Report Format

In this our second integrated Annual Report 2013/14 we are presenting a comprehensive and yet concise account of our performance during the year under review, as well as our expectations of the future in creating sustainable value for the Hayleys Group and its stakeholders. This Annual Report may be viewed across multiple formats.

The most comprehensive is the interactive online report http://hayleys2013-14.annualreports.lk , while the printed version focuses on brevity but fulfils all compliance requirements. The highly abridged mobile version http://hayleys2013-14.annualreports.lk/mobile.html and the short video http://hayleys2013-14.annualreports.lk/video.html complete the picture.

Concepts

Although we label this as our ‘second’ integrated Annual Report, some of you may recall the innovative approach we adopted over a decade ago when reporting for FY 2002/03 - our 125th anniversary, wherein we discussed value creation in the context of relationships and the interconnectedness of our tangible and intangible capital. It thus appears that these concepts, which lie at the core of integrated reporting, were conceived by Hayleys even before the term integrated reporting became common parlance!

Our approach to integrated reporting largely reflects integrated thinking and the way we do business, underpinned by the recognition that the value Hayleys derives for itself is linked to the value that Hayleys delivers to its stakeholders. In short, the dual aspects of sustainable value creation.

This also leads us to view ‘sustainability’ as a mindset that cuts across all business sectors and functions, impacting on all what we do. Hence, like in our Annual Report 2012/13, we have integrated our discussion on material economic, social and environmental aspects across the totality of the annual report. It is one cohesive report that also includes our approach to corporate governance, risk management and strategic priorities, presented with a focus on value creation and capital formation. These concepts are further discussed on The Two Sides of Value Creation.

Report Profile

Reporting Cycle

This is an integrated Annual Report that covers the 12-month period from 1st April 2013 to 31st March 2014. Hayleys PLC adopts an annual reporting cycle, and hence, the last published report - also an integrated report - was in respect of financial year ended 31st March 2013.

Scope and Boundary

Unless otherwise stated the Annual Report 2013/14 covers the performance of constituent businesses of Hayleys Group, based in Sri Lanka and overseas, as discussed in Note 1 to the Financial Statements. Specific exceptions are our reporting on employees, society and environment where our discussion is limited to Sri Lanka operations and are noted accordingly in the relevant sections.

Compliance

The information contained in this report, as in the past, is in compliance with all applicable laws, regulations and standards as well as guidelines for voluntary disclosures. In particular, we are in compliance with the financial reporting standards of the Institute of Chartered Accountants of Sri Lanka - including the requirements following the convergence of the Sri Lanka Accounting Standards (SLFRS/LKAS) with the International Financial Reporting Standards (IFRS), the laws and regulations of the Companies Act No. 7 of 2007, the Listing Rules of the Colombo Stock Exchange (CSE) and subsequent amendments. We continue to adhere to the requirements of the Code of Best Practice on Corporate Governance issued jointly by the Institute of Chartered Accountants of Sri Lanka and the Securities and Exchange Commission of Sri Lanka.

Hayleys PLC applies a precautionary principle across all Group companies with regard to social and environmental sustainability. We are aware of the social and environmental impact of our actions. Before embarking upon new ventures and initiatives we take necessary steps to assess any impacts through adequate risk management processes, which are discussed under Risk Management.

Our Annual Report 2012/13 was based on Global Reporting Initiative GRI G3.1 sustainability reporting guidelines. This year we have adopted GRI G4 and this Report is prepared in accordance with the core criteria.

Queries

We welcome your comments on this Annual Report. Our contact details are as follows:

Email: info@cau.hayleys.com
Web : www.hayleys.com
Mail: Corporate Affairs Unit, Hayleys PLC, No. 400, Deans Road, Colombo 10, Sri Lanka.