Chairman's and Financial Manager's Responsibility Statement

Chairman’s and Financial Manager’s

Responsibility Statement

The Financial Statements of Ceylon Fertilizer Co.Ltd. As at 31st March 2016 are prepared and presented in compliance with the requirements of the following.

² Sri Lanka Accounting Standards issued by the

Institute of Chartered Accountants of Sri Lanka;

² Companies Act No. 07 of 2007;

² Code of Best Practice on Corporate Governance issued by General Treasury

We confirm that the significant accounting policies used in the preparation of the Financial Statements are appropriate and are consistently applied, as described in the Notes to the Financial Statements. The prescribed Accounting Standards have been adopted without any deviations. The significant accounting policies and estimates that involved a high degree of judgment and complexity were discussed with the Audit Committee and the Auditor General.

We have also taken proper and sufficient care in installing systems of internal control and accounting records, to safeguard assets, and to prevent and detect frauds as well as other irregularities. These have been reviewed, evaluated and updated on an ongoing basis. Reasonable assurances that the established policies and procedures of the Company have been consistently followed were provided by periodic audits conducted by company’s internal auditors. However, there are inherent limitations that should be recognised in weighing the assurances provided

by any system of internal controls and accounting.

The Audit Committee of the Company meets periodically with the Internal Auditors and the Independent Auditors to review the effectiveness of the audits, and to discuss auditing, internal control and financial reporting issues. The Auditor General and the Internal Auditors have full and free access to the Audit Committee to discuss any matter of substance.

The Financial Statements were audited by the Auditor General to the Democratic Socialist Republic of Sri Lanka.

Roshana Waduge

Chairman

Priyantha Samaraweera

Finance Manager

June 29th 2016.