Condensed Consolidated Interim Financial Statements ... - PrimeTel

Notes to the Condensed Consolidated Financial StatementsUnauditedFor the six month period ended 30 June 20121. Incorporation and principal activitiesPrimetel Co Limited ( the “Company”) was incorporated in Cyprus on 18 June 2003 as a private company with limitedliability in accordance with the Cyprus Company Law Cap.113. Its registered office is at Omonias Avenue 141, TheMaritime Center, 3045 Limassol. On 28 March 2006 it was renamed to Primetel Limited by a special resolution .On 4 June2007 by a special resolution the Company became Public in accordance with the Companies Law Cap. 113 and wasrenamed to Primetel Public Company Limited. Then on 30 August 2007 it was renamed to Primetel PLC. On 14 July theCompany entered the Alternative Market of the Cyprus Stock Exchange.The principal activities of the Company continue to be the services of Voice , Data and video through autonomous fiberopticnetwork. The fixed and mobile telephony , the broadband network and the Digital Television are some of the servicesprovided by the Company to individuals , enterprises and other telecommunications carriers as well as to companies thatprovide network service in Cyprus.The principal activities of the subsidiary M & S Madproperties Limited is the holding of leasehold land, whereas itssubsidiary Silver Link Investments Limited remained dormant.2. Unaudited condensed consolidated interim financial statementsThe condensed consolidated interim financial statements for the period from 1 st January 2012 to 30 June 2012 have notbeen audited by the external auditors.3. Basis of preparation(a) Statement of complianceThe unaudited Condensed Consolidated Interim Financial Statements of the Group for the six month period that ended on30 June 2012 consist of the Company Primetel PLC and the dependent Silverlink Investments Limited and M&SMedproperties Limited ( they are together reported as the “the Group”) and they are prepared according to the providencesof International Accountant Model No 34”Intermediary Economic Financial Statements”, the providences of the Law ofCyprus companies chapter 113 , as well as with providences of Values and Cyprus Stock Exchange Laws andRegulations.The unaudited Condensed Consolidated Financial Statements should be read in connection with the auditedFinancial Statements for the year ended on the 31 st December 2011. These Condensed Consolidated FinancialStatements were approved by the Board of Directors of the Company on the 20 th August 2012.(b) Basis of presentationThe condensed consolidated interim financial statements have been prepared under the historical cost conversion.(c) Functional and presentation currencyThe condensed consolidated interim financial statements are presented in Euro (€), which is the functional currency andpresentation of the group.(d) Significant accounting policiesThe accounting principles and the calculation methods applied for the preparation of these Condensed ConsolidatedInterim Financial Statements for the period ended 30 th June 2012 are the same as those applied by the Group in itsConsolidated Financial Statements for the year ended on 31 st December 2011.(e) Adoption of new and revised International Financial Reporting StandardsThe Group has adopted all the new and revised models and interpretations which are related with its operations and areeffective for accounting periods that begin on the 1 st January 2012. This adoption has not implicated any importantchanges in the accounting principles of the Group.8