výroční zpráva 2010 annual report

annual report IMOS Brno, a.s. 2010 english version

Contents Chairman s introduction, company bodies and profile...............................................17 3 Human resources, turnover and organisational structure.............................................18 4 Balance sheet...............................................................................19 5 Profit and loss statement.......................................................................21 7 Cash flow statement..........................................................................22 8 Appendix to the financial statement (economic year 2010)...........................................23 9 Auditor s report...27 13 2 annual report 2010

Introduction made by the Chairman of the Board of Directors and Managing Director Dear business partners, dear colleagues, ladies and gentlemen, It is my pleasure to take this opportunity to inform you, through this annual report, about the results of the Company IMOS Brno, a.s. achieved over the past financial year. I am pleased to say that the overall results presented in this annual report imply that the Company IMOS Brno, a.s. has remained, in the eyes of investors, a landmark of quality and well completed work. Owing to the achieved results, it may also be said that the Company has remained on the top of the Czech building market. I am fully aware of the fact that the good results of financial year 2010 are largely due to everyday hard work of the staff of the Company IMOS Brno, a.s. Therefore, I would like to make use of the introduction and thank all of them for well-performed work. I would also like to thank to all our customers and business partners for truly correct business relations. Dear business partners, ladies and gentlemen, I am very pleased with your interest in our annual report and I wish all of us excellent cooperation in the future. I wish all of us the very success in financial year 2011. Ing. Oldřich Štercl Chairmain of the Board of Directors and Managing Director Basic data concerning the company and company bodies Name: IMOS Brno, a.s. Head Office: Olomoucká 174, 627 00 Brno Registered at: Commercial Register at the Regional Court in Brno, section B, insert 2211 Registration date: 1. 1. 1997 Company Registration No.: 253 222 57 VAT No.: CZ 253 222 57 Phone: +420 548 129 111, 532 173 111 Fax: +420 548 129 390, 532 173 390 Legal form: Joint-stock company Statutory body: Board of Directors Registered capital: 205,000,000 CZK Shareholder with over 20% share: IMOS holding, a.s. Shares: 204 registered shares at a nominal value of 1,000,000 CZK 2 registered shares at a nominal value of 500,000 CZK BOARD OF DIRCTORS Ing. Oldřich Štercl Chairman of the Board of Directors and Managing Director Ing. Jan Sniegon Vice Chairman of the Board of Directors and Ostrava Branch Director Ing. Milan Karásek Member of the Board of Directors and Civil Engineering Brno Branch Director Ing. Robert Suchánek Member of the Board of Directors and Water Management Structures and Road Constructions Brno Branch Director SUPERVISORY BOARD Ing. Jiří Rulíšek Chairman of the Supervisory Board Ing. Radomír Ivan Sigmund Vostal Member of the Supervisory Board Ing. Ivan Radomír Sigmund Vostal Member of the Supervisory Board Company profile A) Civil engineering Industrial plants, Shopping shopping centres, civil Civil facilities B) Water management structures Sewerage systems, waste water treatment plants, water ducts, and water course management structures Complete complete networks of technical infrastructure, extensive earthwork C) Road construction Expressways, roads, bridges, and engineering structures D) Design E) Road development and accredited testing laboratory annual report 2010 17 3

Human resources and turnover The Company has always paid extensive care and attention to appointing its staff. It focuses on hiring top professionals, while aiming at supporting them in broadening their specialist skills and in their professional growth, so that they are able to satisfy the investor s needs and requests. This is also demonstrated in the ever-growing number of authorised engineers or technicians employed at our Company (47 staff at present). The following chart shows the average number of employees over the past years. The second table represents the development of company s turnover within a last decade. Summary of average annual number of employees (total) 1000 800 600 400 200 600 699 755 793 907 905 854 809 783 764 702 rok 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Turnover (in bilion CZK) rok 7 6 5 4 3 2 1 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Organisational structure IMOS Brno, a.s. Board of Directors Managing Director Slovakia Branch Legal Services (external) Brno Branch Civil Engineering Business Department Brno Branch Water Management and Road Structures Road Development Division Department of Purchases and Services Brno Technical Department Brno Ostrava Branch Finance and Administration Department 4 annual report 2010

Balance sheet Reference Assets Row Current accounting period Previous period a b c Gross 1 Adjustment 2 Net 3 Net 4 TOTAL ASSETS (r. 02 + 03 + 31 + 63) 001 3 500 936-311 068 3 189 868 3 651 296 A. Receivables from capital subscriptions 002 0 0 0 0 B. Long-term fixed assets (r. 04 + 13 + 23) 003 487 681-280 574 207 107 222 467 B. I. Long-term intangible assets (r. 05 to 12) 004 7 748-7 693 55 235 B. I. 1. Incorporation expenses 005 0 0 0 0 B. I. 2. Research and development 006 0 0 0 0 B. I. 3. Software 007 7 748-7 693 55 235 B. I. 4. Valuable rights 008 0 0 0 0 B. I. 5. Goodwill 009 0 0 0 0 B. I. 6. Other intangible fixed assets 010 0 0 0 0 B. I. 7. Intangible fixed assets under construction 011 0 0 0 0 B. I. 8. Advance payments for intangible fixed assets 012 0 0 0 0 B. II. Tangible fixed assets (r. 14 to 22) 013 464 933-272 881 192 052 207 232 B. II. 1. Lands 014 57 624 0 57 624 57 204 B. II. 2. Constructions 015 78 437-2 475 75 962 78 011 B. II. 3. Equipment 016 136 893-99 251 37 642 38 574 B. II. 4. Perennial crops 017 0 0 0 0 B. II. 5. Breeding and draught animals 018 0 0 0 0 B. II. 6. Other tangible fixed assets 019 396 0 396 396 B. II. 7. Tangible fixed assets under construction 020 777 0 777 932 B. II. 8. Advance payments for tangible fixed assets 021 240 0 240 0 B. II. 9. Adjustment to acquired assets 022 190 566-171 155 19 411 32 115 B. III. Long-term financial assets (r. 24 to 30) 023 15 000 0 15 000 15 000 B. III. 1. Shares in controlled and managed organizations 024 15 000 0 15 000 15 000 B. III. 2. Shares in accounting units with substantial influence 025 0 0 0 0 B. III. 3. Other securities and shares 026 0 0 0 0 B. III. 4. Loans to controlled and managed organizations and to accounting unit with substantial influence 027 0 0 0 0 B. III. 5. Other financial investments 028 0 0 0 0 B. III. 6. Financial investments acquired 029 0 0 0 0 B. III. 7. Advance payments for long-term financial assets 030 0 0 0 0 C. Current assets (r. 32 + 39 + 48 + 58) 031 2 993 755-30 494 2 963 261 3 419 291 C. I. Inventory (r. 33 to 38) 032 103 475 0 103 475 137 114 C. I. 1. Material 033 3 794 0 3 794 14 216 C. I. 2. Work in progress and semi-products 034 99 681 0 99 681 122 898 C. I. 3. Finished products 035 0 0 0 0 C. I. 4. Animals 036 0 0 0 0 C. I. 5. Merchandise 037 0 0 0 0 C. I. 6. Advance payments for inventory 038 0 0 0 0 C. II. Long-term receivables (r. 40 to 47) 039 125 999 0 125 999 374 488 C. II. 1. Trade receivables 040 122 699 0 122 699 323 517 C. II. 2. Receivables from controlled and managed organizations 041 0 0 0 0 C. II. 3. Receivables from accounting units with substantial influence 042 0 0 0 0 C. II. 4. Receivables from partners, cooperative members and association members 043 0 0 0 0 C. II. 5. Long-term deposits given 044 0 0 0 971 C. II. 6. Estimated receivables 045 0 0 0 0 C. II. 7. Other receivables 046 3 300 0 3 300 50 000 C. II. 8. Deferred tax receivable 047 0 0 0 0 C. III. Short-term receivables (r. 49 to 57) 048 1 545 206-30 494 1 514 712 1 251 125 C. III. 1. Trade receivables 049 1 276 879-30 494 1 246 385 1 134 401 C. III. 2. Receivables from controlled and managed organizations 050 0 0 0 0 C. III. 3. Receivables from accounting units with substantial influence 051 0 0 0 0 C. III. 4. Receivables from partners, cooperative members and association members 052 6 627 0 6 627 27 212 C. III. 5. Receivables from social security and health insurance 053 0 0 0 0 C. III. 6. Due from state tax receivable 054 113 096 0 113 096 34 493 C. III. 7. Short-term deposits given 055 6 692 0 6 692 10 295 C. III. 8. Estimated receivables 056 22 642 0 22 642 34 599 C. III. 9. Other receivables 057 119 270 0 119 270 10 125 C. IV. Short-term financial assets (r. 59 to 62) 058 1 219 075 0 1 219 075 1 656 564 C. IV. 1. Cash 059 2 184 0 2 184 3 788 C. IV. 2. Bank accounts 060 1 216 891 0 1 216 891 1 552 776 C. IV. 3. Short-term securities and ownership interests 061 0 0 0 100 000 C. IV. 4. Short-term financial assets acquired 062 0 0 0 0 D. I. Accruals (r. 64 to 66) 063 19 500 0 19 500 9 538 D. I. 1. Deferred expenses 064 6 071 0 6 071 9 208 D. I. 2. Complex deferred costs 065 0 0 0 0 D. I. 3. Deferred income 066 13 429 0 13 429 330 annual report 2010 5

Balance sheet Reference Liabilites Row Current accounting period Previous accounting period a b c 5 6 TOTAL LIABILITIES (r. 68 + 86 + 119) 067 3 189 868 3 651 296 A. Equity (r. 69 + 73 + 79 + 82 + 85) 068 650 131 790 280 A. I. Registered capital (r. 70 to 72) 069 205 000 205 000 A. I. 1. Registered capital 070 205 000 205 000 A. I. 2. Company s own shares and ownership interests (-) 071 0 0 A. I. 3. Changes of registered capital (+/-) 072 0 0 A. II. Capital funds (r. 74 to 78) 073 27 150 27 150 A. II. 1. Share premium 074 0 0 A. II. 2. Other capital funds 075 27 150 27 150 A. II. 3. Differences from revaluation of assets and liabilities (+/-) 076 0 0 A. II. 4. Differences from revaluation in transformation (+/-) 077 0 0 A. II. 5. Differences from company transformations 078 0 0 A. III. Reserve funds, statutory reserve account for cooperatives, and other retained earnings (r. 80 + 81) 079 41 000 41 000 A. III. 1. Legal reserve fund / indivisible fund 080 41 000 41 000 A. III. 2. Statutory and other funds 081 0 0 A. IV. Profit / loss previous year (r. 83 + 84) 082 17 130 14 908 A. IV. 1. Retained earnings from previous years 083 17 130 14 908 A. IV. 2. Accumulated losses from previous years 084 0 0 A. V. Profit / loss current year (+/-) 085 359 851 502 222 B. Other sources (r. 87 + 92 + 103 + 115) 086 2 538 752 2 860 499 B. I. Reserves (r. 88 to 91) 087 0 4 146 B. I. 1. Reserves under special statutory regulations 088 0 0 B. I. 2. Reserves for pension and similar payables 089 0 0 B. I. 3. Income tax reserves 090 0 0 B. I. 4. Other reserves 091 0 4 146 B. II. Long-term payables (r. 93 to 102) 092 485 073 546 458 B. II. 1. Trade payables 093 481 978 543 144 B. II. 2. Payables to controlled and managed organizations 094 0 0 B. II. 3. Payables to accounting units with substantial influence 095 0 0 B. II. 4. Payables from partners, cooperative members and association members 096 0 0 B. II. 5. Long-term advances received 097 0 0 B. II. 6. Issued bonds 098 0 0 B. II. 7. Long-term notes payables 099 0 0 B. II. 8. Estimated payables 100 0 0 B. II. 9. Other payables 101 0 0 B. II. 10. Deferred tax liability 102 3 095 3 314 B. III. Short-term payables (r. 104 to 114) 103 2 053 679 2 309 895 B. III. 1. Trade payables 104 797 196 833 077 B. III. 2. Payables to controlled and managed organizations 105 0 0 B. III. 3. Payables to accounting units with substantial influence 106 0 0 B. III. 4. Payables from partners, cooperative members and association members 107 180 172 45 770 B. III. 5. Payroll 108 16 127 155 248 B. III. 6. Payables to social securities and health insurance 109 8 673 10 491 B. III. 7. Due from state tax liabilities and subsidies 110 1 607 2 595 B. III. 8. Short-term deposits received 111 6 466 5 522 B. III. 9. Issued bonds 112 0 0 B. III. 10. Estimated payables 113 1 035 220 1 248 731 B. III. 11. Other payables 114 8 218 8 461 B. IV. Bank loans and financial accommodations (r. 116 to 118) 115 0 0 B. IV. 1. Long-term bank loans 116 0 0 B. IV. 2. Short-term bank loans 117 0 0 B. IV. 3. Short-term accommodations 118 0 0 C. I. Accruals (r. 120 + 121) 119 985 517 C. I. 1. Accrued expenses 120 656 16 C. I. 2. Deferred revenues 121 329 501 6 annual report 2010

Profit and loss statement Reference Text Row Accounting period a b c Current 1 Previous 2 I. Revenues from sold goods 01 0 0 A. Expenses on sold goods 02 0 0 + Sale margin (r. 01 02) 03 0 0 II. Production (r. 05 to 07) 04 4 149 236 5 699 205 II. 1. Revenues from own products and services 05 4 215 500 5 759 338 II. 2. Change in inventory of own products 06-66 400-60 237 II. 3. Capitalization 07 136 104 B. Production consumption (r. 09 + 10) 08 3 159 775 4 411 478 B. 1. Consumption of material and energy 09 343 088 303 142 B. 2. Services 10 2 816 687 4 108 336 + Added value (r. 03 + 04 08) 11 989 461 1 287 727 C. Personnel expenses (r. 13 to 16) 12 552 054 624 674 C. 1. Wages and salaries 13 443 088 515 138 C. 2. Remuneration of board members and association members 14 0 0 C. 3. Social security expenses and health insurance 15 106 949 107 684 C. 4. Other social expenses 16 2 017 1 852 D. Taxes and fees 17 2 486 2 715 E. Depreciations of intangible and tangible assets 18 14 201 15 000 III. Revenues from disposals of fixed assets and materials (r. 20 + 21) 19 16 123 7 041 III. 1. Revenues from disposals of fixed assets 20 4 502 2 981 III. 2. Revenues from disposals of materials 21 11 621 4 060 F. Net book value of disposed fixed assets and materials (r. 23 + 24) 22 12 531 5 116 F. 1. Net book value of sold fixed assets 23 2 156 1 736 F. 2. Net book value of sold material 24 10 375 3 380 G. Change in operating reserves and adjustments and complex deferred costs (+/-) 25 9 931 12 915 IV. Other operating revenues 26 23 387 39 934 H. Other operating expenses 27 42 611 17 802 V. Transfer of operating revenues 28 0 0 I. Transfer of operating expenses 29 0 0 * Operating profit / loss [r. 11-12 - 17-18 + 19-22 - 25 + 26-27 + (-28) - (-29)] 30 395 157 656 480 VI. Revenues from sales of securities and ownership interests 31 0 0 J. Sold securities and ownership interests 32 0 0 VII. Revenues from long-term financial assets (r. 34 to 36) 33 0 0 VII. 1. Revenues from shares in controlled and managed organizations and in accounting units with substantial influence 34 0 0 VII. 2. Revenues from others securities and ownership interests 35 0 0 VII. 3. Revenues from other long-term financial assets 36 0 0 VIII. Revenues from short-term financial assets 37 0 0 K. Expenses associated with financial assets 38 0 0 IX. Revenues from revaluation of securities and derivatives 39 0 0 L. Cost of revaluation of securities and derivatives 40 0 0 M. Change in financial reserves and adjustments (+/-) 41 0 0 X. Interest revenues 42 9 715 18 593 N. Interest expenses 43 3 142 2 038 XI. Other financial revenues 44 31 129 45 737 O. Other financial expenses 45 51 788 62 970 XII. Transfer of financial revenues 46 0 0 P. Transfer of financial expenses 47 0 0 * Profit / loss from financial operations (transactions) [(r. 31-32 + 33 + 37-38 + 39-40 - 41 + 42-43 + 44-45 + (-46) - (- 47)] 48-14 086-678 Q. Income tax on ordinary income (r. 50 + 51) 49 21 220 153 580 Q. 1. Due tax 50 21 439 152 981 Q. 2. Tax deferred 51-219 599 ** Operating profit / loss ordinary activity (r. 30 + 48-49) 52 359 851 502 222 XIII. Extraordinary revenues 53 0 0 R. Extraordinary expenses 54 0 0 S. Income tax on extraordinary income (r. 56 + 57) 55 0 0 S. 1. Due tax 56 0 0 S. 2. Tax deferred 57 0 0 * Operating profit / loss extraordinary activity (r. 53-54 - 55) 58 0 0 T. Transfer of profit (loss) to partners (+/-) 59 0 0 *** Profit / loss of current accounting period (+/-) (r. 52 + 58-59) 60 359 851 502 222 **** Profit / loss before tax (+/-) (r. 30 + 48 + 53-54) 61 381 071 655 802 annual report 2010 7

Cash Flow Statement Reference Text Current accounting period P. Balance of cash on hand and financial equivalents as at the beginning of reporting period 1 656 564 CASH FLOWS FROM MAIN ACTIVITIES (OPERATING ACTIVITIES) Z. Accounting profit/loss / from running activities before taxation 381 071 A. 1. Adjustments by non-cash operations 11 067 A. 1. 1. Depreciation of fixed assets and amortization of adjustments to acquired assets 26 905 A. 1. 2. Change in balance of adjustments and reserves -6 919 A. 1. 3. Profit from sales of fixed assets -2 346 A. 1. 4. Revenue from dividends and shares in profit 0 A. 1. 5. Accounted for interest expense, exclusive of interest capitalization and accounted for credit interest -6 573 A. 1. 6. Possible adjustments by other non-cash operations 0 A. * Net cash flow from running activities before taxation, changes in working capital and unusual /extraordinary items 392 138 A. 2. Change in non-cash items of working capital -244 396 A. 2. 1. Change in balance of receivables from running activities, temporary assets accounts -22 287 A. 2. 2. Change in balance of short-term payables from running activities, temporary liability accounts -255 748 A. 2. 3. Change in balance of inventory 33 639 A. 2. 4. Change in balance of current liquid assets not included in cash or equivalents 0 A. ** Net cash flow from running activities before taxation and unusual /extraordinary items 147 742 A. 3. Interests paid exclusive of interest capitalization -3 142 A. 4. Interests received 9 715 A. 5. Income tax for running activities and additional tax assessments for previous periods -21 439 A. 6. Income and expense on unusual and/or extraordinary items, including income tax 219 A. 7. Received dividends and shares in profit 0 A. *** Net cash flow from running activities 133 095 CASH FLOWS FROM INVESTING ACTIVITIES B. 1. Expense on fixed assets acquisition -13 701 B. 2. Income from fixed assets sales 4 502 B. 3. Loans to related parties 0 B. *** Net cash flow from investing activities -9 199 CASH FLOWS FROM FINANCING ACTIVITIES C. 1. Change in balance of long-term or short-term payables -61 385 C. 2. Impact of changes in equity on cash on hand and financial equivalents -500 000 C. 2. 1. Increase in cash on hand as a result of increased registered capital, share premium etc. 0 C. 2. 2. Payment of share in equity to partners 0 C. 2. 3. Other contributions of cash by partners and shareholders 0 C. 2. 4. Loss coverage by partners 0 C. 2. 5. Direct debit fund payments 0 C. 2. 6. Dividends paid or shares in profit, including taxes paid -500 000 C. 3. Received dividends and shares in profit 0 C. *** Net cash flow from financing activities -561 385 F. Net increase / decrease in cash on hand -437 489 R. Balance of cash on hand and financial equivalents as at the end of reporting period 1 219 075 22 8 annual report 2010

Appendix to the financial statement (economic year 2010) 1. GENERAL DATA Accounting unit description Registration date in the Trade Register: 1. 01/01/1997 1. 1997 Business name: IMOS Brno, a.s. Head office: Olomoucká 174, 627 00 Brno Identification number: 25322257 Registered at: Regional Commercial Court in Brno, section B, insert 2211 Main business objective: Performing constructions, including their modifications, maintenance work and removal Legal form: Joint stock company Shareholders whose stake exceeds 20%: IMOS holding, a.s., company registration No. 25866681 Olomoucká 174, 627 00 Brno Registered capital of 30,000,000 CZK Registered capital share 100% More than 20 % share in the registered capital in other companies: IMOS Invest I, spol. s r.o., company registration No. 28279174 Olomoucká 174, 627 00 Brno Registered capital of 15,000,000 CZK Registered capital share 100% In 2004, the Company IMOS Brno, a.s. established an organizational branch with the head office in Slovakia: IMOS Brno, a.s. Organizational Branch of the Company Bytčická 89, 010 09 Žilina, SK Company registration No.: 37848437, VAT No.: SK2021783940 Statutory bodies Chairman of the Board of Directors: Ing. Oldřich Štercl Lesní Hájek 10, 882/4, Klobouky Klobouky u Brnau Brna Vice Chairman of the Board of Directors: Ing. Jan Sniegon Lyžbická 1191, Třinec Member of the Board of Directors: Ing. Milan Karásek Ostružinová 498/3, Brno Ing. Robert Suchánek Tvaroženská 109, Jiříkovice Supervisory Board Chairman: Ing. Jiří Rulíšek Velká Morava 45, Dolní Morava Members: Ing. Radomír Ivan Sigmund Vostal Kuršova Pod Skalkou 3, Brno 10, Nový Jičín Ing. Ivan Radomír Sigmund Vostal Pod Kuršova Skalkou 3, Brno 10, Nový Jičín Average number of employees during the accounting period: 685 Management: 14 Labour costs recapitulation (in 000 CZK): Employees Management Out of Members of the Executive Bodies Labour costs 443,088 123,920 82,216 Health insurance and social security costs 106,949 7,899 2,479 Several of the executives of individual sections, divisions and departments are entitled to use company cars, which is, in compliance with Section 6 of Act No. 586/1992 Coll., as amended, considered as part of employee s income. Until now, the members of the statutory or any other advisory bodies have not been provided with any loans by the Company. annual report 2010 9

2. INFORMATION CONCERNING APPLIED ACCOUNTING METHODS, GENERAL ACCOUNTING PRINCIPLES AND METHOD OF VALUATION 2.1. The mode of inventory valuation corresponds to purchase prices. Additional acquisition costs of merchandise are concentrated in separate analytical accounts. These expenses are discharged in costs on a monthly basis proportionately to the amount of consumed material. It is FIFO that has been applied as a mode of keeping stock records. Activated long-term tangible assets are valued on the level of real costs. 2.2. The mode of replacement purchase price determination of assets is based on the arithmetic mean of prices taken from expert opinions usually carried out with the help of three different methods of replacement price determination. In this accounting period, no such assets have been acquired. 2.3. Other accessory acquisition costs represent customs duties, additional charges, intermediary fees, carriage charges, etc. 2.4. Fiscally effective rectifying items have been set up in accordance with the law, their total sum reaching 29,783,000 CZK. Furthermore, a non-fiscal rectifying item in the amount of 712,000 CZK has been created. See the Balance Sheet for details. 2.5. Accounting depreciations are carried out using a uniform depreciation method. The beginning of accounting depreciation takes place in the month following the filing. Individual accounting groups are depreciated as follows: Tax group 1 3 years Tax group 2 5 years Tax group 3 10 years Tax group 4 20 years Tax group 5 30 years Tax group 6 50 years The second and third tax groups are depreciated in an accelerated or uniform way, if possible, depending on the assets type. The first, fourth, fifth and sixth tax groups are depreciated in a uniform way. As far as the deposited assets are concerned, the original depreciation method has been used further on. 2.6. As far as the conversion of foreign currencies, a valid CNB rate is used on the date of performing the accounting operation. The record-keeping of foreign invoices is performed on the day when the invoice was issued. The payment is considered to be the date when the sum was sent from the account. 3. ADDITIONAL INFORMATION REGARDING THE BALANCE SHEET AND THE PROFIT AND LOSS STATEMENT 3.1. Tangible and intangible assets excluding claims 3.1.a. Account 022 Long-term assets depreciated in accordance 082 Accumulated depreciation to TA with the groups on 31 March 2011 group 3 machinery 3,405,456.00 2,639,783.08 group 4 appliances 39,179,792.00 34,376,331.96 group 5 equipment 31,074,357.00 26,072,962.22 group 6 means of transport 44,986,909.00 17,950,882.81 group 7 inventory 909,143.00 874,017.00 119,555,657.00 81,913,977.07 Small long-term assets (acquisition costs less than 40,000 CZK) acquired before 2002 16,704,671.84 16,704,671.84 136,260,328.84 98,618,648.91 group 6 Leasing IMOS Brno, a.s. Slovakia Branch 632,663.04 632,663.04 136,892,991.88 99,251,311.95 3.1.b. Account 013 Software 073 Software depreciation State as per 1 April 2010 9,758,048.00 9,522,668.69 State as per 31 March 2011 7,550,535.00 7,495,474.39 Small long-term assets (acquisition costs less than 60,000 CZK) acquired before 2002 197,818.00 197,818.00 7,748,353.00 7,693,292.39 Tangible long-term assets acquired through financial leasing The total amount of leasing instalments: The amount payable in 2011 568,000 The amount payable in 2012 14,000 The amount payable in 2013 4,000 10 annual report 2010

3.1.c. Increase and decrease of T&ILA according to the accounts in the period of economic year 2010 (except small T&ILA) Account Initial state Increase Decrease Final state 013/10 9,758,048 107,160 2,314,673 7,550,535 021/10 78,436,665 0 0 78,436,665 022/10 112,985,032 13,558,519 6,987,894 119,555,657 031/10 57,204,091 420,000 0 57,624,091 032/10 396,200 0 0 396,200 Total 258,780,036 14,085,679 9,302,567 263,563,148 3.1.d. 3.1.e. The sum of assets not included in the Balance Sheet Low-value assets kept in the operational records at the purchase price: Assets specification burdened with lien As per 31 March 2011, the Company does not have any assets burdened with lien. 45,958,000 CZK 3.2. Claims in thousands CZK 3.2.a. The sum of claims after their due date: 58,640,000 CZK up to 30 days: 15,782,000 CZK up to 90 days: 1,338,000 CZK over 90 days: 41,520,000 CZK 3.2.b. 3.2.c. 3.2.d. Long-term claims Long-term trade receivables included in the Balance Sheet are created by retention sums of payments based on contractual stipulations, as well as the amount of 3,300,000 CZK by virtues of credits and loans granted. The sum of claims in the amount of 6,627,000 CZK made upon the association members consists of the claims made upon the association members participating in those associations of which we are members. This means the division of net income, as well as payments of invoices issued by other association members, etc. In its accounting, the Company registers a deposit bill of exchange upon the UNION Bank. This bill of exchange has been claimed in the bankruptcy proceedings. A rectifying item has not bee created regarding this bill of exchange. The received and issued collaterals and bills of exchange are recorded in the corresponding Balance Sheet. 3.3. Equity 3.3.a. Company s equity on 31 March 2011 650,131,000 CZK 3.3.b 3.3.c. The division of profit made in the previous accounting period From the profit made in the accounting period 2009 in the amount of 502,222,000 CZK, the Board of Directors has taken the decision to pay out the profit in the form of dividends in the overall amount of 500,000,000 CZK. The remaining profit in the amount of 2,222,000 CZK has been transferred onto the retained earnings account. Registered capital The amount of the registered capital is 205,000,000 CZK. The registered capital consists of 204 shares in the nominal value of 1,000,000 CZK each and 2 shares in the nominal value of 500,000 CZK each. 3.4. Trade liabilities (in thousands CZK) 3.4.a. The sum of liabilities after the due date: 31,107,000 CZK up to 30 days 8,925,000 CZK up to 90 days 11,934,000 CZK over 90 days 10,248,000 CZK Approximately 20% of the total amount of the liabilities after the due date consists of those liabilities proposed to an inclusion but where such inclusion agreement has not been confirmed by the other party yet. The amount of liabilities after the due date exceeding 90 days comprises the sum of invoices conditioned by the final handover of the work without any faults and backlogs, which included the calculation of the contractual date of the liability due date related to the total price for work. 3.4.b. Among them, the liabilities to the companies within the group: 0 CZK 3.4.c. The company does not have any liabilities covered by lien. annual report 2010 25 11

3.4.d. The Company does not have any liabilities not included in the bookkeeping as per 31 March 2011. 3.4.e. Long-term trade liabilities included in the Balance Sheet consist of retention sums of payments based on contractual stipulations. 3.4.1. Liabilities to employees Wage liabilities in the month of March Other liabilities to employees Total 3.5. Reserves 3.5.a. A reserve concerning long-term tangible assets repairs has not been made. 16,127,000 CZK 15,921,000 CZK 206,000 CZK 16,127,000 CZK 3.6. Company revenues divided according to main activities: Activity Amounts in thousands CZK Transport 1,582 Locksmith s workshops 2,796 Laboratories, research and development 8,139 Mechanisation 3,974 Repair shops 1,010 Design 9,730 Civil engineering 3,152,639 Auxiliary civil engineering 14,560 Roads and bridges 332,147 Building administration 1,325 Company management 47,598 Water management structures 654,090 Total 4,229,590 The performance includes the revenues from the sales of the Company s products and services, revenues from the sales of its assets and materials, other operating revenues, and the revenues from the Company s financial activities. 3.7. Shares in persons under direction IMOS Invest I, spol. s r.o., company registration No. 28279174 Olomoucká 174, 627 00 Brno Registered capital of Share in the registered capital: 100 % 15,000,000 CZK 15,000,000 CZK 4. ESTIMATED PRE-PAID ITEMS The sum of the estimated items in the amount of 22,642,000 CZK consists of the estimated items based on so far non-disclosed insurance claims and uninvoiced services. 5. ESTIMATED EXPENSES OR LOSSES The sum of the estimated items in the amount of 1,035,220,000 CZK consists of the estimated items based on uninvoiced supplies and deliveries provided by subcontractors. 6. INCOME TAX State tax obligations and subsidies Property tax 86,000 CZK Dependent activity tax 1,521,000 CZK Total 1,607,000 CZK State tax receivables VAT claim 207,000 CZK Corporation income tax claim 112,383,000 CZK Consumption tax return claim 506,000 CZK Total 113,096,000 CZK Total The calculation of the deferred tax obligation consists of the difference between the balance tax and 113,096,000 the property CZK book The calculation of the deferred tax obligation consists of the difference between the balance tax and the property book value, and it amounts to 3,095,000 CZK. In course of the 2010 accounting period, there were changes in the Company s Board of Directors and the Supervisory Board. The details were recorded in the Trade Register. A report entitled Report on the relations between interconnected persons as per 31 March 2011 has been prepared. The report has been deposited in the Company s head office. No significant or substantial change occurred in the period leading up to processing and preparing the financial statement. 26 12 annual report 2010

Auditor s report TOP AUDITING Limited Liability Company Kotlářská 931/53, 602 00 Brno, Czech Republic Commercial register kept at the Regional Court in Brno C 4855, registration No.: 454 77 639 Phone: + 420 541 211 237, +420 541 240 807 Phone: +420 544 526 119, Fax: +420 544 526 118 www.topauditing.cz Email: audit@topauditing.cz Independent auditor s report on verifying the Financial Statement compiled on 31 March 2011 and relating to the economic year from 1 April 2010 to 31 March 2011 IMOS Brno, a.s, Brno Registration No.: 253 22 257 The report has been prepared for the use of the Statutory Body of the Company. We have performed an audit of the enclosed financial statement of the Company, consisting of the Balance Sheet as per 31 March 2011, the Profit and Loss Statement, the Statement of Changes in the Equity, and the Cash Flow Statement, covering the accounting period ending on the date referred to above, as well as the Appendix to this financial statement, including the description of all the important accounting methods applied and other explanatory information. On behalf of the audit company, the audit was performed by Ing. Štěpán Gregor (Chamber of Auditors of the Czech Republic, Licence No. 2136). Liability of the Statutory Body of the accounting unit concerning the Financial Statement. It is the Statutory Body of the Company IMOS Brno, a.s. that holds full liability for compiling the financial statement giving a true and complete picture of the financial situation of the Company, in compliance with the Czech accounting legislation. Furthermore, it is also liable for an internal audit system that it deems necessary for compiling the Financial Statement so that it does not contain any substantial (material) incorrectness incurred as a result of a fault or fraud. Auditor s liability. On the basis of the performed audit, it is our liability to issue a statement to the submitted Financial Statement. The audit was performed in compliance with the Act on Auditors and International Auditing Standards, as well as the related application clauses issued by the Chamber of Auditors of the Czech Republic. In accordance with these regulations, it is our duty to observe the ethical standards and to plan and perform the audit so that the auditor may be reasonably certain that the submitted financial statement is free of any significant (material) incorrectness. The audit comprises performing such auditing procedures aiming at obtaining evidence and information concerning the amounts and facts mentioned in the Financial Statement. The selection of the auditing procedures depends on the auditor s consideration, including the risk assessment that the financial statement may contain substantial (material) incorrectness incurred as a result of a fault or fraud. When assessing such risks, the auditor shall take into account the inside checking and control relevant for compiling the Financial Statement offering a true and complete picture of the financial situation of the Company. The aim of examining the inside checking and control mechanisms is to propose appropriate auditing procedures, not to issue a statement to the efficiency of such internal mechanisms applied in the accounting unit. The audit also includes examining the appropriateness of the applied accounting methods, the adequacy of the accounting estimates performed by the Management, as well as examining the overall presentation of the financial statement. We do believe that the evidence obtained during the audit constitute a sufficient and appropriate basis in order to issue our statement. Auditor s statement. In our opinion, the submitted financial statement gives a true and complete picture of the assets, liabilities and financial situation of the Company as per 31 March 2011, as well as the expenses, income, operating results in the relevant economic year, being in compliance with the valid accounting legislation in the Czech Republic. In Brno, 31 May 2011 Auditor s signature: (illegible signature) TOP AUDITING, s.r.o., Brno Chamber of Auditors of the Czech Republic, Licence No. 047 Office for the Supervision on Performing Audits, Licence No. 007 Expert Institute (Ministry of Justice of the Czech Republic 63/97-OOD) annual report 2010 27 13

IMOS Brno, a.s. Olomoucká 174 627 00 Brno tel.: +420 548 129 111 +420 532 173 111 fax: +420 548 129 390 +420 532 173 390 e-mail: imos@imosbrno.eu www.imosbrno.eu