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LISI 2016 FINANCIAL REPORT
In France, LISI S.A. is the parent company of a Group consolidated
for fiscal purposes. In accordance with the express provisions of the
French Fiscal Consolidation Agreement, tax credit is retained by the
parent company, and companies are not entitled to compensation
should they leave the consolidation perimeter.
LISI S.A. offers its subsidiaries a number of services and skills
relating to central functions, such as legal and fiscal support, financial
support, management controls, procedures and audits, insurance
management and assistance with human resources, health, safety, and
environmental matters. The three divisions pay LISI S.A. a normal level
of compensation for these services, based on the operating expenses
incurred for the period, multiplied by a coefficient; these charge-backs
are broken down proportionally to each division’s added value.
Data with related companies are as follows:
Amount concerning
related companies
(in €’000)
companies
with which the
company has
equity interests
ASSETS:
Receivables related
to equity holdings
57,865
-
Debtors and apportioned
accounts
1,277
-
Cash advances
to subsidiaries
399,705
-
Tax integration
current account
0
-
LIABILITIES:
Receivables related
to equity holdings
11,910
-
Subsidiaries’
financial assistance
220,007
-
Tax integration
current account
7,843
-
Suppliers
228
-
INCOME STATEMENT:
IT maintenance
18
-
Reserves for equity interests
1,910
-
Service and management
fees invoices
9,049
-
Rental invoices
308
-
Miscellaneous chargebacks
937
-
Revenues from subsidiaries'
loans and current accounts
4,335
-
Revenues from equity interest
22,001
-
Significant intra-group items include:
■■
ON THE assets side:
–
–
receivables relating to equity interests: LISI S.A. advanced,
as a medium term loan, $60 million to its subsidiary Hi Shear
Corporation due for repayment on May 2, 2026, to enable it
to fund part of the acquisition in May 2016 of the subsidiary
LISI MEDICAL Remmele:
–
–
the capital outstanding at December 31, 2016 was $60 million,
i.e. €57 million,
–
–
cash advances to Group subsidiaries as part of the Group’s cash
agreement.
■■
On the liabilities side:
–
–
debts relating to equity interests correspond to a medium-term
cash advance from the Turkish subsidiary FT BESTAS:
–
–
cash granted to group subsidiaries within the group cash
management agreement;
–
–
the current accounts for the fiscal integration of tax receivables
of the companies integrated within the Group.
■■
On the income statement:
–
–
invoices for services and management fees from LISI S.A. to its
various subsidiaries;
–
–
the rents from the buildings leased to our subsidiary LISI
AUTOMOTIVE Former;
–
–
dividends received by LISI S.A. for the financial year 2016.
These transactions are entered into under normal market conditions;
in particular, they take into account costs that were actually incurred
and are billed back.
1.5
I
AUDITORS’ FEES
The table below lists the fees paid to the Auditors appointed for
certifying the Group’s separate and consolidated financial statements.
These are the fees paid for services rendered and recognized for the
year 2016 in the financial statements of LISI S.A. and its subsidiaries,
whose income statements for the year and balance sheets are fully
consolidated.
Information regarding the company and corporate governance
7