Holiday Inn 2005 Annual Report Download - page 83

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IN RELATION TO THE GROUP FINANCIAL STATEMENTS
We have audited the Group financial statements of InterContinental
Hotels Group PLC for the year ended 31 December 2005 which
comprise Group income statement, Group statement of recognised
income and expense, Group cash flow statement, Group balance
sheet, corporate information and accounting policies and the related
notes 1 to 34. These Group financial statements have been prepared
under the accounting policies set out therein.
We have reported separately on the parent company financial
statements of InterContinental Hotels Group PLC for the year
ended 31 December 2005 and on the information in the
Remuneration Report that is described as having been audited.
This report is made solely to the Company’s members, as a body,
in accordance with Section 235 of the Companies Act 1985. Our
audit work has been undertaken so that we might state to the
Company’s members those matters we are required to state to
them in an auditor’s report and for no other purpose. To the fullest
extent permitted by law, we do not accept or assume responsibility
to anyone other than the Company and the Company’s members
as a body, for our audit work, for this report, or for the opinions
we have formed.
RESPECTIVE RESPONSIBILITIES OF DIRECTORS AND
AUDITORS
The Directors are responsible for preparing the Annual Report
and the Group financial statements in accordance with applicable
United Kingdom law and International Financial Reporting
Standards (IFRSs) as adopted by the European Union as set out in
the Statement of Directors’ Responsibilities.
Our responsibility is to audit the Group financial statements in
accordance with relevant legal and regulatory requirements and
International Standards on Auditing (UK and Ireland).
We report to you our opinion as to whether the Group financial
statements give a true and fair view and whether the Group
financial statements have been properly prepared in accordance
with the Companies Act 1985 and Article 4 of the IAS Regulation.
We also report to you if, in our opinion, the Directors’ Report is not
consistent with the Group financial statements, if we have not
received all the information and explanations we require for our
audit, or if information specified by law regarding Directors’
remuneration and other transactions is not disclosed.
We review whether the Corporate Governance Statement reflects
the Company’s compliance with the nine provisions of the 2003
Financial Reporting Council Combined Code specified for our
review by the Listing Rules of the Financial Services Authority, and
we report if it does not. We are not required to consider whether
the Board’s statements on internal control cover all risks and
controls, or form an opinion on the effectiveness of the Group’s
corporate governance procedures or its risk and control procedures.
We read other information contained in the Annual Report and
consider whether it is consistent with the audited Group financial
statements. The other information comprises only the financial
highlights, operating and financial review, Directors’ Report,
Corporate Governance Statement, Audit Committee Report,
Remuneration Report and US GAAP information. We consider
the implications for our report if we become aware of any apparent
misstatements or material inconsistencies with the Group financial
statements. Our responsibilities do not extend to any other
information.
BASIS OF AUDIT OPINION
We conducted our audit in accordance with International Standards
on Auditing (UK and Ireland) issued by the Auditing Practices
Board. An audit includes examination, on a test basis, of evidence
relevant to the amounts and disclosures in the Group financial
statements. It also includes an assessment of the significant
estimates and judgements made by the Directors in the
preparation of the Group financial statements, and of whether the
accounting policies are appropriate to the Group’s circumstances,
consistently applied and adequately disclosed.
We planned and performed our audit so as to obtain all the
information and explanations which we considered necessary in
order to provide us with sufficient evidence to give reasonable
assurance that the Group financial statements are free from
material misstatement, whether caused by fraud or other
irregularity or error. In forming our opinion we also evaluated the
overall adequacy of the presentation of information in the Group
financial statements.
OPINION
In our opinion the Group financial statements:
• give a true and fair view, in accordance with IFRSs as adopted
by the European Union, of the state of the Group’s affairs as at
31 December 2005 and of its profit for the year then ended; and
• have been properly prepared in accordance with the Companies
Act 1985 and Article 4 of the IAS Regulation.
Ernst & Young LLP,
Registered auditor, London.
1 March 2006
InterContinental Hotels Group 2005 81
independent auditor’s report to the shareholders
of InterContinental Hotels Group PLC