Tiscali 2003 Annual Report Download - page 113

Download and view the complete annual report

Please find page 113 of the 2003 Tiscali annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 147

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147

115115
Moreover, values will be confirmed by an independent consultant appointed to verify the book values of shareholdings listed in
the accounts. The consultant’s report has been commissioned by the directors of Tiscali S.p.A. to ascertain whether any perma-
nent losses of value have been recorded in respect of the shareholdings listed in the accounts. For information on the treatment
of holdings in the consolidated accounts, please consult the section on “consolidation differences” (with regard to goodwill) in
the notes to the consolidated accounts of the Tiscali Group.
The balance sheet value of each shareholding is set out below, with a brief description of the most important operations carried
out during the year.
Best Engineering S.p.A. (EUR 1.2 million)
Best Engineering provides georeferencing services and technologies. No changes took place during the year, and no permanent
loss of value was recorded following those already booked in previous years.
Energy Byte S.r.l.
The holding in Energy Byte was written off in 2001. As of 31 December 2003, there were no grounds for writing up its book value
as the Company is to be wound up.
Excite Italia BV (EUR 12.8 million)
Excite Italia BV operates in the Internet media sector via its Italian branch. Through its portal, it focuses on attracting advertising.
Tiscali acts as an advertising agency on Excite’s behalf.
In March 2003, the shareholders of Excite Italia BV approved a EUR 13.5 million reduction in the Company’s share capital, which
was deemed to be higher than necessary, and the value of Tiscali’s shareholding was reduced by the same amount.
Two other changes (an increase of around EUR 3.4 million and a decrease of EUR 2.7 million) were linked to an option to pur-
chase and subsequently sell 384 shares in the Company that had been assigned to the management in March 2003, following
implementation of agreements to purchase shares in the Company.
The shareholding has been written down by a further EUR 5.0 million, as the Company’s results—although positive in 2003—
indicated that a permanent loss of value had taken place, taking into account the book value of the holding.
EUnet Edv und Internet Dienstleistungs AG
Tiscali S.p.A. acquired 100% of Austrian ISP EUnet Edv und Internet Dienstleistungs in June 2003 for EUR 2.1 million, paid for
in newly-issued shares in Tiscali S.p.A.. At the end of the year, the Company was sold to Tiscali subsidiary Tiscali International BV
at its book value, and then merged with Tiscali’s Austrian subsidiary, as part of the Group’s strategy of optimising its organisatio-
nal structure.
Home.se AB
In April 2003, Tiscali S.p.A. signed an agreement to purchase 100% of Swedish Company Home.se AB, for EUR 0.6 million,
which was paid for in newly-issued shares in Tiscali S.p.A.. At the end of the year, the Company was sold at its book value to
Tiscali AB, an indirectly-owned Swedish subsidiary.
Ideare S.p.A. (EUR 2.9 million)
Ideare operates in the Internet sector, particularly in the development of search engines and related activities. No changes took
place during the year with regard to this Company, nor were any additional permanent losses of value noted following those recor-
ded the previous year.