72
I LISI FINANCIALREPORT2013
COMPANYFINANCIALSTATEMENTS
4
3
| NOTESTOTHECOMPANYACCOUNTS
a)Tangiblefixedassets
Tangibleassets are valuedat their historical cost (priceof purchaseand
related expenses), anddepreciation is calculatedusing the straight line
ordiminishingbalancemethod, inaccordancewiththeirexpecteduseful
life:
Economic
depreciation
Fiscal
depreciation
Buildings
33.33yearsstraight line 20yearsstraight line
Transportequipment
5yearsstraight line 3yearsstraight line
Officeequipment
5yearsstraight line 5yearsstraight line
Office furniture
10yearsstraight line 10yearsstraight line
LISI S.A. does not calculate depreciation of individual elements: fixed
assetsthatwouldrequiresuchrestatementarenotofasignificantnature.
b)Financialfixedassets
Participating shares and other financial fixed assets are valued at their
purchaseprice, excluding the costs incurred in their acquisition. If these
values are higher than the value in use, a provision for depreciation is
recordedtoaccount forthediscrepancy.
Thevalue inuse iscalculated fromeach lineof investment,basedon the
profitabilityandperformanceoutlook for the companies concerned; on
developments in the economic sectors inwhich they operate; and on
theirpositionswithinthesesectors.
The inventory value has been brought into line with the value in use
calculatedforthe impairmenttests,whichdidnotshowany loss invalue.
c)Marketablesecurities
Marketable securities are valued at their purchase price, excluding the
costs incurred in their acquisition. Theymaybedepreciated in linewith
theaveragepriceortheyear-endprice.
d)Treasurystock
Treasurysharesareheldasmarketablesecurities.These latterarevalued
at their lowest acquisition price ormarket value (average stockmarket
priceforDecember)fortreasurystockspurchasedunderpriceregulation
orequitynotallocated tostaff stockoptionorshareallocationplans. For
sharesallocatedtoplans,CNCnoticeno.2008-17applies.
e)Freesharesandoptions
Where an outflow of resources relating to share purchase options and
free shareawards on thebasis of performance isprobable, theamount
of the futureexpense isprovisioned inproportion to the rightsacquired
since the allocation date.Where relevant, provisions thus provided for
take intoaccountwhether or not treasury shares are allocated to share
optionsorrelevant freeallocations.
LISI S.A. is a public limited company with a Board of Directors, with
capital of €21,572,988 representing 10,786,494 shareswith€2 face value.
It is registered at the Belfort trade registry, under no. 536 820 269. Its
registeredofficesarebasedatLeMillenium,18rueAlbertCamus,Belfort.
The final annualbalanceatDecember31, 2013stoodat€473,764,245.The
annual incomestatementshowedaprofitof€20,550,519€.
The financial year runs over 12 (twelve)months, from January 1, 2013 to
December31,2013.
The notes and tables below form an integral part of the company
accounts.
3.1
|
ACCOUNTINGRULESANDMETHODS
Theaccountsfor2013aredrawnup in linewithcurrentFrenchaccounting
regulations.Theaccountingrulesandmethodshavebeenapplied in line
withtheprudenceprincipleandwithunderlyingassumptionswhichaim
toprovideanaccuratepictureofthecompany:
n
thecontinuityofoperations;
n
thecomparabilityofaccountingmethods;
n
the independenceof financialyears.
Items listedon thebalance sheet are, dependingon the item, valuedat
historiccost, transfervalue,ornetassetvalue.
Theaccountingprinciplesonwhich thecompanyaccounts for2013were
drawnupare identical tothose for2012.
Thepreparationof financial statements requires LISI tomakeestimates
andspeculativeforecastswhichareliabletoimpactonbothitsassetsand
liabilitiesaswellasthoseof itssubsidiariesandholdings.
The latter areexposedboth to specific, industry-related risks aswell as
risksrelatingtothewider internationalenvironment.
In LISI S.A.’s financial statements, the estimates and forecasts involved
in implementing accounting methods particularly affect equity
investments, as valuations (see note b, below) are based on affiliates’
forecastdata.
