This chapter has focused on Australian financial reporting as legislated by the Corporations Act. However, companies are increasingly prepared to disclose additional information beyond that required by legislation. These types of voluntary disclosures may include information about environmental actions, sustainability, employee initiatives and community impacts. Like financial reporting, there is a significant cost attached to the preparation and dissemination of these reports. It is likely, therefore, that companies provide this information because they believe that there may be long term benefits in doing so.

Required

Work in groups of three and search the internet for Australian companies that provide corporate citizenship reports (e.g. Exxon Mobil Australia, KPMG, Telstra Corporation). Each group should work with a report from a different company. Each group should prepare and present a report addressing the following:

1. Discuss the relationship between corporate citizenship report and the financial statements.

2. Identify the key achievements that each company has chosen to highlight. Why do you think they have chosen these elements? Compare and contrast with the other groups.

3. Who do you think the report is aimed at? What benefits does the company expect to reap from preparing this report? Is this the same for each company? Discuss.