Annual report - HSE

Considering the increase in assessed value of the investment, compared with NIP 5, in
the amount of EUR 127,083,332, as at 31 December 2012 the company HSE discloses
contingent liabilities to the company TEŠ in the amount of EUR 61,874,606 in connection
with settlement of potential increases in investment value.
The tax authorities have the right to audit the company’s operations within 5 years after
the year in which the tax has been levied, which can subsequently lead to additional tax
charges, penalty interest charges and penalties arising from corporate income tax, value
added tax and other taxes and duties.
The Management Board is not aware of any circumstances that could give rise to possible
material liability in this respect.
Contingent assets include a principle of penalty, the company paid in 2009 as the controlling
company of then operating subsidiary TDR Metalurgija, since the latter had been accused
of cartel agreement. The company filed a lawsuit in front of the European Commission for
repayment of the penalty in the amount of EUR 9,100,000.
Among its contingent assets in 2011, the company disclosed the bank guarantees received
and other forms of collaterals regarding electricity trading, which have been disclosed as
credit risk in the current year.
4.5.8.2 Income statement
Net sales revenue (17)
The company generates net sales revenue mostly through sale of electricity. The revenue
from the sale of electricity accounts for 96% of all net sales revenue.
Revenue from merchandise is represented by the sales value of emission coupons for
trading.
Revenue from services provided is generated through services in connection with electricity
(guarantee of origin, sales of capacities on borders, manipulative costs), services provided
for the subsidiaries abroad, and rents.
in €
Net sales revenue 2012 2011
a) in domestic market 753,439,978 568,940,352
Electricity 720,742,697 565,983,279
Other merchandise and materials 31,476,038 1,062,344
Services 1,221,243 1,894,729
b) in foreign market 1,179,048,733 789,177,378
Electricity 1,131,285,517 778,826,230
Other merchandise and materials 28,450,553 6,233,578
Services 19,312,663 4,117,570
Total net sales revenue 1,932,488,711 1,358,117,730
Other operating revenue (18)
The most significant amount of other operating revenue is represented by the restitution
of assets confiscated from the company’s bank account in November 2010 (refutation
of legal transaction I the period of one year prior to the bankruptcy of the company TDR
Metalurgija) on the basis of the Supreme Court ruling in the amount of EUR 7,152,891,
and by the revenue arising from reversal of provisions in the amount of EUR 1,893,704
(more details available in Section 5.8.1.(11).
Annual Report HSE 2012
4 Financial Report of the company HSE
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