AMPER, SA and Subsidiaries Consolidated Financial Statements for ...

a. Assets and liabilities: applying the exchange rate in force on the date of closure of
the consolidated financial statements.
b. Items in the Income Statements use the average exchange rate of the financial year
that most closely matches the exchange rate of each transaction.
c. The net equity is translated at the historical exchange rate effective on the date of
acquisition (or at the average exchange rate in the year it was generated, both in the
case of accumulated earnings and contributions made), as the case may be.
d. Exchange differences arising on translation of the financial statements are recorded
under "Equity- translation differences", within the Net Equity.
5. The accounting policies of subsidiaries have been adapted to the accounting policies of the
Group for like transactions and other events in similar circumstances (IAS 27.24)
6. The annual accounts or financial statements of subsidiaries used in the consolidation process
reflect the same date of presentation and period as those of the Controlling Company.
7. Balances and transactions between Group companies and unrealized gains and losses have
been eliminated in the consolidation process. Nevertheless, unrealized losses are considered
as indicative of impairment of the value of the transferred assets.
Note 27 to the consolidated financial statements lists details of the subsidiaries and related information
(name, country of incorporation and the percentage of ownership of the parent company in its capital).
Associates:
Associates are companies over which the Company, either directly or indirectly through subsidiaries,
exerts a significant influence. Significant influence is considered as the power to participate in financial
and operating policy decisions of an entity, but not control or joint control over such decisions. In
assessing the existence of significant influence, potential voting rights that are exercisable or convertible
at each year-end period are taken into account, as well as potential voting rights held by the Group or
by another entity.
Investments in associates are accounted for using the equity method, from the date on which significant
influence is exercised up to the date on which the Company can no longer provide evidence of such
influence. However, if on the acquisition date, they fulfill the conditions to be classified as non-current
assets or disposable groups of elements held-for-sale, they are recorded at fair value less sales costs.
Investments in associates are initially recognized at the cost of acquisition, plus any costs directly
attributable to the acquisition and any receivables or payables contingent on future events or on
compliance with certain conditions.
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