Corporate Governance Reports

IES is a Swedish public limited liability company. Prior to the listing on Nasdaq Stockholm, corporate governance in the Company was based on Swedish law and internal rules and instructions. After the listing on Nasdaq Stockholm, IES complies with Nasdaq Stockholm’s Rule Book for Issuers and apply the Swedish Corporate Governance Code (the “Code”). The Code applies to all Swedish companies with shares listed on a regulated market in Sweden and shall be fully applied from the first annual shareholders’ meeting held the year following the listing. IES is not obliged to comply with every rule in the Code as the Code itself provides for the possibility to deviate from the rules, provided that any such deviations and the chosen alternative solutions are described and the reasons therefore are explained in the corporate governance report (according to the so-called “comply or explain principle”).

IES applies the Code from the time of the listing of the shares on Nasdaq Stockholm. Any deviation from the Code will be reported in the Company’s corporate governance report, which will be prepared for the first time for the 2016/17 financial year. Currently, the Company does not expect to report any deviation from the Code in the corporate governance report.IES will after the end of the financial year 2016/2017 publish a more detailed corporate governance report.