Corporate Governance is understood as the legal and factual regulatory framework for the
management and supervision of an enterprise. The German Corporate Governance Code (the
“Code”) contains principles, recommendations and suggestions for the Management Board and
the Supervisory Board that are intended to ensure that the company is managed in its best
interests.
The Code highlights the obligation of Management Boards and Supervisory Boards – in
line with the principles of the social market economy – to take into account the interests of the
shareholders, the enterprise’s workforce and the other groups related to the enterprise
(stakeholders) to ensure the continued existence of the enterprise and its sustainable value
creation (the enterprise’s best interests). These principles not only require compliance with the
law, but also ethically sound and responsible behaviour (the “reputable businessperson” concept,
Leitbild des Ehrbaren Kaufmanns)
