1 Basis of presentation
The consolidated financial statements are prepared in accordance with International Financial Reporting Standards (hereinafter “IFRS” or “international accounting standards”) issued by the International Accounting Standards Board (IASB) and adopted by the European Commission pursuant to Article 6 of Regulation (EC) No. 1606/2002 of the European Parliament and of the Council of 19 July 2002 and to Article 9 of Legislative Decree 38/2005.
The consolidated financial statements are prepared in consideration of future continuing business using the historical cost method, taking into account value adjustments where appropriate, except the items which, according to IFRS, must be measured at fair value, as described in the measurement criteria.
The consolidated financial statements include the financial statements of Snam S.p.A. and of companies over which the Company has the right to exercise direct or indirect control from the date of acquisition until the date when such control is relinquished, determine financial and operational decisions, and obtain the benefits thereof.
The exclusion from the scope of consolidation of some subsidiaries, which are not significant either individually or collectively, had no material2 effect for the purposes of correctly representing the equity, financial and economic position of the Group. These investments are valued according to the criteria indicated in the section “”.
Consolidated companies, non-consolidated subsidiaries, companies under joint control, associates and other significant equity investments are indicated separately in the appendix “”, which is an integral part of these notes. The same appendix also reports the change in the scope of consolidation which took place during the year.
The financial statements at 31 December 2013, approved by the Board of Directors of Snam at its meeting of 27 February 2014, have undergone an audit by the independent auditors Reconta Ernst & Young S.p.A. As the main auditor, Reconta Ernst & Young is entirely responsible for auditing the Group’s consolidated financial statements. In the limited cases in which other auditors are involved, it assumes responsibility for the work that they carry out.
Given their size, amounts in the financial statements and respective notes are expressed in millions of euros.
2 According to the framework of the international accounting standards: “information is material if its omission or misstatement could influence the economic decisions of users taken on the basis of the financial statements”.