Annual Report 2011 - T-Hrvatski Telekom

Notes to the consolidated financial statements
For the year ended 31 December 2011
1 Corporate information
Hrvatski Telekom d.d. (“HT d.d.”, “HT” or the
“Company”) is a joint stock company whose majority
shareholder is Deutsche Telekom AG (“DTAG”)
(51%). DTAG is also ultimate controlling parent.
The registered office address of the Company is
Savska cesta 32, Zagreb, Croatia.
The total number of employees of the Group as at 31
December 2011 was 6,239 (31 December 2010: 6,519).
The principal activities of the Group are described in
Note 3.
The consolidated financial statements of Hrvatski
Telekom d.d. for the financial year ended 31 December
2011 were authorised for issue in accordance with a
resolution of the Management Board on 6 February
2012. These consolidated financial statements are
subject to approval of the Supervisory Board as
required by the Croatian Company Act.
2.1 Basis of preparation
The consolidated financial statements have been
prepared in accordance with International Financial
Reporting Standards (IFRS).
The consolidated financial statements have been
prepared under the historical cost convention, as
modified by the revaluation of available-for-sale financial
assets (Note 14), as disclosed in the accounting
policies hereafter.
The Group’s consolidated financial statements are
presented in Croatian Kuna (HRK). All amounts
disclosed in the consolidated financial statements are
presented in millions of HRK if not otherwise stated.
The consolidated financial statements include the
financial statements of Hrvatski Telekom d.d. and the
following subsidiaries comprise together HT Group:
77
Consolidated financial statements
Entity
Country of Business
31 December
2011
Ownership Interest
31 December
2010
Combis d.o.o.
Iskon Internet d.d.
KDS d.o.o.
Republic of Croatia
Republic of Croatia
Republic of Croatia
100%
100%
100%
100%
100%
100%
2.2 Changes in accounting policies and
disclosures
The accounting policies adopted are consistent with
those of the previous financial year.
The Group has adopted the following new and
amended IFRS and IFRIC interpretations during
the year. When the adoption of the standard or
interpretation is deemed to have an impact on the
financial statements or performance of the Group, its
impact is described below.
Amendment to IAS 32 Financial Instruments:
Presentation — Classification of Rights Issues
(effective for financial years beginning on or after
1 February 2010)
The amendment allows rights, options or warrants
to acquire a fixed number of the entity’s own equity
instruments for a fixed amount of any currency to be
classified as equity instruments provided the entity
offers the rights, options or warrants pro rata to all of
its existing owners of the same class of its own nonderivative
equity instruments. The adoption of the
amendment did not have any impact on the financial
position and performance of the Group, as the Group
does not have such instruments.
IFRIC 19 Extinguishing Financial Liabilities with Equity
Instruments (effective for financial years beginning on
or after 1 July 2010)