Governance

Compliance with good corporate governance is important in international business

Mint of Finland is committed to complying with and developing responsible corporate governance.

Corporate responsibility is an inherent part of all our operations, including processes, guidelines and agreements. Our goal is for all Mint of Finland employees to realise the importance of responsible operating practices and to engage them in taking responsibility.

Towards increasingly open dialogue

Open dialogue and transparency depict Mint of Finland’s operations. Our communications are built on the principles of trust, transparency and promptness. Mint of Finland provides, on its own initiative, reliable information to stakeholders about the Group’s goals and operations. We never comment on confidential or uncompleted matters or on our competitors’ business.

Principles of corporate governance

Under the Government Resolution on State Ownership Policy (13 May 2016), in addition to the Limited Liability Companies Act, good corporate governance and the corporate governance recommendations valid at any time are applied to the governance of state-owned companies.

The highest decision-making body in Mint of Finland Group is Mint of Finland’s general meeting of shareholders. The general meeting of shareholders elects Mint of Finland’s Board of Directors and the chairperson and vice chairperson of the Board and decides the Board’s fees.

The Board of Directors of Mint of Finland acts as an independent body in accordance with the recommendations of the Corporate Governance Code and its aim is to take decisions relating to the business and to perform its statutory duty of supervision in keeping with the company’s best interests so as to ensure the company’s value appreciates in the long term. Mint of Finland Ltd’s Board of Directors is responsible for the management and supervision of the Group in accordance with the Limited Liability Companies Act –Finland, the Articles of Association, the Board’s rules of procedure and instructions issued by the company’s owners.

The CEO is responsible for the day-to-day management of the company, which refers to the ordinary, recurring activities within the company’s line of business. The CEO is responsible for the day-to-day management of the company and Group in accordance with the Articles of Association, the Limited Liability Companies Act – Finland and instructions issued by the Board of Directors. The CEO reports to the Board of Directors.

Mint of Finland Ltd’s Management Team assists the CEO and convenes in the composition referred to by the CEO in each notice of meeting as warranted by the matters under consideration at any time.

Mint of Finland’s corporate governance principles define the duties of the company’s governing bodies, their mutual relationships, remuneration, internal control, internal auditing, risk management and auditing.

Tax footprint by country*

1000 € Finland Germany Spain
Direct taxes paid for the period
Income taxes 42 -12 198
Employer's contributions 37 0 435
Real estate tax 77 11 0
Other taxes 0 0 37
Total 156 -1 670
Taxes collected for the financial period
Withholding tax 1 072 -291 351
VAT, sales 11 836 -131 3 649
VAT, purchases -14 807 -1 449 -3 045
Total -1 899 -1 872 955
Turnover by country 66 630 10 073 18 706
Net result before taxes by country -508 -677 841
Personnel by country 62 69 39
*Figures are based on the official financial statements released in each country as well as the share of the holding in the company. The intra-group items are not eliminated from those figures.

Mint of Finland's tax policy is part of the company's corporate social responsibility. Mint of Finland uses the tax footprint to describe the tax impact of its operations and how this impact is distributed accross different countries.

Mint of Finland complies with local legistlation regarding the payment, collection, settlement and reporting of taxes. Taxes are paid to the state which they belong based on our business operations. The tax footprint consists of three main components: direct taxed paid by the company (including income tax, various employer contributions, vehicle taxes, capital transfer and real estate taxes), indirect taxes paid by the company (taxes which the company pays as part of the price of a product or service, but which the seller collects, including insurance preioum and vehicle tax) and taxes collected by the company (including withholding tax, tax at source and VAT). Mint of Finland Group reports all taxes it pays.

In transfer pricing, the company complies with the local laws and transfer pricing is based on the mark-up rate determined by reference search. Mint of Finland Group deals with tax returns and other statutory duties promptly and appropriately.

We report our progress with corporate responsibility with regard to the companies in Finland and Germany. Mint of Finland Group also includes a 50% holding with the Royal Mint of Spain in the joint venture Compañía Europea de Cospeles S.A. (CECO SA), which manufactures blanks in Spain. CECO SA has signed Mint of Finland’s Business Partner Code of Conduct and in this respect has undertaken to comply with the company’s ethical guidelines.