Progress Energy 2009 Annual Report Download - page 212

PROXY STATEMENT
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REPORT OF THE AUDIT AND CORPORATE
PERFORMANCE COMMITTEE
The Audit and Corporate Performance Committee of the Company’s Board of Directors (the “Audit
Committee”) has reviewed and discussed the audited financial statements of the Company for the fiscal year ended
December 31, 2009, with the Company’s management and with Deloitte & Touche LLP, the Company’s independent
registered public accounting firm. The Audit Committee discussed with Deloitte & Touche LLP the matters required
to be discussed by Statement on Auditing Standards No. 114, as amended (AICPA, Professional Standards, Vol. 1
AU Section 380) as adopted by the Public Company Accounting Oversight Board in Rule 3200T, by the SEC’s
Regulation S-X, Rule 2-07, and by the NYSE’s Corporate Governance Rules, as may be modified, amended or
supplemented.
The Audit Committee has received the written disclosures and the letter from Deloitte & Touche LLP
required by applicable requirements of the Public Company Accounting Oversight Board regarding the independent
accountant’s communication with the Audit Committee concerning independence and has discussed with Deloitte &
Touche LLP its independence.
Based upon the review and discussions noted above, the Audit Committee recommended to the Board
of Directors that the Company’s audited financial statements be included in the Company’s Annual Report on
Form 10-K for the fiscal year ended December 31, 2009, for filing with the SEC.
Audit and Corporate Performance Committee
Theresa M. Stone, Chair
James E. Bostic, Jr.
W. Steven Jones
Melquiades R. “Mel” Martinez*
Charles W. Pryor, Jr.
Carlos A. Saladrigas
Alfred C. Tollison, Jr.
* Mr. Martinez was elected to the Board effective March 1, 2010, and thus did not participate in the reviews
and discussions described in the foregoing Report of the Audit Committee.
Unless specifically stated otherwise in any of the Company’s filings under the Securities Act of 1933 or
the Securities Exchange Act of 1934, the foregoing Report of the Audit Committee shall not be incorporated by
reference into any such filings and shall not otherwise be deemed filed under such Acts.
DISCLOSURE OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM’S FEES
The Audit Committee has actively monitored all services provided by its independent registered public
accounting firm, Deloitte & Touche LLP, the member firms of Deloitte & Touche Tohmatsu, and their respective
affiliates (collectively, “Deloitte”) and the relationship between audit and non-audit services provided by Deloitte.
We have adopted policies and procedures for pre-approving all audit and permissible non-audit services rendered
by Deloitte, and the fees billed for those services. Our Controller (the “Controller”) is responsible to the Audit
Committee for enforcement of this procedure, and for reporting noncompliance. Pursuant to the pre-approval policy,
the Audit Committee specifically pre-approved the use of Deloitte for audit, audit-related and tax services.
The pre-approval policy requires management to obtain specific pre-approval from the Audit Committee
for the use of Deloitte for any permissible non-audit services, which generally are limited to tax services, including
tax compliance, tax planning, and tax advice services such as return review and consultation and assistance. Other
types of permissible non-audit services will not be considered for approval except in limited instances, which
could include circumstances in which proposed services provide significant economic or other benefits to us. In