Item 16G. Corporate Governance
On 4 November 2003, the New York Stock Exchange (the 'NYSE') established new corporate governance rules. The application of the NYSE’s rules is restricted for foreign companies, recognising that they have to comply with domestic requirements. As a foreign private issuer, Prudential must comply with the following NYSE rules:
- The Company must satisfy the audit committee requirements of the SEC;
- The Group Chief Executive must promptly notify the NYSE in writing after any executive officer of the Company becomes aware of any non-compliance with any applicable provisions of Section 303(A) of the NYSE’s Listed Company Manual;
- The Company must submit an executed written affirmation annually to the NYSE affirming the Company’s compliance with applicable NYSE Corporate Governance Standards and submit an interim written affirmation notifying it of specified changes to it's audit committee or a change to the Company's status as a foreign private issuer; and
- The Company must provide a brief description of any significant difference between its corporate governance practices and those followed by US companies under the NYSE listing standards.
As a company listed on the London Stock Exchange, Prudential is required to comply with the Listing Rules, Disclosure and Transparency Rules and Prospectus Rules issued by the FCA and to report and explain non-compliance with the UK Corporate Governance Code (the 'UK Code') which is issued by the Financial Reporting Council.
As a result of its listing on the Hong Kong Stock Exchange, Prudential is also required to comply with certain continuing obligations set forth in the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the 'HK Listing Rules') and is expected to comply with, or explain any deviation from the provisions, of the Corporate Governance Code contained in Appendix 14 to the HK Listing Rules (the 'HK Code').
Any deviation from compliance with either corporate governance code is set out in the Governance Report in the Annual Report 2015. View the table disclosing the differences between Prudential's domestic practice and the NYSE rules. This table is also included in the relevant section of Prudential's Annual Report on Form 20-F.