Our endeavour is to enhance Stakeholders' Value - Uflex Ltd.

DIRECTOR’S UPET HOLDINGS REPORT LIMITED
NOTES TO THE FINANCIAL STATEMENTS - 31 MARCH 2009 (Contd.)
(k) Related parties
UFLEX LIMITED
Related parties are individuals and companies where the individual or company has the ability, directly or indirectly, to control
the other party or exercise signifi cant infl uence over the other party in making fi nancial and operating decisions
(l) Revenue recognition
All revenues are accounted for in the Income Statement.
Dividend income is recognised when the right to receive payment is established.
Interest income is recognised on the accrual basis unless collectibility is in doubt.
(m) Expense recognition
All expenses are accounted for in the Income statement on the accrual
(n) Foreign currency translation
(i) Functional and presentation currency
Items included in the fi nancial statements of the Company are measured using the currency of the primary economic
environment in which it operates (the “functional currency”). The fi nancial statements of the Company are presented in
United State Dollar (“USD”), which is also the functional currency of the Company.
(ii) Transactions and balances
Foreign currency transactions are translated into USD using the exchange rates prevailing at the dates of transactions.
Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation at yearend
exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in the Income
statement.
(o) Impairment of assets
At each balance sheet date, the carrying amounts of assets are assessed to determine whether there is any indication of
impairment. If such indication exists, the Company estimates the recoverable amount of the asset, being the higher of the
asset’s net selling price and its value in use. If the recoverable amount of the asset is estimated to be less than its carrying
amount, the carrying amount is reduced to its recoverable amount. Impairment losses are recognised as an expense in the
Income Statement.
(p) Changes in accounting policy and disclosures
The accounting policies adopted are consistent with those of the previous fi nancial year except as follows:-
The Company has adopted the following new and amended IFRs and IFRIC interpretations as of 1 January
IFRIC 11 IFRS 2 - Company and Treasury Share Transactions
IFRIC 12 - Service Concession Arrangements
IFRIC 14 IAS 19 - The limit on a Defi ned Benefi t Asset, Minimum Funding Requirements and their interaction
The adoption of IFRIC 11, IFRS 2, IFRIC 12 and IFRIC 14 IAS 19 has had no material impact with accounting policies of the
Company and the methods of computaion in the Company’s fi nancial statements.
(q) Standards issued but not yet eff ective
The following standards, amendments and interpretations to existing standards have been published and are mandatory for
the Company’s accounting periods beginning on or after January 01, 2009 or later periods.
IFRS 1 (Amendment) ‘First time adoption of IFRS’, and IAS 27 ‘Consolidated and separate fi nancial statements’ (eff ective from
January 01, 2009).
IFRS 2 (Amendment), ‘Share-based payment’ (eff ective from January 01, 2009).
IFRS 3 (Revised), ‘Business combinations’ (eff ective from July 01, 2009).
IFRS 8, ‘Operating segments’ (eff ective from January 01, 2009).
IAS 1 (Revised), ‘Presentation of fi nancial statements’ (eff ective from January 01, 2009).
TWENTIETH ANNUAL REPORT 2008 - 2009 | 107 |
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