Annual report 2005 - Sava dd

| notes to the consolidated financial statements in accordance with IFRS |
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Exchange were measured at cost according to Slovene
Accounting Standards, while the company had to
estimate annually the need for an impairment, thereby
considering the information about company operations.
Consistent with IFRSs these investments were revalued
to fair value that was ascertained in consideration of the
last known transaction in the previous year. The
The stated effects are shown below:
Cash comprises call deposits and deposits at up to three
months' notice that were transferred from current
financial investments (at 1 January 2004 deposits
amounted to 2,387,057,000 tolars, and 172,724,000
tolars at 31 December 2004).
A major part of non-current provisions includes the
negative goodwill being recognised in the consolidated
financial statements. A part in the amount of
2,558,977,000 tolars that originates from previous years
increased retained earnings, whereas a part that arose in
2004 amounting to 3,467,619,000 tolars increased the
income of the year. Other unrecognised provisions
applied to provisions for future advertising, of which
35,000,000 tolars were eliminated in the opening
balance, and 8,727,000 tolars in the year 2004.
revaluation effect increased the fair value reserve at
1 January 2004 by 1,473,493,000 tolars, and at
31 December 2004 by an additional 1,606,104,000
tolars. Fair value reserve of the unlisted shares at 31
December 2004 amounts to 3,079,597,000 tolars. The
fair value reserve is reduced by deferred tax liabilities
amounting to 769,899,000 tolars.
(SIT in thousands)
At For the Total at
01/01/2004 year 2004 31/12/2004
Effect of revaluation to fair value of listed securities 5,601,095 4,927,790 10,528,885
Effect of revaluation to fair value of unlisted securities 1,473,493 1,606,104 3,079,597
Total 7,074,588 6,533,894 13,608,482
Deferred tax liability due to revaluation to fair value of listed securities -1,400,274 -1,231,947 -2,632,221
Deferred tax liability due to revaluation to fair value of unlisted securities -368,373 -401,526 -769,899
Deferred tax liability total -1,768,647 -1,633,473 -3,402,120
Effect recognised in equity 5,305,941 4,900,421 10,206.362
Slovene Accounting Standards did not require forming
any non-current provisions for certain employee
benefits. On the basis of the actuary calculation
liabilities for employee jubilee benefits and severance
payment upon retirement were calculated at 1 January
2004 in the amount of 1,423,937,000 tolars and
additionally for 2004 in the amount of 20,130,000
tolars. The initial balance reduces retained earnings,
whereas the difference reduces the income for the year
2004. Deferred tax assets referring to these obligations
were accounted amounting to 361,017,000 tolars, which
decrease the deferred tax liability.