Tiscali 2013 Annual Report Download - page 30

Annual financial report as at 31 December 2013
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File Name
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Annual Report as at 31
December 2013
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making the necessary checks and after assessing the uncertainties found in the light of the factors
described, and having taken into account the afore-mentioned outline consent expressed by all the
financing institutions with regard to the proposed restructuring of the debt as per the GFA, they have
the reasonable expectation that the definition of the transaction can be reached for the rebalancing of
the Group’s financial structures on a consistent basis with the expected cash flows and suitable for
supporting the operating activities laid out in the afore-mentioned financial and business plans and
that the Group has adequate resources to continue operations in the near future and therefore have
adopted the going-concern assumption when preparing the financial statements.
This assessment is naturally the result of a subjective opinion, which has compared - with respect to
the events indicated above - the degree of probability of their occurrence with the opposite situation.
Therefore, obviously it must be emphasised, in as far as it is obvious, that the prognostic opinion
underlying the decision of the board, is liable to be contradicted by the evolution of events. Precisely
because it is aware of the intrinsic limits of its decision, the Board of Directors will constantly monitor
the evolution of the factors taken into consideration (as well as any other additional circumstance
which takes on significance), so as to be able to promptly adopt the necessary measures, also in
terms of recourse to the procedures envisaged by the law for business crisis situations.
One-off transactions
Pursuant to Consob Resolution No. 15519 dated 27 July 2006, it is hereby revealed in particular that
during 2013 agreements were reached with the main suppliers of network services which had a
positive impact for around EUR 8.5 million and costs were also provided for, for a total of EUR 3
million, linked essentially to the process for restructuring the senior debt and the definition of the prior
WOL dispute.
Atypical and/or unusual operations
Pursuant to Consob Communication dated 28 July 2006, it is hereby specified that during 2013 the
Company did not enter into any atypical and/or unusual transactions, as defined by said
Communication.
Transactions with related parties
Dealings with non-consolidated Group companies
During the year, the Tiscali Group had a number of dealings with related parties, under conditions
considered normal on the respective reference markets, taking into account the characteristics of the
goods and services provided.
Related parties with whom transactions were concluded in 2013 included:
 Studio Racugno: the director Gabriele Racugno, member of Tiscali S.p.A.’s Board of Directors,
since 21 December 2009, provides Tiscali Italia S.p.A. with legal and out-of-court assistance.
 Nuova Iniziativa Editoriali S.p.A.: investee company of the majority shareholder, Renato Soru;
the dealings refer to an advertising concession and the provision of telecommunications
services. It should be mentioned that the investment held by Renato Soru was in the name of
Gabriele Racugno by virtue of a deed of trust. The latter was appointed member of the Board
of Directors of Tiscali S.p.A. from 21 December 2009 to January 2010.
Income statement and balance sheet transactions with related parties are detailed in the section
“Related Party transactions” in the explanatory notes to the 2013 financial statements.