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Business Voluntary disclosures
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[QUOTE="Yakub02, post: 305449, member: 94426"] In addition to the mandatory disclosures required by law or regulation, many companies provide additional information, as part of their normal reporting cycle. Typically, these include an operating and financial review; a social and environmental report; corporate social responsibility report; financial summaries; details of key performance indicators (KPIs). There are several reasons why a company might make voluntary disclosures: some voluntary information might be provided as a public relations or marketing exercise, to present ‘good news’ about the company to investors and other users of the company’s published reports. providing information on a voluntary basis might persuade the government or financial service regulator that compulsory disclosures and regulation are not necessary. companies might publish social and environmental reports out of a genuine ethical and cultural belief in the responsibilities of the company to society and the environment. If a company believes that it has social and environmental responsibilities, publishing a report on these issues is a way of making itself accountable. a company might use voluntary disclosures as a way of improving communications with its shareholders. By giving more disclosures to shareholders, companies might encourage shareholders to respond, and enter into a dialogue with the company about its strategies and plans for the future. [/QUOTE]
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