HSBC 2009 Annual Report Download - page 330

HSBC HOLDINGS PLC
Report of the Directors: Governance (continued)
Sustainability / Share capital > Issued / Rights and obligations
328
Sustainability governance
Sustainability at HSBC exists as a GMO function,
with senior executives charged with implementing
sustainable business practice in all major regions
through inclusion in the Group Standards Manuals
and through induction and developmental training.
The Corporate Sustainability Committee, a
Committee of the Board, is responsible for advising
the Board, committees of the Board and executive
management on corporate sustainability policies,
including environmental, social and ethical issues.
At an operational level, implementation of these
policies is managed primarily by Group Human
Resources, Group Risk, Group Compliance and
Group Corporate Sustainability.
The terms of reference of the Corporate
Sustainability Committee are available at
www.hsbc.com/boardcommittees. The members of
the Committee throughout 2009 were W K L Fung
(Chairman), Sir Mark Moody-Stuart and N R N
Murthy, each of whom is a non-executive Director,
G V I Davis, Lord May and Dame Mary Marsh
(appointed a member on 31 July 2009), who are non-
director members of the Committee. There were five
meetings of the Corporate Sustainability Committee
during 2009. Following each meeting, the
Committee reports to the Board on its activities.
HSBC reports on its progress in developing and
implementing its sustainability strategy annually in
the HSBC Sustainability Report, which is externally
verified and prepared using the Global Reporting
Initiative. PricewaterhouseCoopers has been
re-appointed for 2009 and will verify the Group’s
commitment to carbon neutrality and adherence to
the Equator Principles. The HSBC Sustainability
Report 2009 will be issued on 28 May 2010 and will
be available at www.hsbc.com/sustainability.
Sustainability risk
HSBC’s approach to managing sustainability risk is
detailed on page 264.
Health and safety
The maintenance of appropriate health and safety
standards throughout HSBC remains a key
responsibility of all managers and HSBC is
committed to proactively managing all health and
safety risks associated with its business. HSBC’s
objectives are to identify, remove, reduce or control
material risks of fires and of accidents or injuries to
employees and visitors.
Group standards, instructions and related
policies and procedures are set by Group Corporate
Real Estate and implemented by Health, Safety and
Fire Co-ordinators (‘HSFC’s) based in each country
in which HSBC operates. The HSFC may call upon
regional and Group resource by way of support at
any time.
Despite the considerable international pressure
on terrorist networks over the past few years, the
global threat from terrorism persists. HSBC remains
committed to maintaining its preparedness and to
ensuring the highest standards of health and safety
wherever in the world it operates.
Group Security provides regular risk
assessments in areas of increased risk to assist
management in judging the level of terrorist threat.
In addition, regional security functions conduct
regular security reviews to ensure measures to
protect HSBC staff, buildings, assets and
information are appropriate for the level of threat.
Supplier payment policy
The Company does not currently subscribe to any
code or standard on payment practice. It is the
Company’s policy, however, to settle terms of
payment with those suppliers when agreeing the
terms of each transaction, to ensure that those
suppliers are made aware of the terms of payment,
and to abide by the terms of payment.
It is HSBC Holdings’ practice to organise
payment to its suppliers through a central accounts
payable function operated by its subsidiary, HSBC
Bank. Included in the balance with HSBC Bank
is the amount due to trade creditors which, at
31 December 2009, represented 24 days’ average
daily purchases of goods and services received from
such creditors, calculated in accordance with the
Companies Act 2006, as amended by Statutory
Instrument 2008 No. 410.
Share capital
Issued share capital
The nominal value of the issued share capital of
HSBC Holdings paid up at 31 December 2009 was
US$8,704,117,884 divided into 17,408,206,768
ordinary shares of US$0.50 each and 1,450,000 non-
cumulative preference shares of US$0.01 each; and
£301,500 comprising 301,500 non-voting deferred
shares of £1 each.
The percentage of the nominal value of the total
issued share capital of HSBC Holdings paid up at
31 December 2009 represented by the ordinary
shares of US$0.50 each, non-cumulative preference
shares of US$0.01 each and non-voting deferred