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3.12 Inventories
At the balance sheet date, inventories are valued at the lower of acquisition cost and net realizable value. Net
realizable value is the estimated sales price during the normal course of the company’s business less any
relevant sales expenses. The cost of inventories does not include financial expenses.
3.13 Trade receivables
Receivables from customers are initially booked at their fair value and are subsequently valued at their
amortized cost using the method of the effective interest rate, less the provision for impairment. In the event
that the amortized cost or the cost of a financial asset exceeds the present value, then this asset is valued at
its recoverable amount, i.e. at the present value of the future cash flows of the asset, which is calculated using
the real initial interest rate.
The relevant loss is immediately transferred to the period’s profit and loss. The impairment losses, i.e. when
there is objective evidence that the Group is unable to collect all the amounts owed based on the contractual
terms, are recognized in the income statement.
3.14 Cash and cash equivalents
Cash and cash equivalents include cash in the bank and in hand as well as short term highly liquid investments
such as money market products and bank deposits. Money market products are financial assets which are
valued at fair value through the profit and loss account.
3.15 Non-current assets classified as Held for sale
The assets available for sale also include other assets (including Goodwill) and tangible fixed assets that the
Group intends to sell within one year from the date they are classified as “Held for sale”.
The assets classified as “Held for sale” are valued at the lowest value between their book value immediately
prior to their classification as available for sale, and their fair value less the sale cost. Assets classified as
“Held for sale” are not subject to depreciation. The profit or loss that results from the sale and reassessment of
assets “Held for sale” is included in “other income” and “other expenses” respectively, in the income statement.
3.16 Share capital
Expenses incurred for the issuance of shares reduce, after deducting the relevant income tax, the proceeds
from the issue. Expenses related to the issuance of shares for the purchase of companies are included in the
acquisition cost of the company acquired.
Where any Group company purchases the Company’s equity share capital (Treasury shares), the consideration
paid, including any directly attributable incremental costs is deducted fromequity attributable to the Company’s
equity holders until the shares are cancelled, reissued or disposed of. Where such shares are subsequently
