185000000 IT Holding Finance SA

IT HOLDING S.p.A. Notes to the consolidated financial statements for the year ended December 31, 2004
Eyewear business
On October 5, 2004 the Group sold its investment in ALLISON S.p.A. to Paladin Capital Partners S.p.A., thereby
disposing of its eyewear business. At the time of the sale, ALLISON S.p.A. had 25-year license agreements with
certain IT HOLDING Group companies. Control of ALLISON S.p.A, was transferred to the acquirer at the date of
sale.
The results of the eyewear business included in the consolidated income statements for the years 2003 and 2004 are
as follows:
Period ended October Year ended December
(In thousands of Euros)
5, 2004
31, 2003
Net revenues 56,724 57,266
Operating costs (58,358) (64,144)
Operating result (1,634) (6,878)
Financial income (charges) (776) (2,679)
Income (loss) before taxes (2,410) (9,557)
Income taxes 321 581
Net income (loss) before minority interest (2,089) (8,976)
Minority interest (9) (71)
Net income (loss) for the period (2,080) (8,905)
In addition, in 2004 a loss of Euro 1,276 thousand was recognized in the income statement being the proceeds of
disposal net of related expenses, less the carrying amount of the net assets of the eyewear business at the date of
disposal, attributable to the shareholders of the Company. The loss is not deductible for tax purposes.
The cash flows attributable to the eyewear business were:
Period ended October Year ended December
(In thousands of Euros)
5, 2004
31, 2003
Operating cash flows (3,133) (26,720)
Investing cash flows (3,547) (1,493)
Financing cash flows 5,561 29,080
Total cash flows (1,119) 867
At the date of disposal, October 5, 2004 and at December 31, 2003 total assets and total liabilities attributable to the
eyewear business were as follows:
Period ended October Year ended December
(In thousands of Euros)
5, 2004
31, 2003
Total assets 98,614 82,711
Total liabilities 93,308 80,380
Net 5,306 2,331
(8) Income taxes
Recognised in the income statement
(In thousands of Euros) 2004 2003
Current tax expenses
Current year 14,140 12,335
Under/(over) provided in prior years 1,392 -
Total 15,532 12,335
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