Proctor and Gamble 2011 Annual Report Download - page 34

32 The Procter & Gamble Company
Report of Independent Registered Public Accounting Firm
To the Board of Directors and Stockholders of
The Procter & Gamble Company
We have audited the internal control over financial reporting of
TheProcter & Gamble Company and subsidiaries (the “Company”) as
of June 30,2011, based on criteria established in Internal Control –
Integrated Framework issued by the Committee of Sponsoring
Organizations of the Treadway Commission. The Company’s manage-
ment is responsible for maintaining effective internal control over
financial reporting and for its assessment of the effectiveness of
internal control over financial reporting, included in Management’s
Report on Internal Control over Financial Reporting. Our responsibility
is to express an opinion on the Company’s internal control over
financial reporting based on our audit.
We conducted our audit in accordance with the standards of the
Public Company Accounting Oversight Board (United States). Those
standards require that we plan and perform the audit to obtain
reasonable assurance about whether effective internal control over
financial reporting was maintained in all material respects. Our audit
included obtaining an understanding of internal control over financial
reporting, assessing the risk that a material weakness exists, testing
and evaluating the design and operating effectiveness of internal
control based on the assessed risk, and performing such other proce-
dures as we considered necessary in the circumstances. We believe
that our audit provides a reasonable basis for our opinion.
A company’s internal control over financial reporting is a process
designed by, or under the supervision of, the company’s principal
executive and principal financial officers, or persons performing
similar functions, and effected by the company’s board of directors,
management, and other personnel to provide reasonable assurance
regarding the reliability of financial reporting and the preparation of
financial statements for external purposes in accordance with generally
accepted accounting principles. A company’s internal control over
financial reporting includes those policies and procedures that (1)pertain
to the maintenance of records that, in reasonable detail, accurately
and fairly reflect the transactions and dispositions of the assets of the
company; (2)provide reasonable assurance that transactions are
recorded as necessary to permit preparation of financial statements in
accordance with generally accepted accounting principles, and that
receipts and expenditures of the company are being made only in
accordance with authorizations of management and directors of the
company; and (3)provide reasonable assurance regarding prevention
or timely detection of unauthorized acquisition, use, or disposition
ofthe company’s assets that could have a material effect on the
financial statements.
Because of the inherent limitations of internal control over financial
reporting, including the possibility of collusion or improper manage-
ment override of controls, material misstatements due to error or
fraud may not be prevented or detected on a timely basis. Also,
projections of any evaluation of the effectiveness of the internal
control over financial reporting to future periods are subject to the
risk that the controls may become inadequate because of changes in
conditions, or that the degree of compliance with the policies or
procedures may deteriorate.
In our opinion, the Company maintained, in all material respects,
effective internal control over financial reporting as of June 30,2011,
based on the criteria established in Internal Control – Integrated
Framework issued by the Committee of Sponsoring Organizations of
the Treadway Commission.
We have also audited, in accordance with the standards of the
Public Company Accounting Oversight Board (United States), the
Consolidated Financial Statements of the Company as of and for
theyear ended June 30,2011 and our report dated August 10,2011
expressed an unqualified opinion on those financial statements.
Cincinnati, Ohio
August 10,2011