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FINANCIAL STATEMENTS
course of business, less applicable variable selling expenses. Costs of inventories include the transfer from equity of any
gains/ (losses) on qualifying cash flow hedges purchases of raw materials.
2.9 Trade Receivables
Trade receivables are amounts due from customers for services rendered during the ordinary course of business. If collection
is expected in one year or less, they are classified as current assets. If not, they are presented as non-current assets. Trade
receivables are recognised initially at fair value and subsequently measured at amortized cost using the effective interest
method less provision for impairment.
2.10 Cash and Cash Equivalents
Cash and cash equivalents includes cash in hand, deposits held at call with banks, other short-term highly liquid investments
with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in
current liabilities on the balance sheet. Cash and cash equivalents exclude any restricted cash that comprises deposits that
are used in order to secure loan instalments. Such deposits may only be used for the purpose of loan repayments since
they are restricted. Such deposits are classified as restricted cash under current or non-current assets, as appropriate.
2.11 Share Capital
Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of new shares or options are
shown in equity as a deduction, net of tax, from the proceeds.
2.12 Trade Payables
Trade payables are obligations to pay for goods or services that have been acquired in the ordinary course of business
from suppliers. Accounts payable are classified as current liabilities if payment is due within one year or less. If not, they
are presented as non-current liabilities. Trade payables are recognised initially at fair value and subsequently measured
at amortised cost using the effective interest method.
2.13 Borrowings
Borrowings are recognised initially at fair value, net of transaction costs incurred. Borrowings are subsequently stated at
amortised cost; any difference between the proceeds (net of transaction costs) and the redemption value is recognised
in the income statement over the period of the borrowings using the effective interest method.
Borrowings are classified as current liabilities unless the Company has an unconditional right to defer settlement of the
liability for at least 12 months after the balance sheet date.
2.14 Government Grants
Grants from the government are recognised at their fair value where there is a reasonable assurance that the grant will
be received and the Company will comply with all attached conditions.
Government grants relating to costs such as borrowing costs are recognised in the income statement to match them
with the costs that they are intended to compensate.
Government grants received towards repayment of borrowing cost are recognised in the income statement in the year
the qualifying borrowings are repaid.
Government grants relating to non-current assets are off-set against the cost of the relevant non-current asset. The
grant is recognised as income over the life of the respective depreciable non-current asset by way of a reduction in the
depreciation/amortisation charge.
Financial Statements as at 31 December 2009 (Amounts in Euros unless otherwise stated) PAGE 29 OF 69
course of business, less applicable variable selling expenses. Costs of inventories include the transfer from equity of any
gains/ (losses) on qualifying cash flow hedges purchases of raw materials.
2.9 Trade Receivables
Trade receivables are amounts due from customers for services rendered during the ordinary course of business. If collection
is expected in one year or less, they are classified as current assets. If not, they are presented as non-current assets. Trade
receivables are recognised initially at fair value and subsequently measured at amortized cost using the effective interest
method less provision for impairment.
2.10 Cash and Cash Equivalents
Cash and cash equivalents includes cash in hand, deposits held at call with banks, other short-term highly liquid investments
with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in
current liabilities on the balance sheet. Cash and cash equivalents exclude any restricted cash that comprises deposits that
are used in order to secure loan instalments. Such deposits may only be used for the purpose of loan repayments since
they are restricted. Such deposits are classified as restricted cash under current or non-current assets, as appropriate.
2.11 Share Capital
Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of new shares or options are
shown in equity as a deduction, net of tax, from the proceeds.
2.12 Trade Payables
Trade payables are obligations to pay for goods or services that have been acquired in the ordinary course of business
from suppliers. Accounts payable are classified as current liabilities if payment is due within one year or less. If not, they
are presented as non-current liabilities. Trade payables are recognised initially at fair value and subsequently measured
at amortised cost using the effective interest method.
2.13 Borrowings
Borrowings are recognised initially at fair value, net of transaction costs incurred. Borrowings are subsequently stated at
amortised cost; any difference between the proceeds (net of transaction costs) and the redemption value is recognised
in the income statement over the period of the borrowings using the effective interest method.
Borrowings are classified as current liabilities unless the Company has an unconditional right to defer settlement of the
liability for at least 12 months after the balance sheet date.
2.14 Government Grants
Grants from the government are recognised at their fair value where there is a reasonable assurance that the grant will
be received and the Company will comply with all attached conditions.
Government grants relating to costs such as borrowing costs are recognised in the income statement to match them
with the costs that they are intended to compensate.
Government grants received towards repayment of borrowing cost are recognised in the income statement in the year
the qualifying borrowings are repaid.
Government grants relating to non-current assets are off-set against the cost of the relevant non-current asset. The
grant is recognised as income over the life of the respective depreciable non-current asset by way of a reduction in the
depreciation/amortisation charge.
Financial Statements as at 31 December 2009 (Amounts in Euros unless otherwise stated) PAGE 29 OF 69
