Company: CODI-PB
Filing Date: 2025-04-14
Form Type: DEF 14A
Source: 0001140361-25-013771
Chunk: 30

Company: Compass Diversified Holdings
Filing Date: 2025-04-14
Form: DEF 14A
Chunk 30
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 reporting to the Board, or the appropriate committee, regarding the Company’s major risk exposures (such as strategic and competitive risks, financial risks, brand and reputation risks, cybersecurity and technology risks, legal and compliance risks, regulatory risks, environmental, social and governance risks, and operational risks) and the steps management has taken to monitor and control such exposures. Our Board is responsible for promoting an appropriate culture of risk management throughout the organization, overseeing our aggregate risk profile and monitoring how the Company addresses specific risks. In furtherance of this responsibility, the Board has continually added directors with general risk oversight experience, and specific expertise in areas such as cybersecurity, sustainability and global corporate citizenship. Our General Counsel regularly updates the Board on material legal and regulatory matters and presents, and the Board assesses, at least annually, the critical legal and regulatory risks associated with the business of the Company and each of its subsidiaries, the overall legal and regulatory risk environment for the Company’s business, as well as the steps taken by the appropriate management team, if any, to mitigate such risks. Our Board also performs a significant portion of its role in risk oversight through the Audit Committee. The chair of the organization’s Enterprise Risk Management Committee regularly updates the Audit Committee on material enterprise risk issues and presents, and the Audit Committee assesses, at least annually, the Company’s and its subsidiaries’ major risks exposures and the steps management has taken to monitor and control such exposures, including the Company’s risk assessment and risk management policies and procedures. The Company’s internal audit department reinforces the day-to-day risk management responsibilities of the Company’s leadership team through its internal audit review processes which are performed at the Company level, as well as at each Company subsidiary. The internal audit department tailors its review to provide enhanced evaluations, on a rotating basis, in specific areas which have included in prior years, fraud, cybersecurity, adequacy of insurance, gift and entertainment and other spending, offsite satellite office controls, and business continuity. The Company’s internal audit team reports directly to the Audit Committee, which is comprised solely of independent directors. In addition, during each quarterly meeting of our Audit Committee, the members of the Audit Committee meet with the Company’s Senior Vice President of Internal Audit, independent auditors and counsel, in each case, without management present, to discuss the specific areas of risk identified during the quarter, if any. The Audit Committee is authorized to utilize outside lawyers, internal staff, independent experts, and other consultants to assist and advise the committee in connection with its responsibilities, including the evaluation of the