A SOC 1 report provides customers assurance of controls at CenturyLink (the “service organization”) that may be relevant to the customers’ internal controls over financial reporting. CenturyLink has invested extensively in successfully completing SOC 1 assessments and providing the results to customers each year.
CenturyLink provides a bi-annual or annual SOC 1 report (as applicable) that is prepared using the SSAE18 standard. Type 2 SOC 1 examinations are completed by an independent third-party CPA firm (the “service auditor”) and include the service auditor’s opinion on the fairness of presentation of management’s description of the system, the suitability of the design of the selected control activities to meet the stated control objectives, and the operating effectiveness of control activities throughout the specified review period.
Customers and their auditors can leverage the SOC 1 report to evaluate the effect of CenturyLink’s controls over the customer’s internal control over financial reporting when completing annual financial statement audits.
SOC Reports are audited using the American Institute of Certified Public Accountants (AICPA) standard known as Statement on Standards for Attestation Engagements (SSAE) No. 18, simply known as SSAE 18. There are two types of reports:
Report on the fairness of the presentation of management’s description of the service organization’s system and the suitability of the design of the controls to achieve the related control objectives included in the description as of a specified date.
Report on the fairness of the presentation of management’s description of the service organization’s system and the suitability of the design and operating effectiveness of the controls to achieve the related control objectives included in the description throughout a specified period.
SOC 1 provides customers assurance of controls at the service organization relevant to customers’ internal control over financial reporting.
SOC 2 provides customers assurance of controls at the service organization relevant to the achievement of the AICPA Trust Services Categories and related criteria. The AICPA Trust Services Categories include Security, Availability, Confidentiality, Processing Integrity, and Privacy.
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