We - KappAhl

Note 30 CRITICAL ESTIMATES AND ASSUMPTIONS
the company management has held discussions with the audit committee on
the subject of the development, decisions and information relating to the Group’s
critical accounting policies and estimates, as well as on the application of these
policies and estimates. the items listed below are considered to be material in this
context.
Impairment testing
Goodwill and trademarks are tested annually for impairment, which is described in
note 10.
Valuation of inventories
inventories are stated at the lower of cost and net realisable value. the calculation
of net realisable value includes such factors as estimates of future selling prices,
which also take into account estimated price reductions. the actual future sales
price may differ from the estimates.
Taxes
the acquisition of tax loss carry-forwards is valued as described in note 9.
Customs dispute in Norway
in the 2005/2006 financial year a dispute with the customs authorities in norway
was settled in Kappahl’s favour and the judgment became final and non-appealable
in the 2006/2007 financial year. however, continued claims have been put
forward by the customs authorities, which are in contravention of the judgment
handed down. consequently, there is still uncertainty in the case, but the company
and its advisers consider that the initial court ruling is correct.
Note 31 PARENT COMPANY DETAILS
Kappahl holding aB is a Swedish limited company (corporate identity number
556661-2312) with its registered office in mölndal. the address of the head office
is Box 303, SE-431 24 mölndal. the consolidated accounts for 2009 consist of
the parent company and its subsidiaries, referred to as the Group.
the Board of Directors and chief Executive officer certify that the annual report has been prepared in accordance with generally accepted accounting principles, provides
a true and fair view of the parent company’s financial position and results of operations, and that the administration report provides a fair review of the development
of the parent company’s operations, financial position and results of operations and describes material risks and uncertainties facing the parent company. the Board of
Directors and the chief Executive officer also certify that the consolidated accounts have been prepared in accordance with international financial reporting Standards,
ifrS, as adopted by the EU, give a true and fair view of the Group’s financial position and results of operations, and that the Group administration report provides a fair
review of the development of the Group’s operations, financial position and results of operations and also describes material risks and uncertainties facing the Group.
the financial statements were approved for publication by the parent company’s Board of Directors on 23 october 2009. the income statements and balance sheets
will be presented to the annual General meeting on 25 november 2009.
mölndal, 23 october 2009
finn Johnsson amelia adamo paul frankenius
chairman member of the Board member of the Board
marie matthiessen Jan Samuelson pernilla Ström rose-marie Zell-lindström
Employee representative Member of the Board Member of the Board Employee representative
christian W. Jansson
CEO
our audit report was issued on 23 october 2009
pricewaterhousecoopers aB
Bror frid
authorised public accountant
2008/2009 Kappahl financial information 67