Speciality Metals International Limited Annual Report 2019

Page | 30 DIRECTORS’ REPORT I NDEMNIFICATION AND I NSURANCE OF O FFICERS AND A UDITORS Indemnification The Company has not, during or since the end of the financial period, in respect of any person who is or has been an Officer of the Company or a related body corporate indemnified or made any relevant agreement for indemnifying against a liability incurred as an Officer, including costs and expenses in successfully defending legal proceedings. Insurance Premiums During the financial period the Company has paid premiums to insure each of the Directors and Officers against liabilities for costs and expenses incurred by them in defending any legal proceedings arising out of their conduct whilst acting in the capacity of a Director or Officer of the Company, other than conduct involving a wilful breach of duty in relation to the Company. The premiums paid are not disclosed as such disclosure is prohibited under the terms of the contract . A UDIT AND N ON – AUDIT SERVICES During the financial year, the following fees for audit and non-audit services were paid or payable to BDO Audit (NTH QLD) Pty Ltd and Nexia Melbourne Audit Pty Ltd: 2019 $ 2018 $ Audit-related services Amounts paid or payable to BDO Audit (NTH QLD) Pty Ltd - Audit services 800 36,000 Amounts paid or payable to Nexia Melbourne Audit Pty Ltd - Audit services 53,000 20,000 Taxation services Amounts paid or payable to BDO Audit (NTH QLD) Pty Ltd - Tax compliance services (tax returns) - 7,600 Amounts paid or payable to Nexia Melbourne Audit Pty Ltd - Tax compliance services (tax returns) 6,000 - - Other Tax advice 6,488 - 66,288 63,600 The Directors are satisfied that the provision of non-audit services during the year by the auditor is compatible with the general standard of independence for auditors imposed by the Corporations Act 2001. On the advice of the Audit Committee, the Directors are satisfied that the provision of non-audit services by the auditor, as set out above, did not compromise the auditor independence requirements of the Corporations Act 2001 for the following reasons: - all non-audit services have been reviewed by the Audit Committee to ensure that they do not impact the integrity and objectivity of the auditor; and - none of the non-audit services undermine the general principles relating to auditor independence as set out in APES 110 Code of Ethics for Professional Accountants. A UDITOR ’ S I NDEPENDENCE D ECLARATION A copy of the Auditor’s Independence Declaration as required under section 307C of the Corporations Act 2001 is set out and located after the Directors’ Declaration and forms part of this Report. C ORPORATE G OVERNANCE A statement disclosing the extent to which the Company has followed the best practice recommendations set by the ASX Corporate Governance Council during the period is displayed on the Company’s website. Signed at Melbourne this 26 th day of September 2019 in accordance with a resolution of the Directors. R USSELL K RAUSE Executive Chairman