Vaisala Group’s corporate governance system is based on the Finnish Limited Liability Companies Act and Vaisala’s Articles of Association. The Company complies with the rules and regulations for listed companies issued by NASDAQ OMX Helsinki Ltd and the Finnish Financial Supervisory Authority. Vaisala’s A shares are listed on NASDAQ OMX Helsinki Ltd.
Vaisala complies with the Finnish Corporate Governance Code by the Securities Market Association that came into effect on October 1, 2010. However, the Company's policy deviates from the recommendation concerning the term of Board members in accordance with the latter part of the Code’s Comply or Explain principle.
The code is available on the Securities Market Association website www.cgfinland.fi/en.
Deviations from the Recommendations of the Corporate Governance Code and the Explanations for These Deviations
The term of the members of Vaisala’s Board of Directors deviates from the Recommendation 10 of Corporate Governance Code, which recommends a term of one year. The term of the Company’s Board of Directors is determined in accordance with its Articles of Association. Under the Articles of Association, a member’s term is three years, beginning at the close of the General Meeting in which the member is elected and ending at the close of the third subsequent Annual General Meeting. The General Meeting decides on changes to the Articles of Association.
A longer term effectively promotes the commitment of Vaisala’s principal shareholders to the Company’s long-term development. The longer term practice has worked well and benefited the Company.