Financial statements

NOTE 2



BASIS OF PRESENTATION

a) Regulatory framework on financial reporting applicable to the Company

As established in Law 33/2014, these financial statements have been prepared by the Board of Directors in accordance with the regulatory framework on financial reporting applicable to the Company, as defined in:

  • Andorran General Chart of Accounts approved by the Decree dated 23 July 2008.
  • Andorran Law 20/2007 on public limited companies and private limited liability companies.
  • Andorran Law 30/2007 on company accounts.
  • Other applicable Andorran accounting standards.

b) True and fair view

The accompanying annual financial statements were prepared from the Company’s accounting records and are presented in accordance with the regulatory framework on financial reporting applicable to the Company and specifically the accounting principles and criteria contained therein so that they give a true and fair view of the Company’s assets, financial position, income and cash flows in the financial year concerned.

The financial statements for the year ended 31 December 2017 will be presented to the General Meeting of Andorra Telecom, S.A.U. for approval and it is considered that they will be approved without modification. The financial statements for 2016 were approved by the General Meeting of Shareholders on 29 March 2017.

c) Non-mandatory accounting policies applied

In preparing these financial statements all applicable accounting principles and standards that might have a material impact on the financial statements have been taken into consideration by the Board of Directors. No mandatory accounting principle has been omitted. No non-mandatory accounting policies have been applied.

d) Grouping of items

Certain items in the balance sheet, income statement, statement of changes in total equity and statement of cash flows are presented grouped for easier understanding, although a breakdown of material items is given in the notes to the financial statements.

e) Basis of comparison

The information contained in these notes to the financial statements for 2017 is presented, for comparison purposes, together with the information for 2016.