Letno poročilo 2007 - UniCredit Banka Slovenija dd

Accounting ReportSummary of Accounting PoliciesGeneral InformationUniCredit Banka Slovenija d.d. is a commercial bank incorporatedin Slovenia and provides a wide variety of financial services tocorporate and individual customers. The Bank was registered as ajoint-stock company on 24 January 1991. The Bank’s legal addressis Šmartinska 140, Ljubljana, Slovenia. On 31 December 2007, theBank was operating a total of 14 branches throughout Slovenia. Theultimate parent company of the Bank is UniCredit S.p.A., Genova.Consolidated financial statements are available from UniCreditoItaliano S.p.A, Via San Protaso 1/3, 20121 Milan, Italy.The Bank’s main areas of operation are as follows:• accepting deposits from the public and placing of deposits;• providing current and term-deposit accounts;• granting short- and long-term loans and guarantees to the StateTreasury, local municipalities, corporate customers, privateindividuals and other credit institutions dealing with finance leaseand foreign exchange transactions;• treasury operations in the interbank market;• trust management and investment banking services;• performing local and international payments; and• providing retail banking services through its branch network inSlovenia.These unconsolidated financial statements have been approved forissue by the Board of Directors on 26 February 2008.Summary of Accounting PoliciesThe principal accounting policies applied in the preparation of thesefinancial statements are set out below. These policies have beenconsistently applied to all the years presented, unless otherwisestated.Statement of complianceThese unconsolidated financial statements have been prepared inaccordance with the International Financial Reporting Standards(IFRS) and interpretations approved by the International AccountingStandards Board (IASB) as adopted by the European Union. As ofthe date of issuing these financial statements, the IFRS as adoptedby the European Union does not differ from the IFRS as issued bythe IASB, except for portfolio hedge accounting under IAS 39 whichhas not been approved by the EU. The Bank does not use portfoliohedging and hence has determined that portfolio hedge accountingunder IAS 39 would have no impact on the financial statements hadit been approved by the EU as of the balance sheet date.These financial statements are prepared in accordance with theInternational Financial Reporting Standards (IFRS) under thehistorical cost convention, except for certain financial instrumentsmeasured at fair value.The preparation of financial statements requires managementto make judgments, estimates and assumptions that affect theapplication of accounting policies and the reported amounts ofassets, liabilities, income and expenses. Actual results may differfrom these estimates.Estimates and underlying assumptions are reviewed on an ongoingbasis. Revisions to accounting estimates are recognised in theperiod in which the estimate is revised and in any future periodsaffected.In particular, information about significant areas of estimationuncertainty and critical judgments in applying accounting policiesthat have the most significant effect on the amount recognised in thefinancial statements are described in Risk report.154 2007 Annual Report · UniCredit Bank