Responsible, systematic, and transparent risk management is a core element of good corporate governance at HUGO BOSS. The risk management system anchored in the value-based Group management is designed to enable the Company to exploit business opportunities while, at the same time, allow for early identification, assessment, and management of risks through appropriate measures. Ensuring appropriate and effective risk management and risk controlling is of particular importance. The systems are continuously enhanced and adapted to changing conditions. Inherently, however, they cannot provide full protection against losses from business transactions or fraudulent acts. Report on Risks and Opportunities