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2011
Analysis of other reserves 2011 Movement 2010
Statutory reserves 37,571,487 5,199,073 32,372,414
Other reserves 267,444 125,248 142,196
Totals 37,838,931 5,324,321 32,514,610
5.18 Retained earnings
In accordance with Greek Corporate Law, companies are required each year, to declare dividends of at least 35% of after
tax profits, after allowing for the legal reserve.
In addition, the prevailing bank loan agreements impose specific conditions for the permitted dividend distribution, which
have been fulfilled since 2003 when the Company was in the financial position to distribute dividends. The dividends
paid in 2011 and 2010 were €75,000,000 (€2.50 per share) and €168,000,000 (€5.60 per share) respectively. A dividend
in respect of the year ended 31 December 2011 of €3.70 per share, amounting to a total dividend of €111,000,000 is to
be proposed at the annual general meeting. These financial statements do not reflect this dividend payable.
5.19 Bank loans 2011 2010
Borrowings are analysed as follows:
623,236,490 677,727,647
Analysis of loans
Long term loans 623,236,490 677,727,647
EIB loan
Total long term loans
Short term loans 54,491,156 51,315,744
2,505,225 3,784,348
EIB loan
Accrued interest & related expenses 56,996,381 55,100,092
680,232,871 732,827,739
Total short term loans
Total bank loans
The amortised cost of the long term financial liabilities at fixed interest rates (i.e. EIB Loan) is determined using the
effective interest rate method, by discounting the future contractual cash flows with the effective interest rate applied
to those liabilities. The fair value of the financial liabilities at fixed interest rates is determined by discounting the future
contractual cash flows with the current mid-swap interest rate for the average loan life period of such liabilities.
Fair value of the borrowings 2011 2010
Carrying amount 677,727,647 729,043,391
Fair value 817,888,758 843,832,444
Excess of fair value over carrying amount (140,161,111) (114,789,053)
All borrowings are denominated in the functional currency.
5.20 Employee retirement benefits
In accordance with Greek labour law, employees are entitled to compensation payments in the event of dismissal or retirement
with the amount of payment varying depending on the employee’s compensation, length of service and manner of termination
(dismissal or retirement). Employees who resign or are dismissed with cause are not entitled to termination payments. The
amount payable in the event of retirement is equal to 40% of the amount which would be payable upon dismissal without cause.
The provision for employees’ retirement benefits is reflected in the attached balance sheet in accordance with IAS 19 and
Financial Statements as at 31 December 2011 (Amounts in Euros unless otherwise stated) Page 40 of 50
Analysis of other reserves 2011 Movement 2010
Statutory reserves 37,571,487 5,199,073 32,372,414
Other reserves 267,444 125,248 142,196
Totals 37,838,931 5,324,321 32,514,610
5.18 Retained earnings
In accordance with Greek Corporate Law, companies are required each year, to declare dividends of at least 35% of after
tax profits, after allowing for the legal reserve.
In addition, the prevailing bank loan agreements impose specific conditions for the permitted dividend distribution, which
have been fulfilled since 2003 when the Company was in the financial position to distribute dividends. The dividends
paid in 2011 and 2010 were €75,000,000 (€2.50 per share) and €168,000,000 (€5.60 per share) respectively. A dividend
in respect of the year ended 31 December 2011 of €3.70 per share, amounting to a total dividend of €111,000,000 is to
be proposed at the annual general meeting. These financial statements do not reflect this dividend payable.
5.19 Bank loans 2011 2010
Borrowings are analysed as follows:
623,236,490 677,727,647
Analysis of loans
Long term loans 623,236,490 677,727,647
EIB loan
Total long term loans
Short term loans 54,491,156 51,315,744
2,505,225 3,784,348
EIB loan
Accrued interest & related expenses 56,996,381 55,100,092
680,232,871 732,827,739
Total short term loans
Total bank loans
The amortised cost of the long term financial liabilities at fixed interest rates (i.e. EIB Loan) is determined using the
effective interest rate method, by discounting the future contractual cash flows with the effective interest rate applied
to those liabilities. The fair value of the financial liabilities at fixed interest rates is determined by discounting the future
contractual cash flows with the current mid-swap interest rate for the average loan life period of such liabilities.
Fair value of the borrowings 2011 2010
Carrying amount 677,727,647 729,043,391
Fair value 817,888,758 843,832,444
Excess of fair value over carrying amount (140,161,111) (114,789,053)
All borrowings are denominated in the functional currency.
5.20 Employee retirement benefits
In accordance with Greek labour law, employees are entitled to compensation payments in the event of dismissal or retirement
with the amount of payment varying depending on the employee’s compensation, length of service and manner of termination
(dismissal or retirement). Employees who resign or are dismissed with cause are not entitled to termination payments. The
amount payable in the event of retirement is equal to 40% of the amount which would be payable upon dismissal without cause.
The provision for employees’ retirement benefits is reflected in the attached balance sheet in accordance with IAS 19 and
Financial Statements as at 31 December 2011 (Amounts in Euros unless otherwise stated) Page 40 of 50
