Disclosure & Transparency Initiatives
Our Commitment to Disclosure and Transparency Initiatives
Over the past several years, KKR has been working to increase the transparency of our investment activities and processes, both through formal compliance with regulations recommending increased levels of disclosure as well as through voluntary initiatives with our clients, partners, portfolio companies and the public at large.
Disclosure and Transparency Initiatives
Walker Report for Fiscal Year 2008*
In November 2007, a working group formed by The British Private Equity and Venture Capital Association (“BVCA”) and led by Sir David Walker issued the Guidelines for Disclosure and Transparency in Private Equity. That publication, which is also known as the “Walker Report,” makes specific recommendations for improving the level of public disclosure by private equity firms operating in the United Kingdom.
Because we believe in the importance of enhancing disclosure and transparency within the private equity industry, we helped draft the guidelines and are complying with them. Lord Clive Hollick, a Senior Advisor of KKR, served as a member of the working group that issued the Walker Report. We voluntarily undertook to conform to the Walker Report guidelines upon their launch in 2007 and to promote further conformity by our U.K. portfolio companies, and we were pleased to continue such conformity in 2008. Today, KKR portfolio companies with significant operations in the U.K., including Alliance Boots plc and Northgate Information Solutions Limited, release annual reports as part of KKR’s compliance with the Walker Report guidelines.
Other Initiatives
Our commitment to enhance disclosure and transparency within the private equity industry is not limited to implementing the Walker Report guidelines. We are also actively involved in similar initiatives across Europe, including initiatives that are currently being undertaken by the German Private Equity and Venture Capital Association (BVK) and the French Private Equity Association (AFIC).
We are committed to supporting these initiatives. In addition, we along with other members of the Private Equity Council, a trade group representing 13 largest private equity firms, worked with the United Nations Principles for Responsible Investment to develop investment principles providing transparency and including environmental, social and governance factors into investment, decsion-making and ownership activities. KKR also became a signatory of the United Nations Principles for Responsible Investment. In addition, senior KKR professionals serve on the BVK and AFIC working groups that are responsible for developing and implementing disclosure and transparency standards for those bodies. We recently launched a German language version of our website in keeping with the transparency commitments made with the BVK.
Included in the following section of our website is a discussion of our private equity business and our other businesses and information about our portfolio companies, as contemplated by the Walker Report. Additional information concerning our firm and investments is included in our 2008 Annual Review, which may be downloaded by clicking here.
A full discussion of our commitment to responsible investing can be found on the Responsibility section of our website.
*This report presents information with respect to our fiscal year ended December 31, 2008, and such information has not been updated to reflect facts, events, or figures after that date.
