the Board shall consist of at least three and at most six members.

The Board follows written rules of procedure that are reviewed annually and adopted at the statutory Board meeting each year. The work plan governs the division of work and responsibility between the Board and the Chief Executive Officer. In connection with the statutory meeting, the Board also specifies financial reporting procedures for the Chief Executive Officer.

The Board meets according to an annual fixed schedule. In addition to these meetings, additional meetings are convened to deal with issues that cannot be referred to a regular Board meeting. In addition to Board meetings, the Chairman and the CEO pursue an ongoing dialogue concerning the management of the Company.