Norwegian Code of Practise:

• The auditor should submit the main features of the plan for the audit of the company to the board of directors annually.
• The auditor should participate in meetings of the board of directors that deal with the annual accounts. At these meetings the auditor should review any material changes in the company's accounting principles, comment on any material estimated accounting figures and report all material matters on which there has been disagreement between the auditor and the executive management of the company.
• The auditor should at least once a year present to the board of directors a review of the company's internal control procedures, including identified weaknesses and proposals for improvement.
• The board of directors should hold a meeting with the auditor at least once a year at which neither the chief executive nor any other member of the executive management is present.
• The board of directors should establish guidelines in respect of the use of the auditor by the company's executive management for services other than the audit. The board should receive annual written confirmation from the auditor that the auditor continues to satisfy the requirements for independence. In addition, the auditor should provide the board with a summary of all services in addition to audit work that have been undertaken for the company.
• The board of directors must report the remuneration paid to the auditor at the annual general meeting, including details of the fee paid for audit work and any fees paid for other specific assignments.

The auditor's relationship to the Board

The Group’s auditor is elected by the General Meeting. An outline of the work planned by the auditor shall be put before the Board once a year.

The auditor is always present during the Board's discussions of the annual accounts. At that meeting, the Board is briefed on the annual financial statements and any other issues of particular concern to the auditor, including any points of contention between the auditor and management. The auditor also participates in the meetings of the Audit Committee.

The Board arranges annual meetings with the auditor to review a report from the auditor that addresses the Group's accounting principles, risk areas and internal control routines. At least one meeting a year will be held between the auditor and the Board without the presence of the CEO or other members of executive management.

The auditor has submitted to the Board a written statement on the fulfilment of the Statutory Audit Independence and Objectivity Requirement, cf. the Auditing and Auditors Act.

The auditor's relationship to management

The Board of Directors has discussed guidelines for the business relationship between the auditor and the Group.

The Group hired Arthur Andersen & Co. as its independent auditor upon its inception in 1987. In April 2002, Arthur Andersen & Co. in Norway was merged with Ernst & Young. In addition to ordinary auditing, the company has provided consultancy services related to accounting, tax and due diligence. Reference is made to Note 11 to the consolidated accounts.

At regular intervals, the Board of Directors will evaluate whether the auditor exercises a satisfactory level of control.

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