Annual report 20108.31 MB - Boskalis

Financial statements 2010Explanatory notes to the company financial statements1. GeneralThe Company Financial statements are part of the Financial statements 2010 of Royal Boskalis Westminster N.V.(the ‘Company’).2. Principles of financial reporting2.1 Accounting policiesThe company financial statements have been drawn up using the reporting standards applied for drawing up theconsolidated financial statements, in accordance with Section 362(8), Part 9 of Book 2 of the Netherlands CivilCode except for the investment in Group company, which is recognized in accordance with the equity method.Based on Section 362(1), Part 9 of Book 2 of the Netherlands Civil Code, the consolidated financial statementshave been prepared in accordance with the International Financial Reporting Standards (IFRS) as adopted by theEuropean Union. These accounting principles are disclosed in note 3 of the consolidated financial statements.2.2 FormatUnless stated otherwise, all amounts in these explanatory notes are stated in thousands of euros. The companybalance sheet is drawn up before profit appropriation. The company income statement is limited in accordancewith Section 402, Part 9 of Book 2 of the Netherlands Civil Code.2.3 Investment in Group companiesInvestments in Group companies are accounted for using the equity method, as described in the principles ofFinancial Reporting relating to associated companies in the consolidated Financial statements.2.4 Amounts due from Group companiesAmounts due from Group companies are stated initially at fair value and subsequently at amortized cost.Amortized cost is determined using the effective intereste rate.2.5 Amounts due to Group companiesAmounts due to Group companies are recognized initially at fair value and subsequently at amortized cost.Amount due to Group companies are discounted insofar as the difference between the discounted value andnominal value is material.2.6 Result of Group companiesThe result of Group companies consists of the share of the Company in the result after taxation of this Groupcompany. Results on transactions, where the transfer of assets between the Company and its Group companiesand mutually between Group companies themselves are not incorporated as far as they can be deemed tobe unrealised.126 Annual Report 2010