Holiday Inn 2007 Annual Report Download - page 49

GROUP FINANCIAL STATEMENTS
Statement of Directors’ responsibilities and Independent auditor’s report 47
GROUP FINANCIAL STATEMENTS
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 2007 which
comprise the 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 35. 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 2007 and on the information in the Directors’
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’ responsibilities for preparing the Annual Report
and the Group financial statements in accordance with applicable
United Kingdom law and International Financial Reporting
Standards (IFRS) as adopted by the European Union are 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 whether in our opinion the information
given in the Directors’ Report is consistent with the financial
statements. The information given in the Directors’ Report
includes that specific information that is cross referred from
the Business review, Directors and Employees sections of the
Directors’ Report.
In addition we report to you if, in our opinion 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 2006
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 Highlights,
Message from the Chairman and Chief Executive, Business
Review, Directors’ Report, Corporate Governance Statement,
Audit Committee Report and the Remuneration Report. 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 IFRS as adopted by the European Union,
of the state of the Group’s affairs as at 31 December 2007
and of its profit for the year then ended;
• the Group financial statements have been properly prepared
in accordance with the Companies Act 1985 and Article 4 of
the IAS Regulation; and
• the information given in the Directors’ Report is consistent
with the Group financial statements.
Ernst & Young LLP,
Registered auditor, London.
18 February 2008
Independent auditor’s report to the members
of InterContinental Hotels Group PLC