Assessment of the risk situation by Management
On the basis of the detailed information that is continually recorded as part of the risk management process both by the parent Group and the subsidiaries worldwide and evaluated by the central risk management team, the Managing Board currently assumes that based on the information available all individual and aggregated risks can be classified as manageable. Interdependencies or common causes that could simultaneously trigger several risks also do not endanger the continued existence of the Group as a going concern. In general, however, the existence of additional latent risks that were not or only insufficiently identified as part of the risk management process cannot be ruled out.
Compared to the last report as of the end of fiscal year 2012, the HUGO BOSS Group's overall risk exposure has decreased slightly despite the growth realized and still projected. As in prior years, the largest risk position stems from the category operational risks.
Development and composition of total risk exposure
Exposure = possible financial impact weighted by likelihood of occurrence