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• Group structure
  • Organisation
• Corporate Governance Statement
• General meeting
  • Annual General Meeting 2012
  • Annual General Meeting 2011
  • Extraordinary Meeting Aug 19, 2010
  • Annual General Meeting 2010
  • Annual General Meeting 2009
  • Annual General Meeting 2008
  • Annual General Meeting 2007
• Board of Directors
  • Members of the Board
  • Permanent committees
  • Self-assessment
  • Fees paid
• President & CEO and the Group management
  • Group Executive Team
• Salary and remuneration report
• Personnel representation
• Reporting
• Risk management
  • Operational risk management model
  • The most significant risks and uncertainties
• Internal control
• Internal audit
• Insider management
• Shareholder agreements
• Articles of Association
• Auditor

Alma Media defines as risks events or circumstances that could prevent reaching a strategic, operative or economic objective. The risks are classified as strategic, operative and financing risks.
 

Strategic risks

 
The most important strategic risks for Alma Media are a significant drop in readership, a decrease in advertising sales and a significant rise in distribution costs. Changes in the overall economy are reflected in the development of advertising sales.
 
Advertising sales generates approximately half of the Group revenue. There are also country-specific risks related to the development of the market, business and the economic growth with regards to developing businesses abroad, such as in the Baltic countries and other Eastern European countries.
 
In the long term, the media business is transforming with changes in media usage and new technologies. Alma Media’s strategic objective is to react to this challenge by renewing its business and developing new businesses in the field of online media.
 

Operative risks

 
Disturbances of information technology and communications as well as disruption of printing are the most important operative risks. The risks of information technology and communications are reviewed and managed in cooperation with the group’s ICT organisation and the business units as well as cooperation partners. Especially the technical operation and vulnerability of the digital business is closely monitored in the entire media industry.
 
In printing, it is important to prevent disruptions of operations in advance by means of good management and safety culture as well as with the help of guidelines. Back-up printing plans are made in preparation for interruptions.
 
The new Postal Act that entered into force in June, 2011 may lead to additional costs for the distribution of newspapers. Therefore, the Group aims to further improve the efficiency of its distribution activities in order to maintain a competitive edge. On the other hand, the amended act also offers Alma Media a possibility to expand its distribution business.
 

Financing risks

 
The Chief Financial Officer of the Group is responsible for the Group’s financing. Alma Media’s centralised financing and investment function takes care of the operative financing of all companies in the Group. The function includes the management of payments and liquidity, funding and investments. The Group’s payments are centralised.
 
Capital market arrangements are used for long-term financing. The cash surplus is invested according to the Group’s financing policy in financially sound investment instruments with a maturity of less than one year.
 
Alma Media has no significant financing risks. The financing risks are described in more detail in the Financial Statements, Appendix 28.

Page last updated 21.05.2012