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Annual financial statements
General principles
The current annual financial statements have been prepared
in accordance with the provisions of the Austrian banking
act (Bankwesengesetz – BWG) and the Austrian Commercial
Code (Unternehmensgesetzbuch – UGB). The annual financial
statements were compiled in accordance with generally accepted
accounting principles and in compliance with the general
requirement to convey as accurate as possible a picture of the
company’s net assets, financial position and earning performance.
The annual financial statements were drawn up in compliance with
the principle of completeness.
When valuing individual assets and debts, we complied with the
principle of individual valuation and acted on the assumption of the
continued existence of the company.
We applied the prudence concept in that only those profits realised
by the balance sheet date are reported. All discernible risks and
impending losses have been taken into account.
Currency conversion
Pursuant to section 58, paragraph 1 of the BWG, amounts in
foreign currencies were converted at the ECB reference rates or,
if these were not published, at the mean currency exchange rate
(RZB fixing).
Pursuant to section 58, paragraph 2 of the BWG, forward
transactions were converted at the forward rate on the balance
sheet date.
Securities
Fixed-interest securities held as fixed assets are valued either
according to the diluted lower-value principle or pursuant to
section 56, paragraph 2 of the BWG. Other securities held as fixed
assets are valued according to the strict lower-value principle.
Securities forming the cover fund for trust fund monies are
fixed assets and, pursuant to section 2, paragraph 3 of the
Austrian regulation on the protection of money held in trust
(Mündelsicherheitsverordnung), are valued according to the strict
lower-value principle.
Notes:
Accounting policies
Pursuant to section 207 of the UGB, securities held for trading
and in the current assets are valued according to the strict
lower-value principle. Current asset securities procured to cover
company issues are posted at market value. Securities issued by
the company and held as current assets will be reported at their
redemption values.
Loans, contingent liabilities and credit risks
Individual impairments or provisions were formed to cover
all discernible credit risks. For the first time this year, this was
done only in the event of a default. In the case of non-defaulted
receivables from customers, we availed ourselves of the option of
applying a portfolio impairment in line with the discretion allowed
under section 57, paragraph 1 of the BWG for item 4, ‘Receivables
from customers’. Drawdown charges are recognised in the income
statement in the year in which the credit is granted.
In the financial year 2014, changes were made to the calculation
and book entry methodology used in portfolio valuation
allowances in order to ensure that these are depicted in a manner
commensurate with the prevailing risk in the annual financial
statements.
Investments
Investments are valued at their costs of acquisition. Unscheduled
depreciation is applied if, due to sustained losses, reduced equity
and/or reduced earning power, a loss of value has occurred that is
expected to be permanent.
Property, plant and equipment and intangible
fixed assets
Pursuant to section 55, paragraph 1 of the BWG in conjunction
with section 204 of the UGB, property, plant and equipment are
valued at their costs of acquisition or manufacture less scheduled
depreciation.
Additions during the first half of the financial year will be subject to
the full annual depreciation rate, and additions during the second
half year to half of said rate.
