BT 2007 Annual Report Download - page 145

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Independent auditors’ report to the members of BT Group plc
We have audited the parent company financial statements of BT Group plc for the year ended 31 March 2007 which comprise the
balance sheet, accounting policies and the related notes. These parent company financial statements have been prepared under the
accounting policies set out therein. These parent company financial statements are set out on pages 145 to 148. We have also
audited the information in the Report on directors’ remuneration that is described as having been audited.
We have reported separately on the group financial statements of BT Group plc for the year ended 31 March 2007. This separate
report is set out on page 75.
Respective responsibilities of directors and auditors
The directors’ responsibilities for preparing the Annual Report and the parent company financial statements in accordance with
applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) are set out in
the statement of directors’ responsibilities.
Our responsibility is to audit the parent company financial statements and the part of the Report on the directors’ remuneration
to be audited in accordance with relevant legal and regulatory requirements and International Standards on Auditing (UK and
Ireland). This report, including the opinion, has been prepared for and only for the company’s members as a body in accordance
with Section 235 of the Companies Act 1985 and for no other purpose. We do not, in giving this opinion, accept or assume
responsibility for any other purpose or to any other person to whom this report is shown or into whose hands it may come save
where expressly agreed by our prior consent in writing.
We report to you our opinion as to whether the parent company financial statements give a true and fair view and whether the
parent company financial statements and the part of the report on the directors’ remuneration to be audited have been properly
prepared in accordance with the Companies Act 1985. We also report to you whether in our opinion the information given in the
report of the directors is consistent with the parent company financial statements.
In addition we report to you if, in our opinion, the company has not kept proper accounting records, 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 read other information contained in the Annual Report and Form 20-F and consider whether it is consistent with the audited
parent company financial statements. The other information comprises only BT at a glance, the Chairman’s message, the Chief
Executive’s statement and the Report of the Directors. We consider the implications for our report if we become aware of any
apparent misstatements or material inconsistencies with the parent company 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 parent company
financial statements and the part of the Report on directors’ remuneration to be audited. It also includes an assessment of the
significant estimates and judgments made by the directors in the preparation of the parent company financial statements, and of
whether the accounting policies are appropriate to the company’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 parent company financial statements and the part of the
Report on directors’ remuneration to be audited 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 parent company
financial statements and the part of the Report on directors’ remuneration to be audited.
Opinion
In our opinion:
rthe parent company financial statements give a true and fair view, in accordance with United Kingdom Generally Accepted
Accounting Practice, of the state of the company’s affairs as at 31 March 2007;
rthe parent company financial statements and the part of the Report on directors’ remuneration to be audited have been properly
prepared in accordance with the Companies Act 1985; and
rthe information given in the Report of the Directors is consistent with the parent company financial statements.
PricewaterhouseCoopers LLP
Chartered Accountants and Registered Auditors
London, United Kingdom
16 May 2007
Financial statements
Report of the independent auditors – parent company
144 BT Group plc Annual Report & Form 20-F