Accuracy of Books and Records and Information Reporting Duke Energy's Code of Business Ethics

Duke Energy demonstrates accountability in all accounting (including time reporting) and financial reporting practices. All employees must accept responsibility for the accuracy of written records and public statements so that we can maintain the trust of our stakeholders.

Duke Energy's internal controls over financial reporting are consistent with the application of generally accepted accounting principles (GAAP). They help protect our financial accountability by:

  • Assuring management's authorization of financial transactions
  • Ensuring that financial transactions are properly recorded and posted
  • Satisfying government and other regulatory requirements
  • Providing reasonable assurance that we are in compliance with GAAP and applicable tax laws.

Responsibility in Reporting

Duke Energy's results of operations and financial condition are reported using GAAP and in compliance with applicable laws and regulations. Duke Energy prides itself on the transparency of its financial and non-financial reporting. To this end, we provide independent analysis and reporting of, among other things:

  • Earnings for common stock shareholders
  • Non-financial data (examples include data related to environmental responsibility, key strategic initiatives and community involvement)
  • Current and future opportunities, threats, strategic plans and critical success factors
  • Revenue recognition
  • Market risks associated with commodity prices, credit exposure and interest rates
  • Corporate and management commitment to our company's values.

It is critical to Duke Energy's reputation that information provided to management and the public is accurate, fair, complete, objective, understandable, timely and relevant. This applies to both financial and non-financial data, and includes information in public communications as well as in documents filed with regulators. Misstating information can carry serious criminal and civil fines and penalties for Duke Energy and personal criminal liability for employees.

Duke Energy applies the highest ethical standards in its financial and non-financial reporting and follows all applicable Securities and Exchange Commission (SEC), New York Stock Exchange, Sarbanes-Oxley, various regulatory commissions and other standards and rules regarding financial and non-financial reporting.

Employees should report immediately if they are pressured, threatened or aware of instances such as:

  • Use of questionable accounting techniques
  • Management of earnings
  • Manipulation of results to meet targets for incentive plans.

Our Responsibilities

Duke Energy employees are expected to be truthful and accurate in their accounting and time reporting practices. Financial professionals are expected to stay up-to-date with all financial reporting regulations related to their job functions, and to report financial statement items in a manner consistent with applicable laws and GAAP. All Duke Energy employees involved in public reporting or communications are expected to produce disclosures that are full, fair, accurate, timely and understandable.

Duke Energy employees must:

  • Maintain books, accounts and records according to GAAP, using sufficient detail to reflect Duke Energy transactions accurately and fairly
  • Record transactions in a timely manner
  • Report if financial statements are believed to be misstated or manipulated.

Employees must not:

  • Manipulate financial accounts, records or reports
  • Maintain off-the-book accounts to facilitate questionable or illegal payments
  • Take any action, or cause anyone else to take any action, to influence, coerce, manipulate or mislead auditors for the purpose of making financial statements misleading.