Page 17 - MEDIASET ESPAÑA / 2012. Financial Statements, Management and Corporate Governance Report

17
FINANCIAL STATEMENTS, MANAGEMENT AND CORPORATE GOVERNANCE REPORT. 2012
Corporate transactions
On July 27, 2011, the merger of Agencia deTelevisión Latino-Americana de Servicios y Noticias España, S.A.U., Sociedad
GeneralTV Cuatro, S.A.U., and Compañía Independiente de Noticias deTelevisión, S.L. by Mediaset España Comunicación,
S.A. was registered with the Madrid Mercantile Registry. Mediaset España Comunicación, S.A. was the sole shareholder
of these companies.The merger was authorized by the Board of Directors on July 22, 2011.
Mediaset España Comunicación, S.A. acquired all the absorbed companies’ assets based on the merger balance sheets at
December 31, 2010 by universal succession, and assumed all their rights and obligations without reservation, exception
or limitations as established by law.
The merger took effect for accounting purposes on January 1, 2011.
In respect of the aforementioned takeover and merger, the Company elected to apply the option set forth in Chapter
VIII,TitleVII of the revised Spanish Corporation Law, approved by Royal Legislative Decree 4/2004 of March 5, regarding
mergers, spin-offs, contributions of assets, and exchanges of securities.
2. BASIS OF PRESENTATION OF THE FINANCIAL STATEMENTS
The financial statements have been prepared in accordance with Spanish GAAP enacted by Royal Decree 1514/2007
of November 16, which was amended by Royal Decree 1159/2010, of September 17, and all prevailing mercantile law.
The figures shown in these financial statements are presented in Thousands of euros unless otherwise indicated.
True and fair view
The accompanying annual financial statements have been prepared from the Company’s accounting records in
accordance with prevailing accounting legislation in order to give a true and fair view of the equity, financial position, and
results of the Company, as well as the cash flows reported in the cash flow statement.
These financial statements have been prepared by the directors of the Company and will be submitted for approval by
the shareholders in general meeting. It is expected that they will be approved without modification.
Comparative information
Thus, in accordance with mercantile law, for comparative purposes the Company has included the 2011 figures in
addition to those of 2012 for each item of the balance sheet, of the income statement, of the statement of changes in
equity, of the cash flow statement, and of Notes thereto.The notes to the financial statements also include quantitative
information from the previous year, except when an accounting standard specifically establishes this as unnecessary.
Preparation of the consolidated financial statements
The Company, as the parent of a corporate group in accordance with mercantile law and given that it is a listed company,
is obliged to present consolidated financial statements in accordance with the International Accounting Standards as
approved by the European Union. Accordingly, the corresponding consolidated financial statements were prepared
together with these individual financial statements. Consolidated equity and net profit for the year ended December
31, 2012 totaled 1,408,401 thousand euros and 50,143 thousand euros, respectively.