|
The management of RPM International Inc. is responsible for establishing and maintaining adequate internal control over financial
reporting for the Company, as such term is defined in Rule 13a-15(f) under the Securities Exchange Act of 1934. RPM's internal control
system was designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of the
Consolidated Financial Statements.
Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements and even when
determined to be effective, can only provide reasonable assurance with respect to financial statement preparation and presentation.
Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may be inadequate because
of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
Management assessed the effectiveness of RPM's internal control over financial reporting as of May 31, 2007. In making this
assessment, management used the criteria set forth by the Committee of Sponsoring Organizations of the Treadway Commission in
Internal Control-Integrated Framework. The scope of such assessment did not include Tor Coatings ("Tor") and the acquired
businesses of The Dane Group ("Dane"), which the Company acquired in 2007, and are included in our Consolidated Financial
Statements, aggregating approximately $68.6 million of total assets as of May 31, 2007, approximately $17.8 million of net sales and
approximately $0.4 million of pre-tax loss for the year then ended. Based on this assessment, management concluded that, as of
May 31, 2007, RPM's internal control over financial reporting is effective.
The independent registered public accounting firm Ernst & Young LLP, has also audited the Company's assessment of internal control
over financial reporting as of May 31, 2007 and their report thereon is included on page 67 of this report.
|
