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Financial Statements
Analysis of loans 2012 2011
Long term loans 565,376,960 623,236,490
EIB loan 565,376,960 623,236,490
Total long term loans 57,859,530 54,491,156
2,311,285 2,505,225
Short term loans
60,170,815 56,996,381
EIB loan 625,547,775 680,232,871
Accrued interest & related expenses
Total short term loans
Total bank loans
AIA and EIB, under a supplemental agreement signed on 19 December 2008 between them, agreed to partial release the
Greek State’s Guarantee on the outstanding balance of EIB Loan and to modify certain terms of the EIB Master Facility
Agreement related to the applicable interest rates. The modified terms that are effective from 31 July 2009 and include
the consolidation and division of the outstanding balance of the initial loan into two loans, Loan A and Loan B. As of 31
December 2012 the outstanding balance of Loan A was €184,610,286 and Loan B €438,626,204.
EIB will benefit from a Greek State Guarantee in respect of Loan B only. However, all revenues, assets and potential claims
under ADA and insurance policies have already been assigned to EIB as well as all bank accounts have been pledged to
EIB as security. Furthermore, AIA is obliged to create security interest over any asset of the company to the EIB under
the finance documents.
In the context of the partial release of the Greek State’s Guarantee, EIB has charged a step-up margin of 30 bps on the
initial interest rate applicable to the balance of Loan A. The weighted average interest rate for all tranches under Loan A
is 6.41%, whereas the relevant figure for Loan B is 6.11%.
All the covenants set under the EIB Master Facility Agreement have been fulfilled as of 31 December 2012.
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 2012 2011
Carrying amount 623,236,490 677,727,647
Fair value 770,186,297 817,888,758
Excess of fair value over carrying amount (146,949,807) (140,161,111)
All borrowings are denominated in the functional currency.
5.21 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 statement of financial position in accordance
with IAS 19 and is calculated, as at the balance sheet date (31 December 2012), based on an independent actuarial study
performed by Hewitt. The net release to the income statement of €133,704 is reflected under the personnel expenses.
The results of any valuation depend upon the assumptions employed. Thus, as at 31 December 2012:
Financial Statements as at 31 December 2012 (Amounts in Euros unless otherwise stated) Page 43 of 54
Analysis of loans 2012 2011
Long term loans 565,376,960 623,236,490
EIB loan 565,376,960 623,236,490
Total long term loans 57,859,530 54,491,156
2,311,285 2,505,225
Short term loans
60,170,815 56,996,381
EIB loan 625,547,775 680,232,871
Accrued interest & related expenses
Total short term loans
Total bank loans
AIA and EIB, under a supplemental agreement signed on 19 December 2008 between them, agreed to partial release the
Greek State’s Guarantee on the outstanding balance of EIB Loan and to modify certain terms of the EIB Master Facility
Agreement related to the applicable interest rates. The modified terms that are effective from 31 July 2009 and include
the consolidation and division of the outstanding balance of the initial loan into two loans, Loan A and Loan B. As of 31
December 2012 the outstanding balance of Loan A was €184,610,286 and Loan B €438,626,204.
EIB will benefit from a Greek State Guarantee in respect of Loan B only. However, all revenues, assets and potential claims
under ADA and insurance policies have already been assigned to EIB as well as all bank accounts have been pledged to
EIB as security. Furthermore, AIA is obliged to create security interest over any asset of the company to the EIB under
the finance documents.
In the context of the partial release of the Greek State’s Guarantee, EIB has charged a step-up margin of 30 bps on the
initial interest rate applicable to the balance of Loan A. The weighted average interest rate for all tranches under Loan A
is 6.41%, whereas the relevant figure for Loan B is 6.11%.
All the covenants set under the EIB Master Facility Agreement have been fulfilled as of 31 December 2012.
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 2012 2011
Carrying amount 623,236,490 677,727,647
Fair value 770,186,297 817,888,758
Excess of fair value over carrying amount (146,949,807) (140,161,111)
All borrowings are denominated in the functional currency.
5.21 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 statement of financial position in accordance
with IAS 19 and is calculated, as at the balance sheet date (31 December 2012), based on an independent actuarial study
performed by Hewitt. The net release to the income statement of €133,704 is reflected under the personnel expenses.
The results of any valuation depend upon the assumptions employed. Thus, as at 31 December 2012:
Financial Statements as at 31 December 2012 (Amounts in Euros unless otherwise stated) Page 43 of 54
