BP (BP)

Note 6 — Auditors' remuneration

        Group audit fees include $4 million (2003 $2 million and 2002 $2 million) in respect of the parent company. Audit fees are included in the income statement within distribution and administration expenses.

        The audit committee has established pre-approval policies and procedures for the engagement of Ernst & Young to render audit and certain assurance and tax services.

        The audit fees payable to Ernst & Young are reviewed by the audit committee in the context of other global companies for cost effectiveness.

        Ernst & Young performed further assurance and tax services which were not prohibited by regulatory or other professional requirements and were pre-approved by the committee. Ernst & Young is engaged for these services when their expertise and experience of BP are important. Most of this work is of an audit nature. Tax services were awarded either through a full competitive tender process

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or following an assessment of the expertise of Ernst & Young relative to that of other potential service providers. These services are for a fixed term.

        Fees paid to major firms of accountants other than Ernst & Young for other services amount to $82 million (2003 $44 million and 2002 $33 million).

Note 6 — Auditors' remuneration

        Group audit fees include $4 million (2003 $2 million and 2002 $2 million) in respect of the parent company. Audit fees are included in the income statement within distribution and administration expenses.

        The audit committee has established pre-approval policies and procedures for the engagement of Ernst & Young to render audit and certain assurance and tax services.

        The audit fees payable to Ernst & Young are reviewed by the audit committee in the context of other global companies for cost effectiveness.

        Ernst & Young performed further assurance and tax services which were not prohibited by regulatory or other professional requirements and were pre-approved by the committee. Ernst & Young is engaged for these services when their expertise and experience of BP are important. Most of this work is of an audit nature. Tax services were awarded either through a full competitive tender process or following an assessment of the expertise of Ernst & Young relative to that of other potential service providers. These services are for a fixed term.

        Fees paid to major firms of accountants other than Ernst & Young for other services amount to $82 million (2003 $44 million and 2002 $33 million).

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