ANNUAL REPORT 2007

The "Fondazione" is offering to provide for ali the project work and execution of the works and the structures relating to the Parma children's hospital, to fulfill ali the related accessory monitoring and coordination activities, to liberally transfer to the Parma Hospital-University the property and the use of the works performed with the objective of enabling the hospital in Parma to have a hospital for children with excellent characteristics, that will be appropriate for the demands of the territory and leader both under a technological profile as well as in its accommodation premises in receiving children that require to be attended to. Up to the present moment the project work phase has been completed and it is expected that the concrete taking off of the works will take place in September 2008.
The Board of Directors had deliberated the approvai of the Organization Model, that had been inspired by the Guidelines issued by the "Confìndustria" in 2002 as well as the composition of the Internai Supervisory Organism for the purpose of satisfying the requirements of Leg. Decree n, 231 dated 8 June 2001, Subsequent to the identificati on of the risk areas and to an analysis of such activities, the application of the Model, aimed at avoiding the faulty causing of specifìc actions against the law, has involved the subsequent correction of the internai operating regulatfbns and of the procedures relating to the company's Management System.
In December 2007, for the purpose of complying with the modifications made to Leg. Decree nr. 231/01, introduced by Art 9 of Law nr. 123 dated 3 August 2007 that adds faulty actions against the law in the environment of safety at work, the Organism proposed the updating of the Organization Model to the Board of Directors who approved the sanie and consequently integrated the composition of the Organism by adding a Specialized Component (for crimes against safety) for the purpose of better satisfying the supervisory requirements provided for by the Organism.
The presence of a Safety Management System (OHSAS 18001) implemented in the Company since 2005 and certified as of September 2006, has not involved, subsequent to such legislative modification, significant corrections to the internai operative regulations.