Annual Review 2012 - Luxottica
Annual Review 2012 - Luxottica
Annual Review 2012 - Luxottica
Create successful ePaper yourself
Turn your PDF publications into a flip-book with our unique Google optimized e-Paper software.
102 |<br />
ANNUAL REPORT <strong>2012</strong><br />
BASIS OF<br />
PREPARATION<br />
The consolidated financial statements as of December 31, <strong>2012</strong> have been prepared<br />
in accordance with the Legislative Decree no. 58 of February 24, 1998 and subsequent<br />
modifications and in accordance with the Consob Issuers Regulation in compliance<br />
with the International Financial Reporting Standards (“IFRS”) issued by the International<br />
Accounting Standards Board (“IASB”) and endorsed by the European Union, as of the<br />
date of approval of these consolidated financial statements by the Board of Directors of<br />
the Company.<br />
IFRS are all the international accounting standards (“IAS”) and all the interpretations of the<br />
International Financial Reporting Interpretations Committee (“IFRIC”), previously named<br />
“Standing Interpretation Committee” (SIC).<br />
The Group also applied the Consob Resolution n. 15519 of July 19, 2006 and the Consob<br />
Communication no. 6064293 of July 28, 2006.<br />
The principles and standards utilized in preparing these consolidated financial statements<br />
have been consistently applied through all periods presented.<br />
In order to provide the reader of this consolidated financial statements with a meaningful<br />
comparison of the information included in the consolidated financial statements as of<br />
December 31, <strong>2012</strong>, certain prior year comparative information in the financial statements<br />
has been revised to conform to the current year presentation. The revisions related to<br />
the offsetting of Euro 224.0 million of deferred tax assets against deferred tax liabilities<br />
within the same tax jurisdiction and the offsetting of Euro 45.8 million from premium<br />
and discounts to customers, previously classified within “Other Liabilities”, against<br />
accounts receivables. The Company has determined that the revisions are immaterial to<br />
the previously reported financial statements. In addition provisions for risks and other<br />
charges and employee benefits that were presented in other liabilities in 2011 are now<br />
separately disclosed.<br />
These consolidated financial statements are composed of a consolidated statement<br />
of income, a consolidated statement of comprehensive income, a consolidated<br />
statement of financial position, a consolidated statement of cash flows, a consolidated<br />
statement of stockholders’ equity and related Notes to the Consolidated Financial<br />
Statements.<br />
The Company’s reporting currency for the presentation of the consolidated financial<br />
statements is the Euro. Unless otherwise specified, the figures in the statements and<br />
within these Notes to the Consolidated Financial Statements are expressed in thousands<br />
of Euro.<br />
The Company presents its consolidated statement of income using the function of<br />
expense method. The Company presents current and non-current assets and current<br />
and non-current liabilities as separate classifications in its consolidated statements of<br />
financial position. This presentation of the consolidated statement of income and of the<br />
consolidated statement of financial position is believed to provide the most relevant<br />
information. The consolidated statement of cash flows was prepared and presented<br />
utilizing the indirect method.