Annual Report 2010 - AdP

Opinion
7. In our opinion, the above-mentioned financial statements truly and adequately represent, in every material
aspect, the financial position of AdP - Águas de Portugal, SGPS, S.A. on 31 December 2010, the results of its
operations and cash flow for the year ending on this date, in accordance with international accounting standards
used in the European Union.
Other Legal Requirements
8. It is also our opinion that the information contained in the annual report is consistent with the financial
statements for the year.
Remarks
9. Without prejudice to our opinion expressed in (7) and (8) above, we wish to add the following:
9.1 As explained in point 5 of the Notes to the Financial Statements, beginning on 01 January 2010, AdP – Águas
de Portugal, SGPS, S.A. began using the international accounting standards adopted by the European Union
to prepare and report its financial information. The re-expression on this date, for comparative purposes,
shows that total equity was affected negatively by 18,879 thousand euros, and the 2009 net income was
affected positively 353 thousand euros.
9.2 Due to the measurement basis explained in point 2.2 of the Notes to the Financial Statements, the balance
of the item “Financial investments” in the of Financial Position Statement includes 80,775 thousand euros for
differences between tariffs and the prices practiced, and those that would correspond to the recovery of
costs incurred plus return on equity in concession contracts of production and purification (water) and waste
recovery and management companies.
9.3 The grantor has yet to determine how it will rectify the economic and financial balance of the concession
contracts where this is justified, under which circumstances it recently requested that AdP - Águas de Portugal,
SGPS, S.A. conduct studies to submit a proposal to review the concession contracts with changes significantly
impacting the concessionaires’ financial balance.
Lisbon, 08 April 2011
Alves Da Cunha, A. Dias & Associados
Statutory Auditors
Represented by José Duarte Assunção Dias