Corporate Governance

Corporate Governance Report

Corporate governance refers to the entire system for managing and supervising a company. This includes its organization, values, corporate principles and guidelines as well as internal and external control and monitoring mechanisms. Effective and transparent corporate governance guarantees that BASF is directed and monitored in a responsible manner focused on value creation. It fosters the confidence of our domestic and international investors, the financial markets, our customers and other business partners, employees, and the public in BASF.

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Compliance

Our Group-wide Compliance Program aims to ensure adherence to legal regulations and the company’s internal guidelines. This topic has been integrated into our “We create chemistry” strategy. Our employee Code of Conduct firmly embeds these mandatory standards into day-to-day business. Members of the Board of Executive Directors are also expressly obligated to follow these principles.

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Management and Supervisory Boards

Compensation Report

This report outlines the main principles of the compensation for the Board of Executive Directors and discloses the amount and structure of the compensation of each Board member. Furthermore, it provides information on end-ofservice undertakings with respect to Board members, as well as information on the compensation of Supervisory Board members.

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Report of the Supervisory Board

The Supervisory Board’s work in 2016 was marked by several events and topics that were, in various respects, both weighty and significant – such as the explosion at the Ludwigshafen site, changes in the chemical industry due to the announcement of major mergers and acquisitions that impacted BASF’s strategic development, and long-term succession planning for the composition of the Board of Executive Directors.

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Declaration of Conformity

Declaration of Conformity 2016 of the Board of Executive Directors and the Supervisory Board of BASF SE

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Declaration of Corporate Governance

Declaration of Corporate Governance as per Section 315(5) of the German Commercial Code (HGB) in connection with Section 289(a) HGB

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