Chapter 5

V. The independent registered auditor’s statement

  1. The Management Board of the Parent Company provided all the information, explanations, and representations required by us in the course of the audit and provided us with a representation letter confirming the completeness of the information included in the consolidation documentation and the disclosure of all contingent liabilities and post-balance-sheet events which occurred up to the date on which that letter was signed.
  2. The scope of the audit was not limited.
  3. The accounting policies and disclosures specified by the Parent Company’s Management complied with the International Financial Reporting Standards as adopted by the European Union in all material respects. There were no changes in the accounting policies and methods compared with the previous year.
  4. The calculation of goodwill and its recognition in the consolidated financial statements complied with IFRSs as adopted by the European Union in all material respects.
  5. The consolidation of equity items and the determination of non-controlling interest were carried out properly in all material respects.
  6. The elimination of intercompany balances (receivables and payables) and transactions (revenue and costs) of the consolidated entities were carried out in accordance with the IFRSs as adopted by the European Union in all material respects.
  7. Eliminations of gains/losses unrealized by the consolidated entities included in the value of assets and in respect of dividends were conducted in accordance with the IFRSs as adopted by the European Union in all material respects.
  8. The impact of the disposal or partial disposal of shares in subordinated entities was accounted for properly in all material respects.
  9. The consolidation documentation was complete and accurate and it is stored in a manner ensuring its proper safeguarding.
  10. The consolidated financial statements of the Group for the year ended 31 December 2010 were approved by Resolution no. 5/2011 passed by the General Shareholders’ Meeting on 30 June 2011, filed with the National Court Register in Warsaw on 14 July 2011 and published in Monitor Polski B no. 2212 on 16 November 2011.
  11. he consolidated financial statements for the previous year were audited by PricewaterhouseCoopers Sp z o.o. The registered auditor issued an unqualified opinion.
  12. The Notes to the consolidated financial statements present all the material information required by the IFRSs as adopted by the European Union.
  13. The information in the Group Directors’ Report for the year ended 31 December 2011 has been prepared in accordance with the provisions of the Decree of the Minister of Finance dated 19 February 2009 concerning the publication of current and periodic information by issuers of securities and the conditions of acceptance as equal information required by the law of other state, which is not a member state (Journal of Laws No. 33, item 259).
  14. We determined the materiality levels at the planning stage. Materiality levels specify the limits up to which identified irregularities may be left unadjusted without any detriment to the quality of the financial statements and to the correctness of the underlying books of account, since failing to make such adjustments will not be misleading for the readers of the financial statements. Materiality measures both the quantity and quality of audited items and that is why it varies for different statement of financial position and income statement items. Due to the complexity and quantity of the materiality levels adopted for audit purposes, they are included in the audit documentation.
  15. The total capital requirement, calculated on the consolidated basis, amounted to PLN 11,864,692 thousand as at the balance date. The capital adequacy ratio, calculated on the consolidated basis, as at 31 December 2011 amounted to 12.37%. As at the balance date, the Group complied with the prudence principle in all material respects.