PLAISIO COMPUTERS S.A.
Announcement concerning the financial results
Referring to the announcement of the financial results of the first quarter of 2008 of our company, after a relevant letter from the Hellenic Capital Market Commission and given the decision no 6/448/11.10.2007 of the Hellenic Capital
Market Commission, we note the following:
1. The supervising authority for the interim financial statements is the Hellenic Capital Market Commission (and not the Ministry of Development, as it was mentioned)
2. The note of the financial statements which refers to the un-audited tax periods is 3.20. It is also noted that the amount of provision for the un-audited tax periods that have been formed cumulatively for the Company as well as for the Group is 633 th. euro and the total amount of Other Provisions is 7.088 th. euro for the Company and 6.796 χιλ. euro for the Group.
3. The revised according to the decision no 6/448 table of inter-company transactions for 31/03/2008 in th. euro is cited below: a) Income: 0 and 1.621, b) Expense: 369 and 332, c) Receivables: 27 and 2.963, d) Payables: 0 and 27, e) Compensation of Key managers and members of the Board of Directors: 151 and 151, f) Receivables of Key managers and members of the Board of Directors: 32 και 32, g) Liabilities of Key managers and members of the Board of Directors: 0 and 0 for the Group and for the Company respectively.
4. Finally, the main elements of information based on IFRS 7, are presented below:
INTEREST RISK
On March 31st 2008, the loans of the Company and of the Group are presented in note no 3.13 of the financial statements. The long term loans of the Company and of the Group, on March 31st 2008, was 12.426 th. euro, from which 6.426 th. euro refer to a common Bond loan of fixed interest rate from NBG, the remaining 6.000 th. euro refer to a common Bond loan from Alpha Bank with a floating interest rate that is covered from a derivative. The short term loans of the company amounted to 6.500 th. euro on 31/03/2008 (509 thousand euro 31/12/2007), was contracted under a floating interest rate. The following table presents the sensitivity of the results of the period as well as the net equity to a change of the interest rate of +1% or -1%. The relevant influence is presented as follows:
Α) Interest Rate increase by 1%:
The results of the period as well as the Net Equity of the Group and of the Company, in this case, would decrease by 65 th. euro and 5 th. euro on 31/03/2008 and 31/12/2007 respectively.
Α) Interest Rate decrease by 1%:
The results of the period as well as the Net Equity of the Group and of the Company, in this case, would increase by 65 th. euro and 5 th. euro on 31/03/2008 and 31/12/2007 respectively.
CREDIT RISK
The Group has no significant credit risk, mainly because of the large dispersion of its customers. Retail sales are paid in cash or credit cards. For wholesales the Group has the necessary policies in order to ensure that sales are made to customers with an appropriate credit history. Furthermore, the Groups receivables are insured.
The Company and the Group make a provision concerning doubtful receivables, as it is analytically presented in note 3.7 of the Financial Statements. On March 31st 2008 the total balance of customers and other trade receivables was 41.782 th. euro and 44.467 th. euro, while the provision for doubtful receivables was 1.334 th. euro and 1.316 th. euro for the Group and for the Company respectively.
The debit balance of the Company Plaisio Computers JSC to the parent company PLAISIO COMPUTERS SA on 31/03/2008, amounted to 3,0 m. euro. The management of PLAISIO COMPUTERS S.A. considers the aforementioned amount has no risk of non collection for the company, given that PLAISIO COMPUTERS JSC is controlled 100% from the Parent Company.
INVENTORY RISK
The Group takes all the necessary measures (insurance, safekeeping) so as to minimize the risk and contingent damages due to physical disasters, thefts etc. Furthermore, since the Group takes activity in a sector of high technology, where the risk of technical devaluation is extremely increased, the Management reviews the net realizable value of the inventory and forms the appropriate provisions so that their value in the financial statements coincides with the real one, as it is presented in note 3.6 of the financial reports. On 31/03/2008 the total amount of inventories was 64.558 th. euro and 62.945 th. euro, while the provision for devaluation was 4.453 th. euro and 4.401 th. euro for the Group and for the Company respectively.
FOREIGN EXCHANGE RISK
The foreign exchange risk is the risk of volatility of the value of financial assets, of assets and liabilities due to changes in the exchange rates. Τhe majority of the Groups transactions and balances is in Euro. Therefore the management estimates that the Group is not exposed to foreign exchange risks. The management will observe the foreign currency risks that may arise and will evaluate
Market Commission, we note the following:
1. The supervising authority for the interim financial statements is the Hellenic Capital Market Commission (and not the Ministry of Development, as it was mentioned)
2. The note of the financial statements which refers to the un-audited tax periods is 3.20. It is also noted that the amount of provision for the un-audited tax periods that have been formed cumulatively for the Company as well as for the Group is 633 th. euro and the total amount of Other Provisions is 7.088 th. euro for the Company and 6.796 χιλ. euro for the Group.
3. The revised according to the decision no 6/448 table of inter-company transactions for 31/03/2008 in th. euro is cited below: a) Income: 0 and 1.621, b) Expense: 369 and 332, c) Receivables: 27 and 2.963, d) Payables: 0 and 27, e) Compensation of Key managers and members of the Board of Directors: 151 and 151, f) Receivables of Key managers and members of the Board of Directors: 32 και 32, g) Liabilities of Key managers and members of the Board of Directors: 0 and 0 for the Group and for the Company respectively.
4. Finally, the main elements of information based on IFRS 7, are presented below:
INTEREST RISK
On March 31st 2008, the loans of the Company and of the Group are presented in note no 3.13 of the financial statements. The long term loans of the Company and of the Group, on March 31st 2008, was 12.426 th. euro, from which 6.426 th. euro refer to a common Bond loan of fixed interest rate from NBG, the remaining 6.000 th. euro refer to a common Bond loan from Alpha Bank with a floating interest rate that is covered from a derivative. The short term loans of the company amounted to 6.500 th. euro on 31/03/2008 (509 thousand euro 31/12/2007), was contracted under a floating interest rate. The following table presents the sensitivity of the results of the period as well as the net equity to a change of the interest rate of +1% or -1%. The relevant influence is presented as follows:
Α) Interest Rate increase by 1%:
The results of the period as well as the Net Equity of the Group and of the Company, in this case, would decrease by 65 th. euro and 5 th. euro on 31/03/2008 and 31/12/2007 respectively.
Α) Interest Rate decrease by 1%:
The results of the period as well as the Net Equity of the Group and of the Company, in this case, would increase by 65 th. euro and 5 th. euro on 31/03/2008 and 31/12/2007 respectively.
CREDIT RISK
The Group has no significant credit risk, mainly because of the large dispersion of its customers. Retail sales are paid in cash or credit cards. For wholesales the Group has the necessary policies in order to ensure that sales are made to customers with an appropriate credit history. Furthermore, the Groups receivables are insured.
The Company and the Group make a provision concerning doubtful receivables, as it is analytically presented in note 3.7 of the Financial Statements. On March 31st 2008 the total balance of customers and other trade receivables was 41.782 th. euro and 44.467 th. euro, while the provision for doubtful receivables was 1.334 th. euro and 1.316 th. euro for the Group and for the Company respectively.
The debit balance of the Company Plaisio Computers JSC to the parent company PLAISIO COMPUTERS SA on 31/03/2008, amounted to 3,0 m. euro. The management of PLAISIO COMPUTERS S.A. considers the aforementioned amount has no risk of non collection for the company, given that PLAISIO COMPUTERS JSC is controlled 100% from the Parent Company.
INVENTORY RISK
The Group takes all the necessary measures (insurance, safekeeping) so as to minimize the risk and contingent damages due to physical disasters, thefts etc. Furthermore, since the Group takes activity in a sector of high technology, where the risk of technical devaluation is extremely increased, the Management reviews the net realizable value of the inventory and forms the appropriate provisions so that their value in the financial statements coincides with the real one, as it is presented in note 3.6 of the financial reports. On 31/03/2008 the total amount of inventories was 64.558 th. euro and 62.945 th. euro, while the provision for devaluation was 4.453 th. euro and 4.401 th. euro for the Group and for the Company respectively.
FOREIGN EXCHANGE RISK
The foreign exchange risk is the risk of volatility of the value of financial assets, of assets and liabilities due to changes in the exchange rates. Τhe majority of the Groups transactions and balances is in Euro. Therefore the management estimates that the Group is not exposed to foreign exchange risks. The management will observe the foreign currency risks that may arise and will evaluate