ALUMINIUM OF GREECE · 2016. 3. 2. · Annual Financial Report for the period from1st of January to 31st of December 2014 5 A. REPRESENTATION OF THE MEMBERS OF THE BOARD OF DIRECTORS

ALUMINIUM OF GREECE

Annual Financial Report

for the period

from the 1st of January to the 31st of December 2014

Annual Financial Report for the period from1st of January to 31st of December 2014 2

TABLE OF CONTENTS

A. Representation of the Members of the Board of Directors ................................................................ 5

B. Independent Auditor’s Report ......................................................................................................... 6

C. Annual report of the Board of Directors........................................................................................... 8

D. Annual Financial Statements ........................................................................................................ 23

I. Statement Of Financial Position ............................................................................................. 24

II. Income Statement ............................................................................................................... 25

IΙΙ. Statement Of Comprehensive Income ................................................................................. 26

Iv. Company Statement Of Changes In Equity ........................................................................... 27

V. Cash Flow Statement ........................................................................................................... 28

E. Notes On The Financial Statements .............................................................................................. 29

1. General Information..................................................................................................................... 29

1.2 Company’s purpose................................................................................................................... 29

2. Basis for preparation of the financial statements............................................................................ 30

3. Basic accounting principles ........................................................................................................... 31

3.1 New and amended accounting standards and interpretations of IFRS ............................................ 31

3.2 Consolidation ............................................................................................................................. 37

3.3 Significant accounting judgments, estimates and assumptions ...................................................... 38

3.3.1 Accounting decisions ............................................................................................................... 38

3.3.2 Assumptions and estimations ................................................................................................... 40

3.4 Group Structure ......................................................................................................................... 41

3.5 Significant information ............................................................................................................... 42

3.6 Conversion to foreign currency ................................................................................................... 42

3.7 Segment reporting ..................................................................................................................... 46

3.8 Recognition of income and expenses........................................................................................... 46

3.9 Prior year financial statements’ restatement ................................................................................ 47

3.10 Intangible assets ...................................................................................................................... 50

3.11 Tangible assets ........................................................................................................................ 51

3.12 Impairment of Assets ............................................................................................................... 52

3.13 Leases ..................................................................................................................................... 52

3.14 Financial instruments ............................................................................................................... 53

3.15 Inventories .............................................................................................................................. 54

3.16 Trade Receivables .................................................................................................................... 54

3.17 Cash and cash equivalent ......................................................................................................... 54

3.18 Share capital............................................................................................................................ 54

3.19 Income tax & deferred tax ........................................................................................................ 55

3.20 Employee benefits .................................................................................................................... 56

3.20.1 Short-term benefits ............................................................................................................... 56

3.20.2 Post-employment benefits ..................................................................................................... 56

3.21 Grants ..................................................................................................................................... 57

3.22 Loans ..................................................................................................................................... 57

3.23 Provisions ................................................................................................................................ 58

3.24 Dividend distribution ................................................................................................................ 58

3.25. CO2 emission Liability ............................................................................................................. 58


3.26 Hedging Accounting ................................................................................................................. 58

4. Business Risk Management .......................................................................................................... 61

4.1 Financial risk management aims and policies ............................................................................... 61

4.2 Fair Value Measurements ........................................................................................................... 61

4.3 Market Risk ............................................................................................................................... 62

4.4 Credit Risk ................................................................................................................................. 64

4.5 Liquidity Risk ............................................................................................................................. 64

4.6 Capital Management .................................................................................................................. 64

5. Segment reporting ....................................................................................................................... 67

5.1 Primary reporting format – business segments ............................................................................ 67

5.2 Secondary reporting format – geographical segments .................................................................. 67

6. Notes on the Financial Statements ................................................................................................ 69

6.1 Tangible Assets ......................................................................................................................... 69

6.2 Intangible Assets ....................................................................................................................... 70

6.3 Investments on Subsidiaries ....................................................................................................... 71

6.4 Investments on associates ......................................................................................................... 71

6.5 Deferred tax assets and liabilities ................................................................................................ 72

6.6 Other long-term assets .............................................................................................................. 73

6.7 Inventories fair value ................................................................................................................. 73

6.8 Customers and other trade receivables........................................................................................ 74

6.9 Other receivables ....................................................................................................................... 75

6.10 Derivative financial instruments ................................................................................................ 76

6.11 Cash and Cash Equivalents ....................................................................................................... 76

6.12 Own Equity .............................................................................................................................. 77

6.12.1 Share capital ......................................................................................................................... 77

6.12.2 Other reserves ...................................................................................................................... 78

6.12.3 Fair value reserves ................................................................................................................ 78

6.13 Benefits for employment termination ......................................................................................... 79

6.14 Loan liabilities .......................................................................................................................... 81

6.15 Other long-term liabilities ......................................................................................................... 82

6.16 Provisions ................................................................................................................................ 82

6.17 Suppliers and other trade liabilities ............................................................................................ 83

6.18 Current tax liabilities ................................................................................................................ 83

6.19 Other short-term liabilities ........................................................................................................ 84

6.20 Cost of goods sold ................................................................................................................... 84

6.21 Administrative & Distribution Expenses ...................................................................................... 85

6.22 Other Operating Income – Expenses ......................................................................................... 85

6.23 Financial revenues and expenses .............................................................................................. 86

6.24 Other Financial results .............................................................................................................. 86

6.25 Earnings/ (losses) per share ..................................................................................................... 86

6.26 Income Tax ............................................................................................................................. 87

6.27 Cash Flows from operating activities ......................................................................................... 88

6.28 Related Party transactions ........................................................................................................ 88

6.29 Dividend .................................................................................................................................. 90


6.30 Number of employees .............................................................................................................. 90

6.31 Contingent assets and contingent liabilities ................................................................................ 91

6.32 Commitments .......................................................................................................................... 95

6.32.1 Operating lease deposit – the company as a lessor ................................................................. 95

6.32.2 Operating lease deposit – the company as a lessee ................................................................. 95

6.32.3 Warranties ............................................................................................................................ 95

6.33 Financial Instruments ............................................................................................................... 96

6.34 Tax Authorities Control ............................................................................................................. 96

6.35 Post Balance Sheet events ........................................................................................................ 97

F. Figures and Information ............................................................................................................... 98

G. Availability of Financial Statements ............................................................................................... 99


A. REPRESENTATION OF THE MEMBERS OF THE BOARD OF DIRECTORS

The members of the Board of Directors of ALUMINIUM OF GREECE:

1. Spyridon KASDAS, Chairman of the Board of Directors 2. Dimitrios STEFANIDIS, Chief Executive Officer,

In our above capacity declare that as far as we know:

a. the enclosed financial statements of “ALUMINIUM OF GREECE” for the period of 1.1.2014 to

31.12.2014, drawn up in accordance with the applicable accounting standards, reflect in a true manner

the assets and liabilities, equity and results of “ALUMINIUM OF GREECE”.

b. the enclosed report of the Board of Directors reflects in a true manner the development, performance

and financial position of “ALUMINIUM OF GREECE”, including the description of the principal risks and

uncertainties.

Maroussi, 17 March 2015

The designees

Spyridon KASDAS Dimitrios STEFANIDIS

Chairman of the Board Chief Executive Officer Of Directors of Directors


B. INDEPENDENT AUDITOR’S REPORT

TO THE SHAREHOLDERS OF ALUMINIUM OF GREECE

Report on the Financial Statements

We have audited the accompanying financial statements of Aluminium of Greece S.A.I.C. (“the

Company”), which comprise of the Statement of Financial Position as at December 31, 2014, and the

Income Statement and Statement of Comprehensive Income, changes in equity and cash flows for the

year then ended and a summary of significant accounting policies and other explanatory information.

Management’s Responsibility for the Financial Statements

Management is responsible for the preparation and fair presentation of these individual and consolidated

financial statements in accordance with International Financial Reporting Standards as adopted by

European Union, and for such internal control as management determines is necessary to enable the

preparation of individual and consolidated financial statements that are free from material misstatement,

whether due to fraud or error.

Auditor’s Responsibility

Our responsibility is to express an opinion on these financial statements based on our audit. We

conducted our audit in accordance with International Standards on Auditing. Those standards require

that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance

about whether the individual and consolidated financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in

the individual and consolidated financial statements. The procedures selected depend on the auditor’s

judgment, including the assessment of the risks of material misstatement of the financial statements,

whether due to fraud or error. In making those risk assessments, the auditor considers internal control

relevant to the entity’s preparation and fair presentation of the financial statements in order to design

audit procedures that are appropriate in the circumstances but not for the purpose of expressing an

opinion on the effectiveness of the company’s internal control. An audit also includes evaluating the

appropriateness of accounting policies used and the reasonableness of accounting estimates made by

management, as well as evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for

our audit opinion.

Opinion


In our opinion, the financial statements present fairly, in all material respects, the financial position of

the Company as at December 31, 2014, and the financial performance and the cash flows of the

Company for the year then ended in accordance with International Financial Reporting Standards that

have been adopted by the European Union.

Emphasis of matters

We would like to draw your attention to the following:

1. The Company and its supplier PPC, have not yet reached to an agreement for the pricing of

electricity for the term beginning on 1st January and onwards. The finalization of the negotiations

between the two parties may result in the Company’s recognizing assets or liabilities the amount of

which currently cannot be measured reliably.

2. The Company retrospectively restated financial items of the financial years 2013 and 2014, after

it received in December 2014 relative information from its customer INDEPENDENT POWER

TRANSMISSION OPERATOR, concerning prior periods.

We have not qualified our opinion for the above mentioned matters.

Report on Other Legal and Regulatory Requirements

We confirm that the information given in the Director’s Report is consistent with the accompanying

financial statements and complete in the context of the requirements of articles 43a, and 37 of Codified

Law 2190/1920.

Athens, 16 March 2015

The Chartered Accountant

Nikolaos Ioannou

S.O.E.L. Reg. No. 29301


C. ANNUAL REPORT OF THE BOARD OF DIRECTORS

BOARD OF DIRECTORS ANNUAL MANAGEMENT REPORT

I. 2014 REVIEW - PERFORMANCE AND FINANCIAL POSITION

In 2014, after six consecutive years of recession and of accumulated loss of GDP that exceeded 25%,

the Greek economy, since the 2nd quarter has recorded positive growth rates in economic activity,

resulting in a full-year growth rate of 0.8%. At the same time, the primary surpluses that have been

achieved and the balancing of the Greek state’ current accounts are tangible evidence of the stabilization

achieved by the Greek economy over the past few years.

This improvement, which led to a decline in bond yields and allowed Greece to borrow again from the

international markets in Spring 2014, has not been able to restore the full access for Greece to the

capital markets since it has been interrupted by the uncertainty for the outcome of negotiations with

European partners for the continuation of the program of financing the Greek economy. The result and

the duration of these negotiations are expected to play a decisive role in the performance of the Greek

economy in 2015 and in the subsequent years.

On the global level, the steps taken by the ECB have succeeded in bringing a reduction in borrowing

costs on the economies of Europe while the euro zone as a whole achieved in 2014 a positive growth

rate of GDP of around 0.9%, after two years of economic recession. In this context, the ECB has already

announced its intention to provide additional support through the Quantitative Easing program as the

Eurozone continues facing strong challenges, among which the main challenge is the risk of deflation.

The recent drop in oil and fuel prices has generally intensified the deflationary pressures, while in

Greece, since the beginning of 2013, it has been recorded a negative inflation rate, equal to -2.5% in

December 2014.

Despite the weak growth in the euro zone, the weakening of emerging markets and the environment of

geopolitical instability in Europe and the Middle East, the global economy has recorded a satisfactory

growth rate in 2014 that exceeded 3%. This growth rate is expected to accelerate in the coming months

in an environment characterized by lower oil prices and the strengthening of the US dollar against most

currencies and the Euro.

ALUMINIUM OF GREECE, in this context, has remained committed to strict cost control. The improved

economic performance of the Company compared to the previous year, demonstrates the great progress

that has been although this fact does not leave any room for complacency.


ECONOMIC ENVIRONMENT

ALUMINA MARKET

The metallurgical Alumina Market in 2014 closed with relative equilibrium (production ~106 million

metric tons vs consumption ~105million metric tons.) while the same is expected for 2015 with an

estimated increase in production and consumption by 6-7%.

The continuous increasing demand for aluminium worldwide in connection with the historically high

production of aluminium in China and the restriction for bauxite export from Indonesia are expected to

positively affect the price, which remains at very good rates for the first semester in 2015.

Low metal prices may have been influenced negatively by the stock market prices of metals in London,

the reduction of premia, the price reduction of raw material and energy and the eventual operating

stoppages of factories mainly outside China.

For ALUMINIUM OF GREECE the long term contract with Glencore for calcined alumina has been

completed in 2014 with a total sales quantity of 330.000 tons and value based 50% on the average of 3

different price index Alumina Price Index FOB Australia (Platts, MB, CRU) and the remaining 50% to a

specified percentage of the price of aluminium.

As for hydrated alumina, ALUMINIUM OF GREECE maintained high profit margins with annual sales of

134,000 tons in a market characterized as difficult and highly competitive.

ALUMINIUM MARKET

In the first quarter of 2014, the LME aluminium prices have recorded the lowest level of the last five

years amounted to $1,640/ton. and have recovered dynamically thereafter up to $ 2,114 / ton in the

third quarter of the year.

Accordingly, during 2014 the exchange rate €/$ moved strongly downwards and from a high level of

1.39 in first quarter it has fallen below 1.21 at the end of the year. Compared to previous year the

average rate of €/$ has remained unchanged at 1.33.

The average price of aluminium during 2014 (LME 3 month) amounted to $ 1,894 / ton, remaining

unchanged (+ 0.38%) compared to the previous year. In contrast to prices in the LME, premia recorded

new historically high levels resulting in final total price LME + Premium to remain above the $ 2,500 /

ton.

The fundamental aluminium market data which have experienced a significant improvement, the

constant reduction in stocks, the preservation of demand at a high level and the reluctance of some

producers, which during the previous period were forced to reduce production or even to cease the

operation of their less efficient industrial plants, to increase again production due to the low price levels

on the LME, have contributed to this performance.


ALUMINIUM OF GREECE in 2014

In 2014 ALUMINIUM OF GREECE had successfully completed the competitiveness recovery program

"FUTURE" resulting in obvious cost savings.

As regards the production level, it has recorded historical performance in both production of hydrated

alumina due to the historical performance of the pumping availability rate and the production of molten

metal, as a result of initiation of the project of increasing intensity of electricity in potrooms.

The increase of the production of molten metal has contributed in the production of the end products of

Cast house.

The sales of hydrated alumina, a product that yields significant profit margins for ALUMINIUM OF

GREECE, have maintained its market share and amounted to 134 thousand tons.

Aluminum sales are again focused on high added value products.

Aluminium sales in volumes per product amounted to:

- 121,3 thousand tons of Billets in 2014 while 110,3 thousand tons in 2013

- 50,6 thousand tons of Slabs in 2014 while 62,5 thousand tons in 2013

- 0,0 thousand tons of T-ingots in 2014 while 0.0 thousand tons in 2013

From geographical perspective, sales abroad grew over those generated domestically by about 10

thousand tons. The contract with GLENCORE has been served smoothly.

In 2014 the turnover of ALUMINIUM OF GREECE increased compared to 2013, part of which (€

31million) is due to the LNG resale activity (nil of corresponding activity in 2013).

In metallurgy, growth has been recorded from the historically high premia products of Casthouse which

outbalanced the lower performance of the sales price of alumina.

As regards the cost, the contribution of the reduction of gas and basic raw materials prices has been of

particular significance.

From the start of the second quarter of 2014, the calculation for self-generated electricity sales price

was finalized, following the adoption of Law 4254 / 2014.

II. PROSPECTS FOR THE NEW YEAR

The growth in global aluminium demand is expected to remain strong in 2015 at over 7%, being

supportive for prices of aluminium . However, early this year, there has been a decline in premia from

historically high levels and the LME which are offset by the decline in basic production costs, particularly

those resulting from the decline in oil and gas prices as well as the constant strengthening of the US

dollar against the Euro.


Current aluminium prices on the LME fluctuate within the range of $ 1.800 / ton., a level that comprise

a strong challenge for producers and thus create the conditions for further decline in aluminium stocks

that are steadily declined since early 2013.

Developments regarding the fundamentals measures, the course of the emerging economies, especially

China’s, the energy cost, the development of Euro/dollar exchange rate and the monetary policy pursued

by central banks, are expected to be the main drivers that will determine the course of the sector in the

coming period.

ALUMINIUM OF GREECE is expected to maintain the very good technical results without disregarding the

safety policies and results. The further increase in the electricity intensity in the potroom will be decisive

factor to achieve a new historical record of molten metal production. Furthermore, it will focus on further

strengthening of its competitiveness, based on strict and continuous cost control, expecting to record

strong financial performance in 2015.

ΙΙΙ. ADDED VALUE & PERFORMANCE INDICATORS

ALUMINIUM OF GREECE applies the policy of assessing its results and performance on a monthly basis

effectively identifying timely deviations from targets and taking the relevant corrective measures. The

Company monitors its performance by analyzing specific financial, technical and operational indicators.

Α. Financial Indicators

-EBITDA (Operating Earnings Before Interest, Taxes, Depreciation & Amortization): The

Company defines the «EBITDA» quantity as profits/losses before tax, itemized for financial and

investment results; for total depreciation (of tangible and intangible fixed assets).

- ROCE (Return on Capital Employed): This indicator is derived by dividing profit before tax and

financial results to the total capital employed by the Company, these being the sum of the Net Position,

the sum of loans and long - term forecasts.

- ROE (Return on Equity): This indicator is derived by dividing profit after tax by the company‘s Net

Position.

- EVA (Economic Value Added): This metric is derived by multiplying the total capital employed with

the difference (ROCE – Capital Expenditure) and constitutes the amount by which the financial value of

the company increases. To calculate the capital expenditure, the Company uses the WACC formula – «

Weighted Cost of Capital».

The above indicators for 2014 compared to 2013 are as follows:


*Adj. EBITDA 2013: EBITDA figure as at 31/12/2013 is adjusted (note 3.9)

Β. Operational And Technical Indices

- LTI : in 2014 the indicator was 1.64 compared to 3.29 in 2013.

- RCR : in 2014 the indicator was 4.37 compared to 6.58 in 2013.

- % Faraday: 93.8 in 2014 compared to 93.4 in 2013.

- % Pumping availability: 97.1 in 2014 compared to 96.4 in 2013.

IV. SIGNIFICANT INFORMATION

During the reporting period, the Company proceeds to the following:

• DEPA and Gazprom Agreement

On 25/2/2014, the Ministry of Environment, Energy and Climate Change announced the agreement

between DEPA and Gazprom for the retroactive price discount for gas supplied by the latter, a discount

that will be passed to consumers.

The discount amounted to 15% over current prices that was valid until 25/02/2014 and had a

retrospective effect. The amount of discount for the Company was €6.1 millon for the period 1/7 –

31/12/2013.

The total discount is recorded in the ALUMINIUM OF GREECE results for the period 01.01.2014 –

31.12.2014.

• Law 4254/07.04.2014

The law 4254/07.04.2014 “Measures of support and development of Greek Economy referred to L.

4046/2012 and other provisions” defined arrangements in order to ensure the viability of the renewable

energy sources (RES) support mechanism, aimed at the consolidation of the special account referred to

2014 2013

EBITDA (in mil. Euro) 65,00 36,19

ROCE 5,45% 1,27%

ROE 3,63% -10,07%

EVA (in mil. Euro) -19,28 -53,80


in article 40 of law 2773/1999. In addition, the recommended settings are intended to help reduce the

cost of electricity for final consumers and the national economy. More specifically, the present law

consists of three main axes: (a) price adjustment to converge, as far as possible, the benefits from the

RES support mechanism at around the same level for all categories of producers, therefore being an

adjustment that aims, as far as possible, on similar yields between the several types of investment, b)

investor protection taking into account existing financing agreements and c) new tariffs to compensate

producers of electricity from RES and through RES and high efficiency Cogeneration Plants (HeCoGen),

compatible with the requirements of the national electrical system, which will contribute to reduction of

energy costs while at the same time ensuring reasonable returns.

In particular, Sub Paragraph IC 3 of the said law includes the following:

1. Within two (2) months from the entry into force of this law, the RES/HeCoGen producers shall issue a

credit note to provide discount:

a. 35% regarding energy from photovoltaic plants (except in cases of the "special program of

development of photovoltaic systems in buildings") and

b. 10% regarding energy from other RES and HeCoGens, in both cases (a) and (b) calculated on the

total value of energy sold in 2013.

2. On expiry of the period referred to in paragraph 1 and until issuance and delivery of the credit note

referred to in this paragraph, the obligation of LAGIE for the Interconnected System and HEDNO for the

Non Interconnected System, to pay to RES and HeCoGens producers the price for the volume of

electricity delivered from the month of entry into force of said Law and onwards, shall be suspended.

The General Secretariat of Public Revenues is hereby authorized to determine by decision the details

regarding the tax treatment of the transaction described in paragraph 1 and the present.

3. For RES and HeCoGen projects that issue the credit note pursuant to para. 1 the excise tax of L.

4093/2012, as amended and in force, is recalculated on the reduced, after the credit note discount,

proceeds from the sale of energy for the reference year 2013.

The above operation had no impact on results for the period 01/01 - 31/12/2014 as the Company

disputes the issue of credit invoice of l. 4254/2014 as believes that this action is illegal and

unconventional.

• Change of Company’s name

The extraordinary General Meeting of July 11, 2014 took the decision to change the name of the

Company to "ALUMINIUM OF GREECE INDUSTRIAL AND COMMERCIAL SA" and the distinctive title


"ALUMINIUM OF GREECE". The decision was registered into the General Electronic Commercial Registry

in August 25, 2014 with No. 108715.

• General Court of European Union decision

On 27/7/2011, the Greek Government, via the Ministry of Environment, Energy and Climate Change,

announced to ALUMINIUM OF GREECE, the decision of the European Commission finding the difference

between the energy sale price imposed on ALUMINIUM OF GREECE by PPC in application of the high

voltage regulated tariff (A-150) and the price arising from the application of the Contract of 1960 for the

period from January 2007 to March 2008, in application of a decision of interim measures of the Single-

Member First Instance Court of Athens claiming that the Contract of 1960 has not expired and ordering

the return of the tariffs to the framework of the said contract, discordant with the Community state aid

rules. The said difference between the two tariffs, the recovery of which is asked by the European

Commission with its above decision, amounts to €17.4 million plus interest (according to EU state aid

recovery rules and policies).

The arguments of the European Commission focus on the following:

i) Selective application of the “preferential tariffing” only for ALUMINIUM OF GREECE.

ii) The Commission believes that the seller (PPC) had no right to charge “reduced rates”. Taken into

account that PPC declined the extension of the 1960 Contract, there are reasonable grounds (for the

Commission) that the extension of the agreement secured an advantage given that it did not correspond

to the ‘usual rate” for the big industrial consumers.

iii) Finally, the commission considers that this tariffing method distorts competition and affects the

transactions between member states, because the preferential tariffing was used in a company active in

sectors whose products are widely traded among member states.

According to the Management, the EC decision on the recovery of the amount of € 17.4 million plus

interest by the Greek state, considered state aid, is based on the erroneous believe that the regulated

high voltage tariff (A150), as in force in the reference period of the decision (1/2007 – 3/2008) in the

Greek market, namely in a non-liberated electricity market in breach of the Community Legislation (in

particular Directive 2003/54/EC) in which PPC had a monopoly position, was a competitive, reasonable

electricity supply tariff (“market tariff”). As a consequence, the EC decision is based on the admission

that ALUMINIUM OF GREECE, by paying anything less than the said administratively regulated high-

voltage tariff that PPC as a monopoly and the Ministry of Development as a supervising and

administering authority practically imposed on their customers, received a kind of state aid which,

furthermore, positively affected its position compared to that of its competitors in the European market.

As acknowledged by the European Commission in the framework of the infringement procedure (No.


2195/2009), the regulated tariff A-150 should have been abolished with the inclusion of the 2nd energy

package (Directive 2003/54/EC) in order to promote the development of a competitive electricity market

and abolish the cross subsidies between consumers of even the same category, something which RAE

already stressed in 2007. Its imposition by PPC on ALUMINIUM OF GREECE with the expiry of the 1960

contract is not an indication of a seller’s behavior in a market economy but an abusive behavior of the

state monopoly taking advantage of its dominant position in order to increase its revenues based on a

state aid. If PPC accepted to negotiate with its customers (High-Voltage Connection where the tariffs

should have been deregulated on 1.7.2008), the rate charging ALUMINIUM OF GREECE with would be

determined in market and competition terms, as shown in RAE’s decisions, No 692/2011 and No

798/2011, a fact certainly leading to a lower tariff. Moreover, in the same period, ALUMINIUM OF

GREECE paid (in application of the decision of interim measures) a power rate higher than the average

power supply rate for the corresponding industries in the other member states and although the decision

acknowledges the fact that ALUMINIUM OF GREECE does not have a domestic competition, it

erroneously determines the “relevant market”, characterizing the tariff difference paid by ALUMINIUM

OF GREECE compared to the other industrial consumes as an illegal state aid.

According to the above, the Management deems that the rationale of the EC decision is a straw man,

erroneous and not adequately justified. On 6.10.2011, the ALUMINIUM OF GREECE brought the matter

before the General Court of the European Union asking for the annulment of the above decision.

The Arbitral Award before the Energy Regulator’s Arbitration Proceedings complies with the above

notion, as, although it concerns a different time-period, it accepted that the standard industrial tariff,

which PPC is trying to impose throughout the period of its dispute with ALUMINIUM OF GREECE, does

not constitute a market tariff.

PPC tried to enforce the aforementioned European Commission decision, through a payment order

issued by the Athens Court of First Instance (13601/2012), which was appealed by ALUMINIUM OF

GREECE. The Athens Court of First Instance, issued an injunction (no 857/2013) accepting company’s

petition for the suspension of the payment order’s enforcement and resolved (decision no. 860/2013)

that the issuance of a final decision on the appeal would be rendered after the decision of the General

Court of the European Union. Following that, PPC achieved to overturn the above injunction and

temporary ruling of the Court and tried again to enforce the payment order to ALUMINIUM OF GREECE.

In order to avoid further legal action before the Hellenic Courts, as well as to ensure that the Hellenic

Republic does not suffer any potential implications that it as a result of further delay in recovering the

amount of the alleged aid, ALUMINIUM OF GREECE has reached an agreement with PPC and paid the

total amount of € 20.56 million (€ 17.4 million plus interest). The remittance of said amount to PPC, as

per the provisions of the agreement signed between the parties, is conditional on the final decision of


the European Union’s General Court, thus being temporary and not indicative of the final outcome of

said case.

Moreover, the Management of the Company considers that there is a strong possibility for the

Company’s appeal against the EU decision, which was submitted to the competent European Court, to

be successful and, therefore, the “difference” of € 20.56 million (€ 17.4 million plus interest), referred to

in said decision, constitutes a contingent liability which is reasonably considered as unlikely to ultimately

constitute an actual liability. Consequently, following the reimbursement of the payments made by the

Company, no outflow of economic resources will actually take place.

On 04/06/2014, the EU General Court convened for the litigation of the foresaid case. On 08/10/2014, a

positive decision was delivered for ALUMINIUM OF GREECE. There is no impact on the Company’s

Financial Statements.

V. BUSINESS RISK MANAGEMENT

Aims and management polices of business risk

The Company's activities give rise to multiple financial risks, including the current and interest rate

related risks, the volatility in market prices, credit risks and liquidity risks. The Company's risk

management program aims at containing potential negative influence to its financial results, as this may

arise from the inability to predict financial markets and the volatility with respect to cost and sales

variables.

The essential risk management policies are determined by the Company's Management. The risk

management policy is applied by the Corporate Treasury Department. The risk management which is

being created by the main operational activities of the Company, identified and managed by the

Corporate Treasury Department.

Credit Risk

The Company does not exhibit any considerable concentration of credit risk in any of the contracted

parties. Credit risk originates from available cash and cash equivalents, derivative financial instruments

and deposits at banks and financial institutions; also from exposure to client derived credit risk.

Regarding commercial and other claims, the Company is not theoretically exposed to significant credit

risks, as of the multifaceted nature of the Company's activities, there is no significant concentration of

credit risk with respect to its commercial requirements, as this is allocated over a high number of clients.

However, the atypical conditions that dominate the Greek market and several other markets in Europe

are forcing the Company to constantly monitor its business claims and also to adopt policies and

practices to ensure that such claims are collected. By way of example, such policies and practices include


insuring credits where possible; pre-collection of the value of product sold to a considerable degree;

safeguarding claims by collateral loans on customer reserves; and receiving letters of guarantee.

To minimize credit risk on cash reserves and cash equivalents; in financial derivate contracts; as well as

other short term financial products, the Company specifies certain limits to its exposure on each

individual financial institution and only engages in transactions with creditworthy financial institutions of

high credit rating.

The tables below summarize the maturity profile of the Company's financial assets as at 31.12.2014 and

31.12.2013 respectively:

Liquidity Risk

The liquidity risk is linked to the need to sufficiently finance the Company's activity and growth. The

relevant liquidity requirements are the subject of management through the meticulous monitoring of

debts of long term financial liabilities and also of payments made on a daily basis.

The Company ensures the provision of adequate credit facilities available so as to cover short term

business requirements. In addition, funds for long term solvency needs shall be ensured through an

adequate amount of borrowed capital and the ability of selling long term financial assets.

The maturity of financial liabilities in December 31, 2014 and 2013 for the Company pictured as follows:

(Amounts in €)

Liquidity Risk Analysis -

Trade Receivables

0-3 months 3-6 months 6-12 months > 1 year

2014 11.816.184 3.817.369 - - 64.327.775 79.961.329

2013 29.039.668 14.670.276 (10.715.647) - 29.379.957 62.374.254

ALUMINIUM OF GREECE

Past due but not impaired

Non past due but not

impaired Total

Liquidity Risk Analysis - Liabilities

2014

up to 6

months

6 to 12

months1 to 5 years after 5 years Total

(Amount in €)

Long-term debt - - 111.790.367 - 111.790.367

Short-term debt 18.802.682 29.325.389 - - 48.128.071

Long-term liabil ities payable in the next

period - 20.865.500 - - 20.865.500

Leasing l iabil ities - - - - -

Trade and other payables 128.319.244 25.524.302 - - 153.843.546

Other payables 15.382.577 1.343.088 - - 16.725.665

Total 162.504.503 77.058.279 111.790.367 - 351.353.149

ALUMINIUM OF GREECE


Market Risk

Exchange rate risk

The Company develops activity at international level and is therefore exposed to exchange rate risk that

arises mainly from the US dollar. Such risk primarily stems from commercial transactions in foreign

currency as well as from net investments in foreign financial entities. For the management of such risk,

the Group’s Financial Management Department establishes financial derivative and non-derivative

instruments with financial organizations.

The Company’s exposure to commodities price risk and the corresponding sensitivity may depending on

the transaction’s quantity in foreign currency as well the level of the prices.

Commodity’s Price Risk

Goods prices that are mainly determined by international markets and global offer and demand result in

the Company’s exposure to the relevant prices fluctuation risk.

Goods’ prices are connected both to variables that determine revenues (e.g. metal prices at LME) and to

the Company’s cost (e.g. natural gas prices). Due to its activity, the Company is exposed to price

fluctuation of aluminium (AL), zinc (Zn), lead (Pb) as well as to price fluctuation of natural gas, as

production cost.

As regards price fluctuation of metals, the Company’s policy is to minimize risk by using financial

derivative instruments (forward deals commodity fulfilling contracts).

The Company's exposure to commodities price risk and the corresponding sensitivity may vary

depending on the volume of transactions and price levels. However, the following analysis is considered

representative of the Company's exposure to this risk for the year 2014.

Interest rate risk


2013

up to 6

months

6 to 12


(Amount in €)

Long-term debt - - 131.897.431 - 131.897.431

Short-term debt - 31.865.073 - - 31.865.073


period - 5.655.000 - - 5.655.000



Other payables 10.840.404 - 3.372.954 - 14.213.359

Total 114.900.040 76.202.859 135.270.385 - 326.373.285

ALUMINIUM OF GREECE


The Company’s assets that are exposed to interest rate fluctuation primarily concern cash and cash

equivalents. The Company’s policy as regards financial assets is to invest its cash in floated interest rates

so as to maintain the necessary liquidity while achieving satisfactory return for its shareholders. In

addition, for the totality of its bank borrowing, the Company uses floating interest rate instruments.

Depending on the level of liabilities in floating interest rate, the Company proceeds to the assessment of

interest rate risk and when necessary examines the necessity to use interest bearing financial derivative

instruments.

The Company’s policy consists in minimizing its exposure to interest bearing cash flow risk as regards

long-term funding.

Effect from risk factors and sensitivities analysis

The effect from the above mentioned factors to Company’s operating results, equity and net results

presented in the following table:

It is noted that an increase of five (5) basis points presume a decrease of €0.9 million on net results and

Equity.

The Company’s exposure in price risk and therefore sensitivity may vary according to the transaction

volume and the price level. However the above sensitivity analysis is representative for the Company

exposure in 2014.

$/t + 50 - 50

EBITDA mil € 7,3 -7,3

Net Results mil € 7,3 -7,3

Equity mil € 7,3 -7,3

€/$ - 0,05 + 0,05




$/t - 50 + 50




€/MWh - 5 + 5

EBITDA mil € 12,7 -12,7


Equity mil € 12,7 -12,7

Fuel Oil Price (FOB MED)

Natural Gas

LME AL (Alouminium)

Parity €/$


VI. CORPORATE GOVERNANCE

The Company has adopted the principles of corporate governance as set forth in current Greek

legislation and international practice. As a set of rules, principles and control mechanisms under which a

company is organized and managed, Corporate Governance seeks to promote transparency for investors

and to safeguard the interests of shareholders and all persons connected with company operation.

The Board of Directors of ALUMINIUM OF GREECE is the trustee of the corporate governance principles.

Today it is comprised of 1 executive and 4 non-executive member.

Internal auditing is a fundamental, necessary condition for corporate governance. ALUMINIUM OF

GREECE Internal Audit Division is an independent unit, which reports to the Group's Audit Committee. Its

duties include evaluating and improving the systems for risk management and internal auditing and also

verifying compliance with established policies and procedures as set in the company’s internal operation

regulations, the applicable legislation and regulatory provisions.

ALUMINIUM OF GREECE has an Internal Audit Division led by Theodoros Pelekis who is a full-time

employee engaged exclusively in internal auditing.

VII. RELATED PARTY TRANSACTIONS

In context of operational activity, materials, inventories and services originate from a number of related

parties of the company. The transactions with these companies take place on purely trade basis,

whereas no business transactions take place. ALUMINIUM OF GREECE did not participate in any

transaction of unusual nature or content which is significant for the Company it participates, or for

companies and the people closely related to it, and does not intend to participate in any kind of similar

transactions in the future. None of these transactions include special terms or conditions.

In the tables below presented the intercompany transactions and balances between the Company,

the BoD members for the fiscal year and the intercompany balances on 31.12.2014 and 31.12.2013 :

(Amounts in €) 31/12/2014 31/12/2013

Short term employee benefits

- Wages and Salaries and BOD Fees 4.957.856 4.810.227

- Insurance service cost 182.414 196.280

Total 5.140.269 5.006.507

Pension Benefits:

- Defined contribution scheme 3.647 3.647

Total 5.143.916 5.010.154

ALUMINIUM OF GREECE


Transactions with other related party :

VIII. DIVIDEND POLICY

On 30 October 2014 the Extraordinary General Meeting of Shareholders decides to approve the payment

of dividend to the Shareholder Company with the amount of 1,475,000.00 € or 0.25 € / stock from the

part distribution of specially taxed reserve, from revaluation’s differences based on N.3229/04, which is

depicted into a) the Company’s books of taxation, the balance sheet accounts “revaluation’s differences

– Investment Grants” and b) the Company’s books, the balance sheet accounts “Retained Earnings”.

This particular decision is going to be confirmed during the next Regular General Meeting of

Shareholders where will be approved the Financial Statements of 2014. The Board of Directors proposal

(Amounts in €) 31/12/2014 31/12/2013

Other Related Parties 2.469.925 626.171

Total 2.469.925 626.171

Parent Company 14.410.084 16.917.959

Subsidiaries 2.248.733 -

Other Related Parties 8.271.256 8.902.180

Total 24.930.073 25.820.139

Subsidiaries 8.900 10.357

Associates 3.418.343 2.904.601

Other Related Parties 472.583 497.280

Total 3.899.826 3.412.238

Parent Company 17.223.190 6.000.060

Subsidiaries 60.839 43.845

Associates 7.794 1.105.389


Total 19.301.213 8.629.298

ALUMINIUM OF GREECE

Shales of goods

Purchases of goods

Sales of Services

Purchases of Services

(Amounts in €) 31/12/2014 31/12/2013

Subsidiaries - 3.613.423

Associates 2.282.618 2.776.514


Total 3.581.170 230.465

Total 74.668.029 83.426.249

Parent Company 7.884.715 -

Subsidiaries 1.294.981 19.896

Associates 125.000 1.086.874


Management remuneration and fringes 1.349.890 1.304.200

Total 12.086.829 4.511.521

ALUMINIUM OF GREECE

Customers / Debitors

Suppliers / Creditors


to the General Meeting of Shareholders will be the distribution of dividend to the Shareholder Company

with the amount of 1,475,000.00 € or 0.25 € / stock.

IX. POST BALANCE SHEET EVENTS

On 26/1/2015, was activated the extension of the Company’s goal that had been decided by the

Extraordinary General Meeting on 26/2/2014, as became an adding of secondary activity, the marketing

of chemical products for industrial use and especially the marketing of oxide, hydrogen and peroxide.

There are no other significant subsequent events, apart from the abovementioned, that relate to the

Company, which should be announced for the purposes of I.F.R.S.


D. ANNUAL FINANCIAL STATEMENTS

The attached Financial Statements are those approved by the Board of Directors of “ALUMINIUM OF

GREECE” at 17.03.2015 and have been published to the electronic address www.alhellas.gr.

It is noted that the published, in the press, brief financial data aim to provide the user with general

information but do not present a full picture of the Company’s financial results and position and cash

flows, according to International Accounting Standards.

The Financial Statements of the comparable periods 2013 and 2012 have adjusted due to change of the

Accounting Policies (note 3.9).


I. Statement of Financial Position

The notes on pages 69 to 99 are an integral part of these financial statements.

*The comparative Financial Statements of 2013 and 2012 have been adjusted retrospectively (note 3.9).

(Amounts in €) Note 31/12/2014 31/12/2013 31/12/2012

Tangible Assets 6.1 563.727.352 577.330.752 574.305.149

Intangible Assets 6.2 245.141 2.037.955 104.019

Investments in Subsidiary Companies 6.3 17.509.351 19.719.350 19.719.350

Investments in Associate Companies 6.4 500.000 500.000 500.000

Deferred Tax Receivables 6.5 12.067.798 14.347.914 35.567.874

Other Long-term Receivables 6.6 161.594 185.458 163.883

Non current assets 594.211.236 614.121.429 630.360.275

Total Stock 6.7 88.742.386 90.587.071 105.931.950

Trade and other receivables 6.8 79.961.329 62.374.254 78.992.782

Other receivables 6.9 99.727.544 101.754.769 81.039.850

Cash and cash equivalents 6.11 3.206.357 8.727.400 16.581.243

Current assets 271.637.616 263.443.493 282.545.825

Assets 865.848.852 877.564.922 912.906.101

Share capital 6.12 214.760.000 214.760.000 214.760.000

Fair value reserves 6.12 (957.591) (696.986) (759.222)

Other reserves 6.12 55.612.495 57.792.824 63.884.225

Retained earnings 6.12 142.732.982 127.766.832 168.754.321

EQUITY 412.147.886 399.622.671 446.639.325

Long-term debt 6.14 111.790.367 131.897.431 -

Derivatives 6.10 - 270.392 -

Deferred Tax Liability 6.5 40.543.922 39.754.273 33.489.455

Liabil ities for pension plans 6.13 14.686.187 14.196.138 11.203.963

Other long-term liabil ities 6.15 28.147.343 79.641.453 26.062.810

Provisions 6.16 12.651.024 15.473.450 18.872.475

Non-Current Liabilities 207.818.844 281.233.135 89.628.703

Trade and other payables 6.17 153.843.546 142.742.422 154.981.270

Tax payable 6.18 5.025.299 1.806.668 3.537.226

Short-term debt 6.14 48.128.071 31.865.073 163.344.169

Current portion of non-current liabi lities 6.14 20.865.500 5.655.000 30.595.273

Derivatives 6.10 1.294.042 426.594 759.222

Other payables 6.19 16.725.665 14.213.359 23.420.913

Current Liabilities 245.882.123 196.709.116 376.638.073

LIABILITIES 453.700.966 477.942.251 466.266.776

Liabilities & Equity 865.848.852 877.564.922 912.906.101

ALUMINIUM OF GREECE


II. Income Statement



(Amounts in €) Note 1/1-31/12/2014 1/1-31/12/2013

Sales 5.1, 5.2 462.567.354 428.213.330

Cost of sales 6.20 (415.985.797) (432.015.380)

Gross profit 46.581.556 (3.802.050)

Other operating income 6.22 19.657.318 40.089.354

Distribution expenses 6.21 (904.255) (1.084.934)

Administrative expenses 6.21 (11.712.643) (10.017.225)

Other operating expenses 6.24 (16.676.940) (16.141.674)

Earnings before interest and income tax 36.945.038 9.043.470

Financial income 6.23 6.478.346 4.205.405

Financial expenses 6.23 (21.955.302) (25.610.451)

Other financial results 6.24 (2.209.999) -

Profit before income tax 19.258.083 (12.361.576)

Income tax expense 6.26 (4.291.933) (28.625.913)

Profit for the period 14.966.150 (40.987.489)


Attributable to:

Equity holders of the parent 14.966.150 (40.987.489)

Earnings before income tax,financial results,depreciation and amortization (A) 65.001.361 36.186.144

Oper.Earnings before income tax,financial results,depreciation and amortization (B) 65.001.361 36.186.144

Earnings before interest and income tax 36.945.038 9.043.470



(A)Definition of line item: Earnings before income tax,financ results,depr&amort


Plus: Financial results 17.686.955 21.405.046

Plus: Depreciation 28.056.323 27.142.675

Earnings before income tax,financial results,depreciation and amortization 65.001.361 36.186.144

(B)Definition of line item: OperEarnings before income tax,financ.res,depr&amort


Plus: Financial results 17.686.955 21.405.046

Plus: Depreciation 28.056.323 27.142.675

Subtotal 65.001.361 36.186.144

Plus: Other operating results (ΙΙ) - -

Oper.Earnings before income tax,financial results,depreciation and amortization 65.001.361 36.186.144

ALUMINIUM OF GREECE

Summury of Results from continuing

operations


IΙΙ. Statement Of Comprehensive Income



(Amounts in €) 31/12/2014 31/12/2013

Net Profit/(Loss) For The Period 14.966.150 (40.987.489)

Amounts not reclassified to the income statement in subsequent period

Actuarial Gain / (Losses) (2.180.330) (6.091.401)

Deferred Tax From Actuarial Gain / (Losses) - -

Amounts reclassified to the income statement in subsequent period

Cash Flow Hedging Reserve (597.055) 62.236

Deferred Tax 336.451 -

Other Comprehensive Income: (2.440.935) (6.029.165)

Total Comprehensive Income For The Period 12.525.215 (47.016.654)

ALUMINIUM OF GREECE


IV. Company Statement of Changes in Equity



(Amounts in €)Share capital

Fair value

reserves

Other

reserves

Retained

earnings Total

Opening Balance 1st January 2012, according to IFRS

(as published) 214.760.000 (9.501.876) 59.825.059 191.053.881 456.137.064

Change In Equity

Transactions With Owners - - - - -

Net Profi t/(Loss ) For The Period - - - (22.299.560) (22.299.560)

Actuaria l Gain / (Loss es) - - 4.059.166 - 4.059.166

Cas h Flow Hedging Reserve - 8.742.654 - - 8.742.654

Total Comprehensive Income For The Period - 8.742.654 4.059.166 (22.299.560) (9.497.740)

Adjusted Balance 31st December 2012, according to IAS 8 214.760.000 (759.222) 63.884.225 168.754.321 446.639.324


Fair value

reserves

Other

reserves

Retained

earnings Total

Opening Balance 1st January 2013, according to IAS 8 214.760.000 (759.222) 63.884.225 168.754.321 446.639.324

Change In Equity


Net Profi t/(Loss ) For The Period - - - (40.987.489) (40.987.489)

Cas h Flow Hedging Reserve - 62.236 - - 62.236

Actuaria l Gain / (Loss es) - - (6.091.401) - (6.091.401)

Total Comprehensive Income For The Period - 62.236 (6.091.401) (40.987.489) (47.016.654)

Adjusted Balance 31st December 2013, according to IAS 8 214.760.000 (696.986) 57.792.824 127.766.832 399.622.671


Fair value

reserves

Other

reserves

Retained

earnings Total

Opening Balance 1st January 2014,according to IFRS

(as published) 214.760.000 (696.986) 57.792.824 127.766.832 399.622.671

Change In Equity


Net Profi t/(Loss ) For The Period - - - 14.966.150 14.966.150

Cas h Flow Hedging Reserve - (597.055) - - (597.055)

Deferred Tax From Actuaria l Gain / (Loss es) - 336.451 - - 336.451

Actuaria l Gain / (Loss es) - - (2.180.330) - (2.180.330)

Total Comprehensive Income For The Period - (260.605) (2.180.330) 14.966.150 12.525.215

Closing Balance 31/12/2014 according to IFRS 214.760.000 (957.591) 55.612.495 142.732.982 412.147.886

ALUMINIUM OF GREECE

ALUMINIUM OF GREECE


V. Cash Flow Statement



(Amounts in €) Note 1/1-31/12/2014 1/1-31/12/2013

Cash flows from operating activities 6.27 17.271.603 33.843.639

Interest paid (20.549.554) (26.282.059)

Taxes paid (442.858) (1.141.136)

Net Cash flows continuing operating activities (3.720.810) 6.420.444

Net Cash flow from continuing investing activities

Purchases of tangible assets 6.1 (16.515.219) (31.040.250)

Purchases of intangible assets 6.2 (385) (1.969.612)

Sale of tangible assets 6.1 - 50

Acquisition of associates - (250.000)

Acquisition /Sale of subsidiaries (less cash) - (1.945.000)

Interest received 142.114 2.120.744

Grants received - 7.024.872

Other cash flows from investing activities 23.864 (21.575)

Net Cash flow from continuing investing activities (16.349.626) (26.080.771)

Net Cash flow continuing financing activities

Return of share capital to shareholders - 5.733.150

Proceeds from borrowings 20.204.394 11.728.334

Repayments of borrowings (5.655.000) (5.655.000)

Net Cash flow continuing financing activities 14.549.394 11.806.484

Net (decrease)/increase in cash and cash equivalents (5.521.042) (7.853.843)

Cash and cash equivalents at beginning of period 8.727.400 16.581.243

Net cash at the end of the period 3.206.357 8.727.400

ALUMINIUM OF GREECE


E. NOTES ON THE FINANCIAL STATEMENTS

1. General Information

“ALUMINIUM OF GREECE” is located at the Amarousion Municipality (8 Artemidos Str., Marousi, P.C. 151

25).

The Company is registered in the Athens Prefecture - East Sector, with Company’s Registration Number

59413/01 ΑΤ/Β/05/228 (07). The General Commercial Register number is: 6550901000.

The company’s website is www.alhellas.gr

The financial statements, for the period which has ended 31/12/2014 (including the syncretic elements

for the period which has ended 31/12/2013), has been approved for publication by the Board of

Directors of the company at 17 March 2015 and are pending definitive approval by the Annual General

Shareholders’ Meeting.

1.2 Company’s purpose

The company’s purpose, according to article 2 of the Articles of Association, is the production and

construction of alumina and aluminium in Greece and their trade in any country, the production and

trade of any source of energy as well as the purchase and trade of Greenhouse Gas Emission Allowances

in Greece and abroad and the provision of services.

Moreover, the company has as a purpose the research, extraction and process of any ore material and

metal in Greece and their trade in any country.

The construction and operation of plumbing, sewerage and other related facilities to serve the purposes

of the Company and / or other physical and / or legal persons who cooperate with it and whose facilities

are adjacent to those of ALUMINIUM OF GREECE.

The production and sale of steam, water (deionized indicative, fire, etc.) as well as the availability of

industrial and potable water to natural and / or legal persons who cooperate with the Company and

whose premises adjacent to those of the Company, as well as the provision of services related to the

above physical and / or legal entities.

The company, in order to achieve the above and in a more general manner, has the right to acquire

licenses or metal research and exploitation, any grants, to acquire, lease and establish, shape and

exploit mines and pits, establish, acquire, lease, and develop factories and industrial branches, as well as

any kind of real estate or equipment. To acquire, to take, to deposit, set to action, exploit and grant

patent diplomas, and diploma licenses, industrial methods and signs. To acquire, lease, develop, and

exploit rural and forest areas, as well services and land and sea transport businesses, an in general do

anything that might contribute in the achieving its purpose.

The company may also proceed to:


a) Construction and exploitation of electricity production stations as well as the trade of electricity in

Greece and abroad. For this purpose the company has begun utility studies of production processes,

exploitation of electricity production stations and Heat of any kind as well as studies of trade exploitation

of electricity in Greece and abroad. The company invests and participates in investments, constructs,

operates and exploits stations and electricity and Heat plants with the purpose to trade in Greece and

abroad.

b) The supply of services to third parties in relation to study, production and exploitation of

electricity.

c) Acquisition, storage, vaporization, transportation, distribution and transferring to third parties

Natural Gas (Liquefied or not) that origins from domestic deposits or imported from abroad and

generally participating in any kind of transaction related to Natural Gas (Liquefied or not).

The company may also participate, for similar purposes, in any form, in any underlying or future

commendation of a company of any kind, with any purpose, in either domestic or foreign soil, to

establish subsidiaries and to enter trusts of any kind, in either domestic or foreign soil, to cooperate in

any way with either physical or legal entities that pursue similar purposes or coherent to those of the

company.

Moreover, the company is capable of supplying services related to market research, analyses of

investment programs, studies and designs, entrustment, supervision and management, risk

management and strategic programming, development and organization of any consulting company in

any of the related sectors of production and metal trade, energy and related activities.

2. Basis for preparation of the financial statements

The consolidated financial statements of ALUMINIUM OF GREECE as of December 31st 2014 covering

the entire 2014 fiscal year, have been compiled based on the historic cost principle as is amended by the

readjustment of specific asset and liability items into market values, the going concern principle and are

in accordance with the International Financial Reporting Standards (IFRS) that have been issued by the

International Accounting Standards Board (IASB) and their interpretations that have been issued by the

International Financial Reporting Interpretations Committee (IFRIC) of the IASB. The accompanying

standalone financial statements are compiled buy demand of the statutory law 2190/1920.

According to the IFRS, the preparation of the Financial Statements requires estimations during the

application of the company’s accounting principles. Important admissions are presented wherever it has

been judged appropriate.

The reporting currency is Euro (currency of the home country ALUMINIUM OF GREECE) and all the

amounts depicted in euro, except where stated otherwise.


3. Basic accounting principles

The accounting principles, applied by the Company for the reporting period are consistent with the

accounting principles applied for the fiscal year 2013.

3.1 New and amended accounting standards and interpretations of IFRS

New Standards, Interpretations, Revisions and Amendments to existing Standards that are

effective and have been adopted by the European Union

The following amendments and interpretations of the IFRS have been issued by IASB and their

application is mandatory from or after 01/01/2014.

The most important standards and interpretations are mentioned bellow:

IFRS 10 “Consolidated Financial Statements”, IFRS 11 “Joint Arrangements” and IFRS 12

“Disclosure of Interests in Other Entities”, IAS 27 “Separate Financial Statements” and IAS

28 “Investments in Associates and Joint Ventures” (effective for annual periods starting on

or after 01/01/2014)

In May 2011, IASB issued three new Standards, namely IFRS 10, IFRS 11 and IFRS 12. IFRS 10

“Consolidated Financial Statements” sets out a new consolidation method, defining control as the basis

under consolidation of all types of entities. IFRS 10 supersedes IAS 27 “Consolidated and Separate

Financial Statements” and SIC 12 “Consolidation — Special Purpose Entities”. IFRS 11 “Joint

Arrangements” sets out the principles regarding financial reporting of joint arrangements participants.

IFRS 11 supersedes IAS 31 “Interests in Joint Ventures” and SIC 13 “Jointly Controlled Entities – Non-

Monetary Contributions by Venturers”. IFRS 12 “Disclosure of Interests in Other Entities” unites,

improves and supersedes disclosure requirements for all forms of interests in subsidiaries, under

common audit, associates and non-consolidated entities. As a result of these new standards, IASB has

also issued the revised IAS 27 entitled IAS 27 “Separate Financial Statements” and revised IAS 28

entitled IAS 28 “Investments in Associates and Joint Ventures”.

Transition Guidance: Consolidated Financial Statements, Joint Arrangements and Disclosure

of Interests in Other Entities (Amendments to IFRS 10, IFRS 11 and IFRS 12) (effective for

annual periods starting on or after 01/01/2014)

In June 2012, IASB issued this Guidance to clarify the transition provisions of IFRS 10. The amendments

also provide additional accommodation during the transition to IFRS 10, IFRS 11 Joint Arrangements and

IFRS 12 Disclosure of Interests in Other Entities, limiting the requirements to provide adjusted

comparative information to only the preceding comparative period. Furthermore, in respect to the


disclosures relating to the unconsolidated entities, the amendments take away the requirement to

present comparative information.

Investment Entities (Amendments to IFRS 10, IFRS 12 and IAS 27) (effective for annual

periods starting on or after 01/01/2014)

In October 2012, IASB issued amendments to IFRS 10, IFRS 12 and IAS 27. The amendments apply to a

particular class of business that qualifies as investment entities. The IASB uses the term ‘investment

entity’ to refer to an entity sole business purpose is to invest funds solely for returns from capital

appreciation, investment income or both. An investment entity must evaluate the return of its

investments on a fair value basis. Such entities could include private equity organizations, venture capital

organizations, pension funds, sovereign wealth funds and other investment funds. The Investment

Entities amendments provide an exception to the consolidation requirements under IFRS 10 and require

investment entities to measure particular subsidiaries at fair value through profit or loss, rather than

consolidate them while making the required disclosures.

Amendments to IAS 32 “Financial Instruments: Presentation” – Offsetting financial assets

and financial liabilities (effective for annual periods starting on or after 01/01/2014)

In December 2011, IASB issued amendments to IAS 32 “Financial Instruments: Presentation”, which

provide clarification on some requirements for offsetting financial assets and liabilities in the Statement

of Financial Position. The amendments affect the Company’s Financial Statements.

Amendment to IAS 36 “Impairment of Assets” - Recoverable Amount Disclosures for Non-

Financial Assets (effective for annual periods starting on or after 01/01/2014)

In May 2013, IASB issued amendments to IAS 36 “Impairment of Assets”. These narrow-scope

amendments address the disclosure of information about the recoverable amount of impaired assets if

that amount is based on fair value less costs of disposal. The amendment does not affect the Company’s


Amendments to IAS 39 “Financial Instruments: Recognition and Measurement” - Novation

of Derivatives and Continuation of Hedge Accounting (effective for annual periods starting

on or after 01/01/2014)

In June 2013, IASB issued narrow-scope amendments to IAS 39 “Financial Instruments: Recognition and

Measurement”. The purpose of the amendments is to introduce a limited scope exception in respect to

the suspension of accounting setting off, as per IAS 39. In particular, it allows hedge accounting to

continue in a situation where a derivative, which has been designated as a hedging instrument, is


novated to effect clearing with a central counterparty as a result of laws or regulation, if specific

conditions are met. Similar relief will be included in IFRS 9 “Financial Instruments”. The amendments do

not affect the Company’s Financial Statements.

IFRIC 21 “Levies” (effective for annual periods starting on or after 01/01/2014)

In May 2013, the IASB issued IFRIC 21. IFRIC 21 provides guidance on when a company recognizes a

liability for a levy imposed by the state in its Financial Statements. IFRIC 21 is an interpretation of IAS

37 “Provisions, Contingent Liabilities and Contingent Assets”. IAS 37 sets out criteria for the recognition

of a liability, one of which is the present obligation resulting from a past event, known as an obligating

event. This interpretation indicates that the obligating event is the activity that triggers the payment of

the levy in accordance with the relevant legislation. The amendments do not affect the Company’s


New Standards and Interpretations that have not been applied yet or have not been

adopted by the European Union

Τhe following new Standards, Revised Standards as well as the following Interpretations to the existing

Standards have been publicized but have not taken effect yet or have not been adopted by the

European Union. In particular:

IFRS 9 “Financial Instruments” (effective for annual periods starting on or after

01/01/2018)

In July 2014, the IAB issued the final version of IFRS 9. This version brings together the classification

and measurement, impairment and hedge accounting models and presents a new expected loss

impairment model and limited amendments to classification and measurement for financial assets. The

Company will examine the impact of the above on its Financial Statements, though it is not expected to

have any. The above have not been adopted by the European Union.

IFRS 14 “Regulatory Deferral Accounts” (effective for annual periods starting on or after

01/01/2016)

In January 2014, the IASB issued a new standard, IFRS 14. The aim of this interim Standard is to

enhance the comparability of financial reporting by entities that are engaged in rate-regulated activities.

Many countries have industry sectors that are subject to rate regulation, whereby governments regulate

the supply and pricing of particular types of activity by private entities. The Company will examine the

impact of the above on its Financial Statements, though it is not expected to have any. The above have

not been adopted by the European Union.


IFRS 15 “Revenue from Contracts with Customers” (effective for annual periods starting on

or after 01/01/2017)

In May 2014, the IASB issued a new standard, IFRS 15. The Standard fully converges with the

requirements for the recognition of revenue in both IFRS and US GAAP. The new standard will

supersede IAS 11 “Construction Contracts”, IAS 18 “Revenue” and several revenue related

interpretations. The Company will examine the impact of the above on its Financial Statements, though

it is not expected to have any. The above have not been adopted by the European Union.

Annual Improvements cycle 2010-2012 (effective for annual periods starting on or after

01/07/2014)

In December 2013, the IASB issued Annual Improvements to IFRSs 2010-2012 Cycle, a collection of

amendments to IFRSs, in response to eight issues addressed during the 2010-2012 cycle. The

amendments are effective for annual periods beginning on or after 1 July 2014, although entities are

permitted to apply them earlier. The issues included in this cycle are the following: IFRS 2: Definition of

'vesting condition', IFRS 3: Accounting for contingent consideration in a business combination, IFRS 8:

Aggregation of operating segments, IFRS 8: Reconciliation of the total of the reportable segments'

assets to the entity's assets, IFRS 13: Short-term receivables and payables, IAS 7: Interest paid that is

capitalised, IAS 16/IAS 38: Revaluation method—proportionate restatement of accumulated depreciation

and IAS 24: Key management personnel. The Company will examine the impact of the above on its

consolidated/separate Financial Statements. The above have been adopted by the European Union at

December 2014.


01/07/2014)

In December 2013, the IASB issued Annual Improvements to IFRSs 2011-2013 Cycle, a collection of

amendments to IFRSs, in response to four issues addressed during the 2011-2013 cycle.

The amendments are effective for annual periods beginning on or after 1 July 2014, although entities

are permitted to apply them earlier. The issues included in this cycle are the following: IFRS 1: Meaning

of effective IFRSs, IFRS 3: Scope exceptions for joint ventures; IFRS 13: Scope of paragraph 52

(portfolio exception); and IAS 40: Clarifying the interrelationship of IFRS 3 Business Combinations and

IAS 40 Investment Property when classifying property as investment property or owner-occupied

property. The Company will examine the impact of the above on its Financial Statements, though it is

not expected to have any. The above have been adopted by the European Union at December 2014.



01/01/2016)

In September 2014, the IASB issued Annual Improvements to IFRSs 2012-2012 Cycle, a collection of

amendments to IFRSs, in response to four issues addressed during the 2012-2014 cycle. The

amendments are effective for annual periods beginning on or after 1 January 2016, although entities are

permitted to apply them earlier. The issues included in this cycle are the following: IFRS 5: Changes in

methods of disposal, IFRS 7: Servicing Contracts and Applicability of the amendments to IFRS 7 to

Condensed Interim Financial Statements, IAS 19: Discount rate: regional market, and IAS 34: Disclosure

of information elsewhere in the interim financial report. The Company will examine the impact of the

above on its Financial Statements, though it is not expected to have any one. The above have not been

adopted by the European Union.

Defined Benefit Plans: Employee Contributions (Amendments to IAS 19) (effective for


In November 2013, the IASB published narrow scope amendments to IAS 19 “Employee Benefits”

entitled Defined Benefit Plans: Employee Contributions (Amendments to IAS 19). The narrow scope

amendments apply to contributions from employees or third parties to defined benefit plans. The

objective of the amendments is to simplify the accounting for contributions that are independent of the

number of years of employee service, for example, employee contributions that are calculated according

to a fixed percentage of salary. The Company will examine the impact of the above on its Financial

Statements, though it is not expected to have any. The above have been adopted by the European

Union.

Amendment to IAS 27: “Equity Method in Separate Financial Statements» (effective for


In August 2014, the IASB published narrow scope amendments to IAS 27 “Equity Method in Separate

Financial Statements “. Under the amendments, entities are permitted to use the equity method to

account for investments in subsidiaries, joint ventures and associates in their separate Financial

Statements – an option that was not effective prior to the issuance of the current amendments. The

Company will examine the impact of the above on its Financial Statements, though it is not expected to

have any . The above have not been adopted by the European Union.

Amendments to IFRS 10 and IAS 28: “Sale or Contribution of Assets between an Investor

and its Associate or Joint Venture” (effective for annual periods starting on or after

01/01/2016)


In September 2014, the IASB published narrow scope amendments to IFRS 10 and IAS 28 “Sale or

Contribution of Assets between an Investor and its Associate or Joint Venture”. The amendments will be

applied by entities prospectively in respect of sales or contribution of assets performed in the annual

periods starting on or after 01/01/2016. Earlier application is permitted, given that this fact is relatively

disclosed in the financial Statements. The Company will examine the impact of the above on its Financial

Statements, though it is not expected to have any. The above have not been adopted by the European

Union.

Amendments to IAS 16 and IAS 38: Clarification of Acceptable Methods of Depreciation and

Amortisation (effective for annual periods starting on or after 01/01/2016)

In May 2014, the IASB published amendments to IAS 16 and IAS 38. IAS 16 and IAS 38 both establish

the principle for the basis of depreciation and amortisation as being the expected pattern of

consumption of the future economic benefits of an asset. The IASB has clarified that the use of

revenue-based methods to calculate the depreciation of an asset is not appropriate because revenue

generated by an activity that includes the use of an asset generally reflects factors other than the

consumption of the economic benefits embodied in the asset. The Company will examine the impact of

the above on its Financial Statements, though it is not expected to have any. The above have not been


Amendments to IFRS 11: Accounting for Acquisitions of Interests in Joint Operations

(effective for annual periods starting on or after 01/01/2016)

In May 2014, the IASB issued amendments to IFRS 11. The amendments add new guidance on how to

account for the acquisition of an interest in a joint operation that constitutes a business and specify the

appropriate accounting treatment for such acquisitions. The Company will examine the impact of the

above on its Financial Statements, though it is not expected to have any. The above have not been


Amendments to IAS 1: « Disclosures Initiative» (effective for annual periods starting on or

after 01/01/2016)

In December 2014, the IASB issued amendments to IAS 1.The aforementioned amendments address

settling the issues pertaining to the effective presentation and disclosure requirements as well as the

potential of entities to exercise judgment under the preparation of financial statements. The Company

will examine the impact of the above on its Financial Statements, though it is not expected to have any.

The above have not been adopted by the European Union.


Amendments to IFRS 10, IFRS 12 and IAS 28: “Investment Entities: Applying the

Consolidated Exception” (effective for annual periods starting on or after 01/01/2016)

In December 2014, the IASB published narrow scope amendments to IFRS 10, IFRS 11 and IAS 28. The

aforementioned amendments introduce explanation regarding accounting requirements for investment

entities, while providing exemptions in particular cases, which decrease the costs related to the

implementation of the Standards. The Company will examine the impact of the above on its Financial

Statements, though it is not expected to have any. The above have not been adopted by the European

Union.

3.2 Consolidation

Subsidiaries: All the companies that are managed or controlled, directly or indirectly, by another

company (parent) either through the majority of voting rights or through its dependence on the know-

how provided from the Company.

The acquisition of a subsidiary by the Company is accounted for using the purchase method. The

acquisition cost of a subsidiary is the fair value of the assets given as consideration, the shares issued

and the liabilities undertaken on the date of the acquisition plus any costs directly associated with the

transaction. The individual assets, liabilities and contingent liabilities that are acquired during a business

combination are valued during the acquisition at their fair values regardless of the participation

percentage. The acquisition cost over and above the fair value of the individual assets acquired is

booked as goodwill. If the total cost of the acquisition is lower than the fair value of the individual assets

acquired, the difference is immediately transferred to the income statement.

The Company, in the basis of IAS 27 < Consolidated and Separate Financial Statements>,

has chosen to implement the exemption of consolidation and draws only separate financial

statements.

The financial statements of the Company ALUMINIUM OF GREECE are included in the consolidated

financial statements of the Group MYTILINEOS SA, that is located in Greece and owns 100% of

ALUMINIUM OF GREECE and are consolidated under the method of full consolidation. The reader, who

wants to have access to the financial statements, can visit the site www.mytilineos.gr.

Associates: Associates are companies on which the Company can exercise significant influence but not

“control” and which do not fulfill the conditions to be classified as subsidiaries or joint ventures. The

assumptions used by the Company imply that holding a percentage between 20% and 50% of a

company’s voting rights suggests significant influence on the company. Investments in associates are


initially recognized at cost and are subsequently valued using the Equity method. At the end of each

period, the cost of acquisition is increased by the Company’s share in the associates’ net assets change

and is decreased by the dividends received from the associates.

Any goodwill arising from acquiring associates is contained in the cost of acquisition. Whether any

impairment of this goodwill occurs, this impairment decreases the cost of acquisition by equal charge in

the income statement of the period.

Unrealized profits from transactions between the Company and its associates are eliminated according to

the Company’s percentage ownership in the associates. Unrealized losses are eliminated, except if the

transaction provides indications of impairment of the transferred asset. The accounting principles of the

associates have been adjusted to be in conformity to the ones adopted by the Company.

3.3 Significant accounting judgments, estimates and assumptions

The preparation of financial statements in accordance with IFRS requires management to make

judgments, estimates and assumptions that affect the reported amounts of assets and liabilities, as well

as the disclosure of contingent assets and liabilities at the date of the financial statements and the

reported amounts of revenue and expenses during the reporting period. Actual results could differ from

those estimates.

Estimates and judgments are continually evaluated and are based on historical experience and other

factors, including expectations of future events that are believed to be reasonable under the

circumstances.

3.3.1 Accounting decisions

During the implementation procedure for accounting policies, decisions are made by the management,

which relate to the following:

• Classification of investments

Management classifies Financial assets in the scope of IAS 39 based on their nature and their

characteristics at the following four categories:

• financial assets at fair value through profit and loss,

• loans and receivables,

• held-to-maturity investments, and

• available-for-sale investments.

Financial assets are recognized initially at cost, which represents their fair value (plus, in certain cases,

directly attributable transaction costs). The Company determines the classification of its financial assets


after initial recognition and, where allowed and appropriate, re-evaluates this designation at each

financial year-end.

(i) Financial assets at fair value through profit and loss: Financial assets are classified as held for

trading if they are acquired for the purpose of selling in the near term. Gains or losses on investments

held for trading are recognized in income.

(ii) Loans and receivables: Loans and receivables which are generated form the Company’s

operations (and are beyond the Company’s normal credit terms) are carried at amortized cost using the

effective interest method. Gains and losses are recognized in the income statement when the loans and

receivables are derecognized or impaired, as well as through the amortization process.

(iii) Held-to-maturity investments: Financial assets with fixed or determinable payments and fixed

maturity are classified as held-to-maturity when the Company has the positive intention and ability to

hold to maturity. Investments intended to be held for an undefined period are not included in this

classification. Held-to-maturity investments are carried at amortized cost using the effective interest

method. For investments carried at amortized cost, gains and losses are recognized in income when the

investments are derecognized or impaired, as well as through the amortization process.

• Recoverability of receivables accounts

Short term receivables are presented in their nominal value, net of provisions for potential non collectible

accounts, while long-term receivables (balances that deviate from the normal credit terms) are

measured at amortized cost based on the effective interest rate method.

At each balance sheet date all potentially uncollectible accounts are assessed individually for purposes of

determining the appropriate allowance for doubtful accounts. The balance of such allowance for doubtful

accounts is appropriately adjusted at each balance sheet date in order to reflect the possible risks. Any

amount written-off with respect to customer account balances is charged against the existing allowance

for doubtful accounts. Any amount provided for in respect to customer account balances is charged in

the profit and loss statement.

• Impairment of inventories

Provision for slow moving, damaged or obsolete inventories is made when necessary. The impairments

at the net realizable value of inventories are charged in the profit and loss statement in the period that

occur.

• Classification of a lease as operating or financial.

Leases where all the risks and rewards of ownership are retained by the lessor are classified as

operating leases. Payments made under operating leases (net of any incentives received from the lessor)

are charged to the income statement on a straight-line basis over the period of the lease. Leases of

property, plant and equipment where the Company has substantially all the risks and rewards of

ownership are classified as finance leases.


3.3.2 Assumptions and estimations

The presentation of the value of specific assets and liabilities in the financial statements requires the use

of estimations that are based on assumptions relating to the values and conditions not known with

certainty during the compilation date of the financial statements. The Company continuously evaluates

the estimations it makes based on historical data, the research of specialized consultants, the trends and

methods considered appropriate for the estimation of specific conditions as well as estimations regarding

how the assumptions made may change in the future.

The accounting principles, applied by the Company for the reporting period are consistent with the

accounting principles applied for fiscal year 2013. In addition to the abovementioned and more

specifically for the Annual Financial Statements of 2014 the following are noted.

• Possible reductions in Goodwill

The Company test goodwill for impairment annually and whenever events or circumstances make it

more likely than not that an impairment may have occurred, such as a significant adverse change in the

business climate or a decision to sell or dispose of a reporting unit. Determining whether an impairment

has occurred requires valuation of the respective reporting unit, which we estimate using a discounted

cash flow method. When available and as appropriate, we use comparative market multiples to

corroborate discounted cash flow results. In applying this methodology, we rely on a number of factors,

including actual operating results, future business plans, economic projections and market data.

If this analysis indicates goodwill impaired, measuring the impairment requires a fair value estimate of

each identified tangible and intangible asset. In this case we supplement the cash flow approach

discussed above with independent appraisals, as appropriate.

We test other identified intangible assets with defined useful lives and subject to amortization by

comparing the carrying amount to the sum of undiscounted cash flows expected to be generated by the

asset. We test intangible assets with indefinite lives annually for impairment using a fair value method

such as discounted cash flows.

The Company tests annually whether goodwill has suffered any impairment, in accordance with the

accounting policy stated in note 3.10. The recoverable amounts of cash-generating units have been

determined based on value-in-use calculations, these calculation require the use of accounting

estimates.

• Budget of construction contracts

The treatment for income and expenses of a construction contract depends on whether the final result

of the contract can be reliably estimated. When the result of a construction contract can be estimated

reliably then all income and expenses related to the contract are recognized as such during the time

period of the contract. The Company uses the percentage of completion method to determine the

appropriate amount of income and expense to be recognized in each period. The percentage of


completion is calculated as the contracted cost realized over the total budgeted cost of construction for

each project.

• Income Tax

ALUMINIUM OF GREECE is subject to income taxes in numerous jurisdictions. Significant estimates are

required in determining the provision for income taxes. There are many transactions and calculations for

which the ultimate tax determination is uncertain during the ordinary course of business. The Company

recognizes liabilities for anticipated tax audit issues based on estimates of whether additional taxes will

be due. Where the final tax outcome of these matters is different from the amounts that were initially

recorded, such differences will impact the income tax and deferred tax provisions in the period in which

such determination is made.

• Provisions

Doubtful accounts are reported at the amounts likely to be recoverable based on historical experience of

customer default. As soon as it is learned that a particular account is subject to a risk over and above

the normal credit risk (e.g., low creditworthiness of customer, dispute as to the existence or the amount

of the claim, etc.), the account is analyzed and written down if circumstances indicate the receivable is

uncollectible. Provisions for environmental rehabilitation are reported at the amounts that are likely to be

claimed against the Company in order to settle the liability.

• Contingencies

The Company is involved in litigation and claims in the normal course of operations. Management is of

the opinion that any resulting settlements would not materially affect the financial position of the

Company as at December 31, 2014. However, the determination of contingent liabilities relating to the

litigation and claims is a complex process that involves judgments as to the outcomes and interpretation

of laws and regulations. Changes in the judgments or interpretations may result in an increase or

decrease in the Company’s contingent liabilities in the future.

3.4 Group Structure

The structure of the Group at 31/12/2014 is as follows:

Company

Participation

rate %

Consolidation

method Participation

ALUMINIUM OF GREECE - Maroussi Holding

DELPHI DISTOMON S.A. - Maroussi 100% - Direct

DESFINA SHIPPING COMPANY - Maroussi 100% - Direct

DESFINA MARINE - Marshall Islands 100% - Indirect

MYTILINEOS FINANCIAL PARTNERS S.A. - Luxembourg 25% - Direct


3.5 Significant information

During the reporting period, the Company proceeds to the following:

• DEPA and Gazprom Agreement

On 25/2/2014, the Ministry of Environment, Energy and Climate Change announced the agreement

between DEPA and Gazprom for the retroactive price discount for gas supplied by the latter, a discount

that will be passed to consumers.

The discount amounted to 15% over current prices that was valid until 25/02/2014 and had a

retrospective effect. The amount of discount for the Company was €6.1 millon for the period 1/7 –

31/12/2013.

The total discount is recorded in the ALUMINIUM OF GREECE results for the period 01.01.2014 –

31.12.2014.

• Law 4254/07.04.2014

The law 4254/07.04.2014 “Measures of support and development of Greek Economy referred to L.

4046/2012 and other provisions” defined arrangements in order to ensure the viability of the renewable

energy sources (RES) support mechanism, aimed at the consolidation of the special account referred to

in article 40 of law 2773/1999. In addition, the recommended settings are intended to help reduce the

cost of electricity for final consumers and the national economy. More specifically, the present law

consists of three main axes: (a) price adjustment to converge, as far as possible, the benefits from the

RES support mechanism at around the same level for all categories of producers, therefore being an

adjustment that aims, as far as possible, on similar yields between the several types of investment, b)

investor protection taking into account existing financing agreements and c) new tariffs to compensate

producers of electricity from RES and through RES and high efficiency Cogeneration Plants (HeCoGen),

compatible with the requirements of the national electrical system, which will contribute to reduction of

energy costs while at the same time ensuring reasonable returns.

In particular, Sub Paragraph IC 3 of the said law includes the following:

1. Within two (2) months from the entry into force of this law, the RES/HeCoGen producers shall issue a

credit note to provide discount:

a. 35% regarding energy from photovoltaic plants (except in cases of the "special program of

development of photovoltaic systems in buildings") and

b. 10% regarding energy from other RES and HeCoGens, in both cases (a) and (b) calculated on the

total value of energy sold in 2013.

2. On expiry of the period referred to in paragraph 1 and until issuance and delivery of the credit note

referred to in this paragraph, the obligation of LAGIE for the Interconnected System and HEDNO for the

Non Interconnected System, to pay to RES and HeCoGens producers the price for the volume of


electricity delivered from the month of entry into force of said Law and onwards, shall be suspended.

The General Secretariat of Public Revenues is hereby authorized to determine by decision the details

regarding the tax treatment of the transaction described in paragraph 1 and the present.

3. For RES and HeCoGen projects that issue the credit note pursuant to para. 1 the excise tax of L.

4093/2012, as amended and in force, is recalculated on the reduced, after the credit note discount,

proceeds from the sale of energy for the reference year 2013.

The above operation had no impact on results for the period 01/01 - 31/12/2014 as the Company

disputes the issue of credit invoice of l. 4254/2014 as ALUMINIUM OF GREECE believes that this action is

illegal and unconventional.

• Change of Company’s name

The extraordinary General Meeting of July 11, 2014 took the decision to change the name of the

Company to "ALUMINIUM OF GREECE INDUSTRIAL AND COMMERCIAL SA" and the distinctive title

"ALUMINIUM OF GREECE". The decision was registered into the General Electronic Commercial Registry

in August 25, 2014 with No. 108715.

• General Court of European Union decision

On 27/7/2011, the Greek Government, via the Ministry of Environment, Energy and Climate Change,

announced to ALUMINIUM OF GREECE, the decision of the European Commission finding the difference

between the energy sale price imposed on ALUMINIUM OF GREECE by PPC in application of the high

voltage regulated tariff (A-150) and the price arising from the application of the Contract of 1960 for the

period from January 2007 to March 2008, in application of a decision of interim measures of the Single-

Member First Instance Court of Athens claiming that the Contract of 1960 has not expired and ordering

the return of the tariffs to the framework of the said contract, discordant with the Community state aid

rules. The said difference between the two tariffs, the recovery of which is asked by the European

Commission with its above decision, amounts to €17.4 million plus interest (according to EU state aid

recovery rules and policies).

The arguments of the European Commission focus on the following:

i) Selective application of the “preferential tariffing” only for ALUMINIUM OF GREECE.

ii) The Commission believes that the seller (PPC) had no right to charge “reduced rates”. Taken into

account that PPC declined the extension of the 1960 Contract, there are reasonable grounds (for the

Commission) that the extension of the agreement secured an advantage given that it did not correspond

to the ‘usual rate” for the big industrial consumers.


iii) Finally, the commission considers that this tariffing method distorts competition and affects the

transactions between member states, because the preferential tariffing was used in a company active in

sectors whose products are widely traded among member states.

According to the Management, the EC decision on the recovery of the amount of € 17.4 million plus

interest by the Greek state, considered state aid, is based on the erroneous believe that the regulated

high voltage tariff (A150), as in force in the reference period of the decision (1/2007 – 3/2008) in the

Greek market, namely in a non-liberated electricity market in breach of the Community Legislation (in

particular Directive 2003/54/EC) in which PPC had a monopoly position, was a competitive, reasonable

electricity supply tariff (“market tariff”). As a consequence, the EC decision is based on the admission

that ALUMINIUM OF GREECE, by paying anything less than the said administratively regulated high-

voltage tariff that PPC as a monopoly and the Ministry of Development as a supervising and

administering authority practically imposed on their customers, received a kind of state aid which,

furthermore, positively affected its position compared to that of its competitors in the European market.

As acknowledged by the European Commission in the framework of the infringement procedure (No.

2195/2009), the regulated tariff A-150 should have been abolished with the inclusion of the 2nd energy

package (Directive 2003/54/EC) in order to promote the development of a competitive electricity market

and abolish the cross subsidies between consumers of even the same category, something which RAE

already stressed in 2007. Its imposition by PPC on ALUMINIUM OF GREECE with the expiry of the 1960

contract is not an indication of a seller’s behavior in a market economy but an abusive behavior of the

state monopoly taking advantage of its dominant position in order to increase its revenues based on a

state aid. If PPC accepted to negotiate with its customers (High-Voltage Connection where the tariffs

should have been deregulated on 1.7.2008), the rate charging ALUMINIUM OF GREECE with would be

determined in market and competition terms, as shown in RAE’s decisions, No 692/2011 and No

798/2011, a fact certainly leading to a lower tariff. Moreover, in the same period, ALUMINIUM OF

GREECE paid (in application of the decision of interim measures) a power rate higher than the average

power supply rate for the corresponding industries in the other member states and although the decision

acknowledges the fact that ALUMINIUM OF GREECE does not have a domestic competition, it

erroneously determines the “relevant market”, characterizing the tariff difference paid by ALUMINIUM

OF GREECE compared to the other industrial consumes as an illegal state aid.

According to the above, the Management deems that the rationale of the EC decision is a straw man,

erroneous and not adequately justified. On 6.10.2011, the ALUMINIUM OF GREECE brought the matter

before the General Court of the European Union asking for the annulment of the above decision.

The Arbitral Award before the Energy Regulator’s Arbitration Proceedings complies with the above

notion, as, although it concerns a different time-period, it accepted that the standard industrial tariff,


which PPC is trying to impose throughout the period of its dispute with ALUMINIUM OF GREECE, does

not constitute a market tariff.

PPC tried to enforce the aforementioned European Commission decision, through a payment order

issued by the Athens Court of First Instance (13601/2012), which was appealed by ALUMINIUM OF

GREECE. The Athens Court of First Instance, issued an injunction (no 857/2013) accepting company’s

petition for the suspension of the payment order’s enforcement and resolved (decision no. 860/2013)

that the issuance of a final decision on the appeal would be rendered after the decision of the General

Court of the European Union. Following that, PPC achieved to overturn the above injunction and

temporary ruling of the Court and tried again to enforce the payment order to ALUMINIUM OF GREECE.

In order to avoid further legal action before the Hellenic Courts, as well as to ensure that the Hellenic

Republic does not suffer any potential implications that it as a result of further delay in recovering the

amount of the alleged aid, ALUMINIUM OF GREECE has reached an agreement with PPC and paid the

total amount of € 20.56 million (€ 17.4 million plus interest). The remittance of said amount to PPC, as

per the provisions of the agreement signed between the parties, is conditional on the final decision of

the European Union’s General Court, thus being temporary and not indicative of the final outcome of

said case.

Moreover, the Management of the Company considers that there is a strong possibility for the

Company’s appeal against the EU decision, which was submitted to the competent European Court, to

be successful and, therefore, the “difference” of € 20.56 million (€ 17.4 million plus interest), referred to

in said decision, constitutes a contingent liability which is reasonably considered as unlikely to ultimately

constitute an actual liability. Consequently, following the reimbursement of the payments made by the

Company, no outflow of economic resources will actually take place.

On 04/06/2014, the EU General Court convened for the litigation of the foresaid case. On 08/10/2014, a

positive decision was delivered for ALUMINIUM OF GREECE. There is no impact on the Company’s


3.6 Conversion to foreign currency

a) Functional and presentation currency

The financial statements of the Company are measured using the currency of the primary economic

environment in which the entity operates (functional currency).

The financial statements of ALUMINIUM OF GREECE are presented in Euro (€), which is the operational

currency of the company and all of the subsidiaries.

b) Transactions and Balances


Transactions in foreign currency are converted in the operational currency using currency par values that

applied at the date of the transactions.

Profit or losses from currency differences that arise from such transactions and from the conversion of

the remaining balances with currency par values at year end are recognized in the income statement

under “other income/(expense)”, Currency differences arising from non-currency figures evaluated at fair

value , are considered as part of the fair value and therefore they are recognized the same way as fair

value .

3.7 Segment reporting

A business segment is defined as a group of assets and operations engaged in providing goods and

services which are subject to different risks and returns than those of other business segments. In

identifying its operating segments, management generally follows the Company's service lines, which

represent the main products and services provided by the Company. According to IFRS 8 – Operating

Segments each one of these operating segments is managed separately as each of these service lines

requires different technologies and other resources as well as marketing approaches.

A geographical segment is engaged in providing products or services within a particular economic

environment that are subject to risks and returns that are different from those of segments operating in

other economic environments.

3.8 Recognition of income and expenses

Income: Income includes the fair value of goods and services sold, net of Value Added Tax, discounts

and returns. Intercompany revenue within the Company is eliminated completely. The recognition of

revenue is done as follows:

- Sale of goods: Sales of goods are recognized when the Company transfers goods to customers,

the goods are accepted by them and the collection of the resulting claim is reasonably assured.

- Provision of services: Income from the provision of services is accounted for in the period

during which the services are rendered, based on the stage of completion of the service in relation to

the total services to be rendered.

- Income Interest: Interest income is recognized on a time proportion basis using the effective

interest rate. When there is impairment of assets, their book value is reduced to their recoverable

amount which is the present value of the expected future cash flows discounted using the initial real

interest rate. Interest is then booked using the same interest rate calculated on the impaired (new book)

value.


- Income from assigned rights for use of tangible assets (Compensative benefits): The

fair value of the assigned rights is recognized as deferred income and is amortized through the income

statement according to the completion of the contracts for which these rights have been assigned.

When a receivable is impaired, the Company reduces the carrying amount to the amount expected to be

recovered, being the estimated future cash flow discounted at the original effective interest rate of the

instrument, and continues unwinding the discount as interest income. Interest income on impaired loans

is recognized using the original effective interest rate.

- Dividends: Dividends are accounted for as revenue when the right to receive payment is

established.

Expenses: Expenses are recognized in the results on an accrued basis. The payments made for

operating leases are transferred to the results as an expense, during the time the lease is used. Interest

expenses are recognized on an accrued basis.

Cost of capital: Borrowing liabilities are recorded initially on fair value, where bank expenses and

commissions are included.

The company management assumes that the interest rates in relation to the contracted loans equal the

current fair rates of the market and as a result, there is no need for any readjustment to the value that

they are presented. Any difference that may arise between the collection (net from all transaction costs)

and the repayment value is recorded in the income statement during the borrowing period.

Loan liabilities are categorized as short-term except from cases where the company has the right to

postpone the repayment of the liability for at least 12 months after the balance sheet date.

3.9 Prior year financial statements’ restatement

Accounting policy change

During the fiscal year 2014, the Company, changed its accounting policy concerning the assessment of

cash and cash equivalents, as stated in paragraph 47 of IAS 7. In particular, the Company, reassessed

these elements as to include in cash and cash equivalents of Statement of Cash Flows, the balance of

cash deposits and cash at hand (cash registry) as stated in the Statement of Financial Position.

Based on the above, the Company includes in cash and cash equivalents, of Statement of Cash Flows,

the balance of cash deposits and cash at hand (cash registry), as stated by IAS 8, according to which an

entity can make an accounting policy change if this change results to more relevant and reliable


information about the effects of transactions, on the entity's financial position, financial performance, or

cash flows.

Prior period accounting error

On 17/12/2014, ADMIE sent briefing notes to ALUMINIUM OF GREECE which regarded the issuance of a

credit invoice relating to the Excise Tax (ET) for Gas consumed by the Combined Heat and Power (CHP)

Cogeneration Plant for the period from 28/11/2012 until 31/10/2013 (henceforth the “Period”) which

amounts to €17.4 million (see note 4.36.2, Contingent Liabilities). Regarding the above mentioned, The

Company recognized in the Financial Statements of the years 2012 and 2013, a liability (deducted from

ADMIE’s receivable balance) of € 9.1 million, receivables of €2.8 million and cost of €6.3 million.

During the Period, ADMIE would issue fee notes to the Company, pursuant to which the latter was

compensated for the ET charged for the total amount of Natural Gas consumed during the CHP process,

thus corresponding to the station’s generation of both useful heat and electricity. Moreover, based on

the Private Agreement between the Company and LAGIE, the final settlement of the compensatory price

for High-Efficiency electricity dispatched to the system was to take place following the issuance of the

relevant Ministerial Decision, in accordance with the provisions of Law 4001/2011. However, ADMIE’s

issuance of a briefing note for the return of said Natural Gas SCT constitutes a divergence by ADMIE

from the usual interpretation and application of the relevant Legislative and Regulatory provisions,

especially considering that: (a) there has been no change in the legal framework or the specific Codes

dictating the recovery of the Natural Gas ET by power producers (including HE-CHP) and (b ) the

relevant Ministerial Decision according to which the High Efficiency CHP station would receive a final

price for the high-efficiency electricity dispatched to the system, according to the provisions of the

"Supplementary Agreement for Transactions relating to Electricity from the Dispatchable High-Efficiency

CHP Station” (Government Gazette B’ 3108/23.11.2012), has not been issued. For the purpose of

portraying this divergence in the Subsidiary’s financial statements and for the section of the Natural Gas

ΕT reimbursement which corresponded to consumption for the generation of thermal energy, this

divergence constitutes a prior period accounting error, as defined in IAS 8, particularly as regards

mistakes which “include the effects of…misinterpretations of facts”, given that ADMIE’s aforementioned

divergence as regards the compensation for the Natural Gas ΕT for CHP is accounted for as such.

Moreover, on the basis of the above mentioned regarding said ADMIE briefing notes, for the period from

28/11/2012 to 31/10/2013, the Subsidiary also recognized for the rest of the months of 2013 (i.e.

November and December), a liability (deducted also from ADMIE’s receivable balance) for the part of the

Natural Gas ET which corresponded to consumptions made in generating useful heat (steam for the


Alumina production process) amount to €1.6 million, a receivable of €0.55 million and cost of €1.05

million.

Consequently, the effect of returning the Natural Gas ΕT which corresponded to consumptions for the

generation of useful heat steam for the Alumina production process), on the Company’s financial

statements is as follows:

Period 2013 As published Adjusted Effect due to IAS 8

Trade and other receivables 73.089.900 62.374.254 (10.715.646)

Other receivables 98.386.981 101.754.769 3.367.788

Current assets 270.791.351 263.443.493 (7.347.858)

Assets 884.912.780 877.564.922 (7.347.858)

Reta ined earnings 135.114.691 127.766.832 (7.347.859)

Equity 406.970.529 399.622.671 (7.347.858)

Liabilities & Equity 884.912.780 877.564.922 (7.347.858)

Income Statement


Gross Profit 2.792.581 (3.802.050) (6.594.631)

Earnings before Interest and Income Tax 15.638.102 9.043.470 (6.594.632)

Earnings before Tax (5.766.945) (12.361.576) (6.594.631)

Earnings after Tax (34.392.857) (40.987.489) (6.594.632)

Oper.Earnings before income tax,financial

results,depreciation and amortization 42.780.776 36.186.144 (6.594.632)

Statement of Comprehensive Income


Net Profit/(Loss) For The Period (34.392.857) (40.987.489) (6.594.632)

Total Comprehensive Income For The Period (40.422.022) (47.016.654) (6.594.632)

Statement of Changes In Equity


Open Balance 1st January 2013 447.392.551 446.639.324 (753.227)

Net Profi t for the Period (34.392.857) (40.987.489) (6.594.632)

Total Comprehensive Income For The Period (40.422.022) (47.016.654) (6.594.632)

Closing Balance 31st December 2013 406.970.529 399.622.671 (7.347.858)

Statement of Financial Position

PERIOD 2012 As published Adjusted Effect due to IAS 8

Trade and other receivables 79.746.009 78.992.782 (753.227)

Other receivables 81.039.850 81.039.850 -

Current assets 283.299.052 282.545.825 (753.227)

Assets 913.659.327 912.906.101 (753.227)

Reta ined earnings 169.507.548 168.754.321 (753.227)

Equity 447.392.551 446.639.325 (753.227)

Liabilities & Equity 913.659.327 912.906.101 (753.227)


3.10 Intangible assets

An intangible asset is valued initially at historical cost. After their initial recognition, intangible assets are

measured at historical cost less accumulated depreciation and any other impairment loss that may have

occurred.

The expenses related to the maintenance of computer software are recognized in the period expenses in

which they occur.

The useful life of intangible assets is either limited or infinite according to their nature. Intangibles assets

with a limited useful life are amortized during their useful life and their amortization begins when the

asset is available for use and is recognized in the income statement and classified under operational

expenses.

The period and the amortization method are re-evaluated at least at the end of each period, if the

expected useful life or the expected rate of consumption of the future economic benefits, which are

embedded in the asset, the amortization period or method, are altered respectively. Such changes are

considered as changes in accounting estimates.

Software: Software licenses are valued in cost of acquisition less accumulated depreciation.

Depreciation is calculated using the straight-line method during the assets’ useful life that range from 1

to 5 years.

Research and Development Expenses: Research and Development expenditures are recognized as

expenses when they are realized. The expenses which arise from the developing programs (related to

the design and the test of new or improved products) are capitalized if it is possible to produced future

economic benefit. The other development expenditures are booked as an expense in the results when

they are realized. Previous years’ development expenditures recognized as expenses, cannot be

capitalized in the future fiscal years. The capitalized development expenses are depreciated from the

beginning of the product’s economic life using the straight line method during the period of the product’s

future economic benefits.

Legal rights to explore mines: The legal rights to explore mines concern rights that the Company has

acquired mining mineral reserves in several geographical areas. In cost of the mining rights, apart from

nominal value of the rights, any cost that relates to the initial evaluation of the rehabilitation cost of the

area where work has been done, the commitment of the Company either during the acquirement of the

right or as a result of its use for a certain time period.


Land Stripping & Restoration expenses: Land Stripping & Restoration expenses are recognized as

intangible assets as they offer to the Company economic benefits and their depreciation performed

based on production method.

Emission Rights: The Company acquires CO2 emission rights in order to cover the liability arising from

the actual CO2 emissions of the production units. The liability is measured at fair value to the extent that

the Company has the obligation to cover its emissions by purchasing (after the set of any CO2

allowances held by free allocations). CO2 emission rights acquired and held are recognized as intangible

assets at cost less any accumulated impairment losses.

3.11 Tangible assets

Fixed assets are reported in the financial statements at acquisition cost or deemed cost, as determined

based on fair values as at the transition dates, less accumulated depreciations and any impairment

suffered by the assets. The acquisition cost includes all the directly attributable expenses for the

acquisition of the assets.

Subsequent expenditure is added to the carrying value of the tangible fixed assets or is booked as a

separate fixed asset only if it is probable that future economic benefits will flow to the Company and

their cost can be accurately and reliably measured. The repair and maintenance cost is booked in the

results when such is realized.

Upon sale of the tangible fixed assets, any difference between the proceeds and the book value are

booked as profit or loss to the results.

Depreciation of tangible fixed assets (other than Land which are not depreciated) is calculated using the

straight line method over their useful life, as follows:

� Buildings up to 40 years

� Mechanical equipment up to 30 years

� Cars 4 - 5 years

� Other equipment 10 - 20 years

Self-constructed tangible fixed assets constitute an addition to the acquisition cost of tangible assets at a

value that includes the direct cost of employee’s salaries (including the relevant employer’s

contributions), the cost of materials used and other general costs.

The residual values and useful economic life of tangible fixed assets are subject to reassessment at each

balance sheet date. When the book value of tangible fixed assets exceeds their recoverable amount, the

difference (impairment) is immediately booked as an expense in the income statement.


3.12 Impairment of Assets

Assets with an indefinite useful life are not depreciated and are subject to an impairment review

annually and when some events suggest that the book value may not be recoverable any resulting

difference is charged to the period’s results. Assets that are depreciated are subject to an impairment

review when there is evidence that their value will not be recoverable. The recoverable value is the

greater between the net sales value and the value in use. An impairment loss is recognized by the

company when the book value of these assets (or cash generating unit- CGU) is greater than its

recoverable amount.

Net sales value is the amount received from the sale of an asset at an arm’s length transaction in which

participating parties have full knowledge and participate voluntarily, after deducting any additional direct

cost for the sale of the asset, while value in use is the present value of estimated future cash flows that

are expected to flow into the company from the use of the asset and from its disposal at the end of its

estimated useful life.

3.13 Leases

Company as Lessee: Leases of fixed assets with which all the risks and benefits related with

ownership of an asset are transferred to the Company, regardless of whether the title of ownership of

the asset is eventually transferred or not, are finance leases. These leases are capitalized at the

inception of the lease at the lower of the fair value of the asset and the present value of the minimum

lease payments. Each lease payment is apportioned between the reduction of the liability and the

finance charge so that a fixed interest rate on the remaining financial liability is achieved. The relevant

liabilities from leases, net of financial expenses, are reported as liabilities. The part of the financial

expense that relates to finance leases is recognized in the income statement during the term of the

lease. Fixed assets acquired through finance leases are depreciated over the shorter of their useful life

and the lease term.

Lease agreements where the lessor transfers the right of use of an asset for an agreed period of time,

without transferring, however, the risks and rewards of ownership of the fixed asset are classified as

operating leases. Payments made with respect to operating leases (net of any incentives offered by the

lessor) are recognised in the income statement proportionately throughout the term of the lease.

Company as lessor: When fixed assets are leased through financial leasing, the present value of the

lease is recognized as a receivable. The difference between the gross amount of the receivable and its

present value is registered as a deferred financial income. The income from the lease is recognized in


the period’s results during the lease using the net investment method, which represents a constant

periodic return.

Fixed assets that are leased through operating leases are included in the balance sheet’s tangible assets.

They are depreciated during their expected useful life on a basis consistent with similar self-owned

tangible assets. The income from the lease (net of possible incentives given to the lessees) is recognized

using the constant method during the period of the lease.

3.14 Financial instruments

Financial instrument is any contract that creates a financial asset in an enterprise and a financial liability

or Equity instrument in another. The financial instruments of the Company are classified in the following

categories according to the substance of the contract and the purpose for which they were purchased.

i) Financial instruments valued at fair value through the income statement

These comprise assets that satisfy any of the following conditions:

- Financial assets that are held for trading purposes (including derivatives, except those that are

designated and effective hedging instruments, those that are acquired or incurred for the purpose of

sale or repurchase and, finally, those that are part of a portfolio of designated financial instruments).

- Upon initial recognition it is designated by the company as an instrument valued at fair value, with any

changes recognized through the Income Statement.

In the Balance sheet of the Company the exchanges and the assessment at fair value of derivatives they

are portrayed in separate items of Asset and Liabilities with titled « Derivatives Financial Assets ». The

changes at fair value of derivatives are registered in income statement.

ii) Loans and receivables

They include non-derivative financial assets with fixed or predefined payments, which are not traded in

active markets. The following are not included in this category (loans and receivables):

a) Receivables from down payments for the purchase of goods or services,

b) Receivables relating to tax transactions, which have been legislatively imposed by the state,

c) Any receivable not covered by a contract, which gives the company the right to receive cash, or other

financial fixed assets.

Loans and receivables are included in current assets, except those with a maturity date exceeding 12

months from the balance sheet date. The latter are included in the non-current assets.


(iii) Held-to-maturity investments: Financial assets with fixed or determinable payments and fixed

maturity are classified as held-to-maturity when the Company has the positive intention and ability to

hold to maturity. Investments intended to be held for an undefined period are not included in this

classification.

3.15 Inventories

Inventories include products, raw materials and goods that were acquired. The cost includes all

expenses that were made in order for inventories to reach their present position and condition, and

which are directly distributable to the production process, as well as a part of general expenses related

to production, which is absorbed based on the normal capabilities of the production facilities. Financial

costs are not taken into consideration. At the balance sheet date, inventories are valued at the lower of

acquisition cost and net realizable value. Net realizable value is the estimated sales price during the

normal course of the company’s business less any relevant sales expenses and it is determined based on

the current selling prices of inventories and in line with the normal activity of the Company less any sale

expenses, where necessary.

3.16 Trade Receivables

Receivables from customers are initially booked at their fair value and are subsequently valued at their

amortized cost using the method of the effective interest rate, less the provision for impairment. In the

event that the amortized cost or the cost of a financial asset exceeds the present value, then this asset

is valued at its recoverable amount, i.e. at the present value of the future cash flows of the asset, which

is calculated using the real initial interest rate.

The relevant loss is immediately transferred to the period’s profit and loss. The impairment losses, i.e.

when there is objective evidence that the Company is unable to collect all the amounts owed based on

the contractual terms, are recognized in the income statement.

3.17 Cash and cash equivalent

Cash and cash equivalents include cash at bank and in hand as well as short term highly liquid

investments such as money market instruments and bank deposits. Money market instruments are

financial assets carried at fair value through profit or loss.

3.18 Share capital

Share capital is determined using the nominal value of shares that have been issued. Ordinary shares

are classified as Equity. Increase in share capital with cash includes any difference from premia during


the initial issue of the share capital. Expenses incurred for the issuance of shares reduce, after deducting

the relevant income tax, the proceeds from the issue.

3.19 Income tax & deferred tax

The tax for the period comprises current income tax and deferred tax, i.e. the tax charges or tax credits

that are associated with economic benefits accruing in the period but have been assessed by the tax

authorities in different periods. Income tax is recognized in the income statement of the period, except

for the tax relating to transactions that have been booked directly to Equity. In such case the related tax

is, accordingly, booked directly to Equity. Current income taxes include the short-term liabilities or

receivables from the fiscal authorities that relate to taxes payable on the taxable income of the period

and any additional income taxes from previous periods (tax audit differences).

Current taxes are measured according to the tax rates and tax laws prevailing during the financial years

to which they relate, based on the taxable profit for the year. All changes to the short-term tax assets or

liabilities are recognized as part of the tax expense in the income statement.

Deferred income tax is determined according to the liability method which results from the temporary

differences between the book value and the tax base of assets or liabilities. Deferred tax is not booked if

it results from the initial recognition of an asset or liability in a transaction, except for a business

combination, which when it occurred did not affect neither the accounting nor the tax profit or loss.

Deferred tax assets and liabilities are valued based on the tax rates that are expected to be in effect

during the period in which the asset or liability will be settled, taking into consideration the tax rates

(and tax laws) that have been put into effect or are essentially in effect up until the balance sheet date.

In the event where it is impossible to identify the timing of the reversal of the temporary differences, the

tax rate in effect on the day after the balance sheet date is used. Deferred tax assets are recognized to

the extent that there will be a future tax profit to be set against the temporary difference that creates

the deferred tax asset.

Deferred income tax is recognized for the temporary differences that result from investments in

subsidiaries and associates, except for the case where the reversal of the temporary differences is

controlled by the Company and it is possible that the temporary differences will not be reversed in the

foreseeable future.

Most changes in the deferred tax assets or liabilities are recognized as part of the tax expense in the

income statement. Only changes in assets or liabilities that affect the temporary differences are

recognized directly in the Equity of the Company, such as the revaluation of property value that results


in the relevant change in deferred tax assets or liabilities being charged against the relevant Equity

account.

3.20 Employee benefits

3.20.1 Short-term benefits

Short-term employee benefits (except post-employment benefits) monetary and in kind are recognized

as an expense when they accrue. Any unpaid amount is booked as a liability, while in the case where the

amount paid exceeds the amount of services rendered, the company recognizes the excess amount as

an asset (prepaid expense) only to the extent that the prepayment will lead to a reduction of future

payments or to reimbursement.

3.20.2 Post-employment benefits

Post-employment benefits comprise pensions or other benefits (life insurance and medical insurance) the

company provides after retirement as an exchange for the employees’ service with the company. Thus,

such benefits include defined contribution schemes as well as defined benefits schemes. The accrued

cost of defined contribution schemes is booked as an expense in the period it refers to.

• Defined contribution scheme

According to the defined contributions scheme, the (legal or implied) obligation of the Company is

limited to the amount that it has been agreed that it will contribute to the entity (i.e. pension fund) that

manages the contributions and provides the benefits. Thus the amount of benefits the employee will

receive depends on the amount the company will pay (or even the employee) and from the paid

investments of such contributions.

The payable contribution from the company to a defined contribution scheme is either recognized as a

liability after the deduction of the paid contribution, or as an expense.

• Defined benefits scheme

A Defined benefits scheme is a post-employment program that is not included in a defined contribution

scheme. Typically, it defines an amount of benefits that the employee is going to acquire after his

retirement based on factors such as the age, the years of service and the reimbursement. The liability

that is reported in the balance sheet with respect to this scheme is the present value of the liability for

the defined benefit less the fair value of the scheme’s assets (if there are such) and the changes that

arise from any actuarial profit or loss and the service cost. The commitment of the defined benefit is

calculated annually by an independent actuary with the use of the projected unit credit method. The

yield of long-term Greek Government Bonds is used as a discount rate. Given the fiscal situation of that


time, especially for the wide spreads of the Hellenic Bonds and the financial crisis as well as for the long

term predictive nature of the actuary liability, the discount rate should be set at a lower level than it was

on 31/12/2014. The corresponding discount rate used for the 31/12/2013 valuation was 3.50%,

therefore, based on the above, the discount rate was set to 2.50%.

A Defined benefits scheme is based on various parameters, such as age, years of service, salary, specific

obligations for benefits payable. The provisions that concern the period are included in personnel costs

in the accompanying statements of income and consist of the current and past service cost, the relative

financial costs and any possible additional charges. Regarding unrecognized actuarial gains or losses, is

followed the revised IAS 19R, which includes a number of changes to accounting for defined benefit

plans, including:

- The recognition of actuarial gains / losses in other comprehensive income and permanent exclusion

from the income statement,

- Non-recognition of expected returns on investment of the program in the period but the recognition of

such interest on net liability / (asset) providing calculated using the discount rate used to measure the

defined benefit obligation,

- Recognition of past service cost in the income statement on the earlier of the dates or amend program

recognized when the related restructuring or terminal provision,

- Other changes would entail new disclosures, such as quantitative analysis.

3.21 Grants

The Company recognizes Government Grants that cumulatively satisfy the following criteria:

a) There is reasonable certainty that the company has complied or will comply to the conditions of the

grant and

b) It is probable that the amount of the grant will be received.

Government Grants are booked at fair value and are systematically recognized as revenues according to

the principle of matching the grants with the corresponding costs that they are subsidizing. Government

Grants that relate to assets are included in long-term liabilities as deferred income and are recognized

systematically and rationally as revenues over the useful life of the fixed asset.

3.22 Loans

Bank loans provide long-term financing for the operating activities of the company. All loans are initially

recognized at cost, which is the fair value of the exchange that is included apart from issuance cost in

relation to borrowing.


Loans are recorded as liabilities at the date the capital is received. Issuance expenses are included in the

income statement. At dates following the balance sheet dates, loans appear at the face unpaid value.

Interest expenses are recognized when paid and at the balance sheet date in the extent that these

expenses are used up and paid for. Loans are categorized as long-term, if they mature in more than a

year and in short-term in they mature in a year or less.

3.23 Provisions

Provisions are recognized when a current obligation is likely to lead to an outflow of financial assets form

the company when this can be valuated reliably. Provisions are reviewed during the date when each

balance sheet is compiled so that they may reflect the present value of the outflow that is expected to

be required for the settlement of the obligation. Contingent liabilities are not recognized in the financial

statements but are disclosed, except if the probability that there will be an outflow of resources that

embody economic benefits is very small. Contingent claims are not recognized in the financial

statements but are disclosed provided that the inflow of economic benefits is probable.

3.24 Dividend distribution

The distribution of dividends to the shareholders of the company is recognized as a liability in the

financial statements at the date on which the General Meeting of the shareholders approves the

distribution.

3.25. CO2 emission Liability

CO2 emissions are recognized according to the net liability approach through which, the Group

recognizes liabilities from CO2 emissions when the actual emissions exceed the distributed emission

rights from E.U. The liability is measured at fair value to the extent that the Company has the obligation

of covering the deficit through the market. Emission rights acquired over the required quantities for

covering the deficit are recognized as intangible assets at cost.

3.26 Hedging Accounting

The Company uses Derivative financial instruments such as Commodity Futures and Currency Forwards

in order to mitigate the risk related to its business activities along with the risk related to the funding of

such activities. At inception of the hedging transaction, the Company validates the hedging relationship

between the underlying and the hedging instrument as far as its risk management strategy is concerned.

The Company also verifies the hedging efficiency from the beginning of the hedging relationship and on

a continuing basis.


All derivative financial instruments are initially recognized at fair value as at the date of settlement and

are valued on a mark - to - market basis on each balance sheet date. The result of this valuation is

recognized as an asset when positive and as a liability when negative.

When a derivative financial instrument is no longer regarded as hedging instrument any difference in its

fair value is recognized in profit and loss.

There are three kinds of hedges:

A. Fair Value Hedging

Fair value hedging is regarded when hedging the exposure in the fluctuations of the fair value of a

recognized asset, liability, contingent liability or part of them that could have a negative impact on

results.

When hedging accounting, concerning fair value hedge, is followed then any profit or loss from

revaluation is recognized in profit and loss.

B. Cash Flow Hedging

The Company enters into Cash Flow Hedging transactions in order to cover the risks that cause

fluctuations in its cash flows and arise either from an asset or a liability or a forecasted transaction.

On revaluation of open positions, the effective part of the hedging instrument is recognized directly in

Equity as “Hedging Reserve” while the ineffective part is recognized in Profit & Loss. The amounts

recognized in Equity are transferred in profit and loss at the same time as the underlying.

When a hedging instrument has expired, sold, settled or does not qualify for hedging accounting all

accumulated profit or loss recognized in Equity, stays in Equity until the final settlement of the

underlying. If the underlying is not expected to be settled then any profit or loss recognized in Equity is

transferred to profit and loss account.

C. Hedging of a Net Investment

Hedging of a foreign investment is regarded for accounting purposes in a way similar to cash flow

hedging.

The effective part of the hedging result is recognized directly in Equity while any ineffective part is

recognized in profit and loss. Accumulated profit or loss recognized in Equity is transferred in profit and

loss account at the time of disposal of the investment.

Determination of Fair Value

The fair value of financial instruments trading in an active market is defined by the published prices as of

the date of the financial statements. The fair value of financial instruments not traded in active market is


defined through the use of valuation techniques and assumptions based on relevant market information

as of the date of the financial statements.


4. Business Risk Management

4.1 Financial risk management aims and policies

The Company's activities give rise to multiple financial risks, including the current and interest rate

related risks, the volatility in market prices, credit risks, and liquidity risks. The Company's risk

management program aims at containing potential negative influence to its financial results, as this may

arise from the inability to predict financial markets and the volatility with respect to cost and sales

variables. The Company uses derivative financial instruments in order to hedge its exposure to specific

categories of risk.

The essential risk management policies are determined by the Company's Management and it’s consort

with the Group’s general policy. The risk management policy is applied by the Corporate Treasury

Department. The Corporate Treasury Department, identifies, quantifies, manages and hedges the

financial risks arising from the main operating activities of the Company.

4.2 Fair Value Measurements

The following table presents financial assets and liabilities measured at fair value in the statement of

financial position in accordance with the fair value hierarchy. This hierarchy groups financial assets and

liabilities into three levels based on the significance of inputs used in measuring the fair value of the

financial assets and liabilities. The fair value hierarchy has the following levels:

- Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities;

- Level 2: inputs other than quoted prices included within Level 1 that are observable for the asset or

liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices); and

- Level 3: inputs for the asset or liability that are not based on observable market data (unobservable

inputs).

The level within which the financial asset or liability is classified is determined based on the lowest level

of significant input to the fair value measurement.

The financial assets and liabilities measured at fair value in the statement of financial position are

grouped into the fair value hierarchy as follows:


4.3 Market Risk

Exchange rate risk

The Company develops activity at international level and is therefore exposed to exchange rate risk that

arises mainly from the US dollar. Such risk primarily stems from commercial transactions in foreign

currency as well as from net investments in foreign financial entities. For the management of such risk,

the Group’s Financial Management Department establishes financial derivative and non-derivative

instruments with financial organizations.

The Company’s exposure to commodities price risk and the corresponding sensitivity may depending on

the transaction’s quantity in foreign currency as well the level of the prices.

Commodity’s Price Risk

Goods prices that are mainly determined by international markets and global offer and demand result in

the Company’s exposure to the relevant prices fluctuation risk.

Goods’ prices are connected both to variables that determine revenues (e.g. metal prices at LME) and to

the Company’s cost (e.g. natural gas prices). Due to its activity, the Company is exposed to price

fluctuation of aluminium (AL), zinc (Zn), lead (Pb) as well as to price fluctuation of natural gas, as

production cost.

As regards price fluctuation of metals, the Company’s policy is to minimize risk by using financial

derivative instruments (forward deals commodity fulfilling contracts).

The Company's exposure to commodities price risk and the corresponding sensitivity may vary

depending on the volume of transactions and price levels. However, the following analysis is considered

representative of the Company's exposure to this risk for the year 2014.

(Amounts in thousands €) 31/12/ 2014 Level 1 Level 2 Level 3

Financial Assets

Stock Shares - - - -

Bank Bonds - - - -

Financial assets of the investment portfolio - - - -

Financial Assets Available For Sale - - - -

Foreign Exchange Contracts For Cash Flow Hedging (Forward) - - - -

Financial Assets - - - -

Financial Liabilities

Foreign Exchange Swap Contracts (Swaps) - - - -

Foreign Exchange Contracts For Cash Flow Hedging (Forward) 404 - 404 -

Foreign Exchange Contracts (Forward) - - - -

Options 890 - 890 -

Commodity Futures - - - -

Commodity Options - - - -

Financial Liabilities 1.294 - 1.294 -

ALUMINIUM OF GREECE


Interest rate risk

The Company’s assets that are exposed to interest rate fluctuation primarily concern cash and cash

equivalents. The Company’s policy as regards financial assets is to invest its cash in floated interest rates

so as to maintain the necessary liquidity while achieving satisfactory return for its shareholders. In

addition, for the totality of its bank borrowing, the Company uses floating interest rate instruments.

Depending on the level of liabilities in floating interest rate, the Company proceeds to the assessment of

interest rate risk and when necessary examines the necessity to use interest bearing financial derivative

instruments.

The Company’s policy consists in minimizing its exposure to interest bearing cash flow risk as regards

long-term funding.

Effect from risk factors and sensitivities analysis

The effect from the above mentioned factors to Company’s operating results, equity and net results

presented in the following table:

It is noted that an increase of five (5) basis points presume a decrease of €0.9 million on net results and

Equity.

$/t + 50 - 50




€/$ - 0,05 + 0,05




$/t - 50 + 50




€/MWh - 5 + 5

EBITDA mil € 12,7 -12,7


Equity mil € 12,7 -12,7

Fuel Oil Price (FOB MED)

Natural Gas

LME AL (Alouminium)

Parity €/$


The Company’s exposure in price risk and therefore sensitivity may vary according to the transaction

volume and the price level. However the above sensitivity analysis is representative for the Company

exposure in 2014.

4.4 Credit Risk

The Company does not exhibit any considerable concentration of credit risk in any of the contracted

parties. Credit risk originates from available cash and cash equivalents, derivative financial instruments

and deposits at banks and financial institutions; also from exposure to client derived credit risk.

Regarding commercial and other claims, the Company is not theoretically exposed to significant credit

risks, as of the multifaceted nature of the Company's activities, there is no significant concentration of

credit risk with respect to its commercial requirements, as this is allocated over a high number of clients.

However, the atypical conditions that dominate the Greek market and several other markets in Europe

are forcing the Company to constantly monitor its business claims and also to adopt policies and

practices to ensure that such claims are collected. By way of example, such policies and practices include

insuring credits where possible; pre-collection of the value of product sold to a considerable degree;

safeguarding claims by collateral loans on customer reserves; and receiving letters of guarantee.

To minimize credit risk on cash reserves and cash equivalents; in financial derivate contracts; as well as

other short term financial products, the Company specifies certain limits to its exposure on each

individual financial institution and only engages in transactions with creditworthy financial institutions of

high credit rating.

The tables below summarize the maturity profile of the Company's financial assets as at 31.12.2014 and

31.12.2013 respectively:

4.5 Liquidity Risk

Liquidity Risk

The liquidity risk is linked to the need to sufficiently finance the Company's activity and growth. The

relevant liquidity requirements are the subject of management through the meticulous monitoring of

debts of long term financial liabilities and also of payments made on a daily basis.

(Amounts in €)

Liquidity Risk Analysis -

Trade Receivables

0-3 months 3-6 months 6-12 months > 1 year

2014 11.816.184 3.817.369 - - 64.327.775 79.961.329

2013 29.039.668 14.670.276 (10.715.647) - 29.379.957 62.374.254

ALUMINIUM OF GREECE

Past due but not impaired

Non past due but not

impaired Total


The Company ensures the provision of adequate credit facilities available so as to cover short term

business requirements. In addition, funds for long term solvency needs shall be ensured through an

adequate amount of borrowed capital and the ability of selling long term financial assets.

The maturity of financial liabilities in December 31, 2014 and 2013 for the Company pictured as follows:

4.6 Capital Management

The primary objective of the Company’s capital management is to ensure the continuous smooth

operation of its business activities and the achievement of its growth plans combined with an acceptable

credit rating. For the purpose of capital management, the Company monitors the ratios “Net Debt to

EBITDA” and “Net Debt to Equity”. As net debt, the Company defines interest bearing borrowings minus

cash and cash equivalents. The ratios are managed in such a way in order to ensure the Company a

credit rating compatible with its strategic growth.

The table below presents ratio results for the years December 31, 2014 and 2013 respectively:


2014

up to 6

months

6 to 12


(Amount in €)

Long-term debt - - 111.790.367 - 111.790.367

Short-term debt 18.802.682 29.325.389 - - 48.128.071


period - 20.865.500 - - 20.865.500



Other payables 15.382.577 1.343.088 - - 16.725.665

Total 162.504.503 77.058.279 111.790.367 - 351.353.149

ALUMINIUM OF GREECE


2013

up to 6

months

6 to 12


(Amount in €)

Long-term debt - - 131.897.431 - 131.897.431

Short-term debt - 31.865.073 - - 31.865.073


period - 5.655.000 - - 5.655.000



Other payables 10.840.404 - 3.372.954 - 14.213.359

Total 114.900.040 76.202.859 135.270.385 - 326.373.285

ALUMINIUM OF GREECE


(Amoints in €) 2014 2013

Long-term debt 111.790.367 131.897.431

Short-term debt 48.128.071 31.865.073

Long-term Liabil ities payable in the next period 20.865.500 5.655.000

Cash and cash equivalents (3.206.357) (8.727.400)

Net debt of continuing operations 177.577.581 160.690.104

Group Net debt 177.577.581 160.690.104

Oper.Earnings before income tax,financial results,depreciation and amortization 65.001.361 36.186.144

EQUITY 412.147.886 399.622.671

Group Net debt / Oper.Earnings before income tax,financial results,depreciation and

amortization 2,73 4,44

Group Net debt / EQUITY 0,43 0,40

ALUMINIUM OF GREECE


5. Segment reporting

5.1 Primary reporting format – business segments

ALUMINIUM OF GREECE recognizes three sectors (alumina trade, aluminium trade, electric energy trade)

as operational sectors. According to IAS 8, the above operational sectors are those used by management

for internal purposes and strategically decisions are made based on the readjusted results of every

sector, and which are used for measuring their effectiveness. Measurement of each segment’s efficiency

is based on operational results after deletion of intercompany transactions.

Additionally, sectors of smaller importance, for which the required disclosure amount limits are not met,

are included in the following table under the heading “Others”.

The allocation of the consolidated items of the assets and liabilities of the company per business sector

on 31st of December 2014 is the following:

5.2 Secondary reporting format – geographical segments

The Company is active in Greece where it has its Headquarters. It operates also in Euro zone and other

countries.

Company’s sales allocation to geographical segments, are as follows:

(Amounts in Euro) Alumina Aluminium

Electric

energy

Not

Allocated Total

Total gross sales per segment 199.831.740 321.227.611 153.581.154 971.654 675.612.159

In house sales (90.308.440) - (122.736.366) - (213.044.805)

Net Sales 109.523.301 321.227.611 30.844.788 971.654 462.567.354

Operating profit 16.579.927 19.923.521 441.589 - 36.945.038

Financing income - - - 6.478.346 6.478.346

Financing expenses - - - (21.955.302) (21.955.302)

Other Financing Results - - - (2.209.999) (2.209.999)

Profit before taxes 16.579.927 19.923.521 441.589 (17.686.955) 19.258.083

Income Tax - - - (4.291.933) (4.291.933)

Net profit 16.579.927 19.923.521 441.589 (21.978.888) 14.966.150

ALUMINIUM OF GREECE

Sales Non current assets Sales Non current assets

(Amounts in €) 2014 2014 2013 2013

Greece 145.187.012 563.972.493 126.061.096 579.368.707

European Union 256.660.600 - 234.280.029 -

Other Countries 60.719.742 - 67.872.205 -

Regional Analysis 462.567.354 563.972.493 428.213.330 579.368.707

ALUMINIUM OF GREECE


The Company’s income in Europe and also in the main countries of activity, generated by the Company's

internal information system. This system is the basic information system of the Company for income tax

purposes and declaration of VAT to the tax authorities. The total amounts which are pictured into the

Company’s functional areas consort with the basic financial data as presented in the financial

statements:

(Amounts in €) 1/1-31/12/2014 1/1-31/12/2013

Sales of goods produced 431.943.257 424.563.508

Sales of other inventory 32.210.937 2.573.038

Other (1.586.840) 1.076.784

Sales 462.567.354 428.213.330

ALUMINIUM OF GREECE


6. Notes on the Financial Statements

6.1 Tangible Assets

The Company’s tangible assets are analyzed, into the Financial Statements, as follows:

Investment on tangible assets, during the fiscal year 2014, for the company amounted to €16.5 million.

Depreciation is analyzed in notes 6.20 and 6.21.

Encumbrances:

Company’s assets are pledged for an amount of € 323.7 million as bank debt collateral.

Commitments:

Company’s commitments due to construction contracts and finance lease at 31/12/2014 amounted to

€15.0 million.

(Amounts in €)

Land &

Buildings

Vehicles &

mechanical

equipment

Furniture and other

equipment

Tangible assets

under

construction Total

Gross Book Value 177.205.585 874.300.853 15.966.890 6.846.828 1.074.320.156

Accumula ted deprecia tion and/or impairment 21.707.935 465.755.030 12.552.041 - (500.015.006)

Net Book value as at 01/01/2013 155.497.650 408.545.822 3.414.849 6.846.828 574.305.149

Gross Book Value 178.811.089 893.192.096 17.667.826 5.512.844 1.095.183.855



Gross Book Value 179.235.683 894.372.464 18.497.401 8.467.042 1.100.572.590



(Amounts in €)

Land &

Buildings

Vehicles &

mechanical

equipment

Furniture and other

equipment

Tangible assets

under

construction Total


Additions - 19.477.559 - 12.658.602 32.136.162

Depreciations (1.838.727) (26.769.695) (480.548) - (29.088.969)

Tra nsfers 1.605.504 10.664.556 1.700.936 (13.992.586) (21.590)


Additions - 7.709.664 - 8.805.555 16.515.219

Depreciations (1.907.262) (27.428.213) (555.087) - (29.890.562)

Tra nsfers 424.593 4.369.133 829.575 (5.851.357) (228.057)


ALUMINIUM OF GREECE

ALUMINIUM OF GREECE


6.2 Intangible Assets

The company’s intangible assets mainly involve acquired licenses and software as well as developing

software. The Company’s intangible assets are analyzed as follows:

The amount which appears in the category 'other intangibles assets" refers to emission rights acquired

more than necessary to cover the deficit of the current year and is expected to be consumed in the next

fiscal year. The depreciations which affect the income statements are appeared at the notes 6.20 and

6.21.

(Amounts in €) Software

Other

Intangible

Assets Total

Gros s Book Va lue 6.610.767 - 6.610.767

Accumulated depreciation and/or impai rment 6.506.748 - 6.506.748

Net Book value as at 01/01/2013 104.019 - 104.019

Gros s Book Va lue 6.632.357 1.969.612 8.601.969


Net Book value as at 31/12/2013 68.342 1.969.612 2.037.955

Gros s Book Va lue 6.860.414 385 6.860.799


Net Book value as at 31/12/2014 244.756 385 245.141

(Amounts in €) Software

Other

Intangible

Assets Total


Addi tions - 1.969.612 1.969.612

Depreciations (57.266) - (57.266)

Trans fers 21.590 - 21.590

Net Book value as at 31/12/2013 68.342 1.969.612 2.037.955

Addi tions - 385 385

Depreciations - (1.969.612) (1.969.612)

Trans fers (51.644) - (51.644)


Net Book value as at 31/12/2014 244.756 385 245.141

ALUMINIUM OF GREECE

ALUMINIUM OF GREECE


6.3 Investments on Subsidiaries

In separate financial statements, investments on subsidiaries have been evaluated in the cost of

acquisition.

Summary information about the subsidiaries:

6.4 Investments on associates

Summary information about the associates:

31/12/2014 31/12/2013

Balance at the beginning of the period 19.719.350 19.719.350

Exchange-rate differences - -

Additions - -

Sales/ Cancellations - -

Losses (2.209.999) -

Balance at the end of the period 17.509.351 19.719.350

ALUMINIUM OF GREECE

Name Location Total of shares

Percentage of

contribution

31/12/2014

Percentage of

contribution

31/12/2013

DELFI DISTOMON AME Greece 3.099.000 100% 100%

DESFINA SHIPPING COMPANY Greece 2.210.000 100% 100%

31/12/2014 31/12/2013

Opening Balance 500.000 500.000

Consolidation Of Subsidiaries - -

Additions - -

Sales - Reductions - -

Other changes in equity - -

Closing Balance 500.000 500.000

ALUMINIUM OF GREECE

Name Location

Percentage of

contribution

31/12/2014

Percentage of

contribution

31/12/2013

MYTILINEOS FINANCIAL PARTNERS S.A. Luxembourg 25% 25%


6.5 Deferred tax assets and liabilities

Deferred tax is calculated on temporary differences, with the use of tax rate in the country where the

company operates. The amounts that appear in the balance sheet are estimated that will be retrieved or

settled after the 31st December 2014. Deferred tax related to assets and liabilities before offsetting for

the year 2014 is analyzed below:

(Amounts in €)At 1st

January

Recognised In

Profit Or Loss

Recognised In Other

Comprehensive Income

As At 31

December

Deferred Tax

Asset

Deferred Tax

Laibility

Non - Current Assets

Intangibl e Assets 512.930 242.774 - 755.704 755.704 -

Tangible Assets (39.288.204) 1.231.991 - (38.056.214) - (38.056.214)

Current Assets

Receivables - (2.218.834) - (2.218.834) - (2.218.834)

Long-term Liabilities

Employee Benefi ts 2.927.831 291.102 - 3.218.933 3.218.933 -

Long-Τerm Loans (466.068) 197.193 - (268.875) - (268.875)

Other Long-Term Liabi l i ti es 3.012.947 (806.761) - 2.206.186 2.206.186 -

Unused Tax Losses 5.743.238 (2.483.076) - 3.260.162 3.260.162

Short-Term Liabilities

Employee Benefi ts 876.968 (422.422) - 454.546 454.546 -

Li abi l i ties From Derivatives - - 336.451 336.451 336.451 -

Other Short-Term Liabi l i ties 1.274.000 561.816 - 1.835.816 1.835.816 -

Total (25.406.358) (3.406.217) 336.451 (28.476.124) 12.067.798 (40.543.922)

Offsetting - - - - - -

Deferred Tax (Liability)/Receivables (25.406.358) (3.406.217) 336.451 (28.476.124) 12.067.798 (40.543.922)

(Amounts in €)At 1st

January

Recognised In

Profit Or Loss

Recognised In Other

Comprehensive Income

As At 31

December

Deferred Tax

Asset

Deferred Tax

Laibility

Non - Current Assets

Intangibl e Assets 491.295 21.636 - 512.930 512.930 -

Tangible Assets (31.688.185) (7.600.020) - (39.288.204) - (39.288.204)

Current Assets

Receivables - - - - - -

Long-term Liabilities

Employee Benefi ts 2.010.136 917.695 - 2.927.831 2.927.831 -

Long-Τerm Loans - (466.068) - (466.068) - (466.068)

Other Long-Term Liabi l i ti es 1.348.705 1.664.242 - 3.012.947 3.012.947 -

Unused Tax Losses 29.263.843 (23.520.605) 5.743.238 5.743.238

Short-Term Liabilities

Employee Benefi ts 652.626 224.343 - 876.968 876.968 -

Li abi l i ties From Derivatives - - - - - -

Other Short-Term Liabi l i ties - 1.274.000 - 1.274.000 1.274.000 -

Total 2.078.419 (27.484.777) - (25.406.358) 14.347.914 (39.754.272)

Offsetting - - - - - -

Deferred Tax (Liability)/Receivables 2.078.419 (27.484.777) - (25.406.358) 14.347.914 (39.754.272)

31/12/2013

ALUMINIUM OF GREECE

31/12/2014

ALUMINIUM OF GREECE


6.6 Other long-term assets

The Company’s long-term assets are analyzed as follows:

6.7 Inventories fair value

The Company’s inventories are analyzed as follows:

The amount of inventories that was recognized as an expense during the fiscal year and is included in

the cost of sales was € 187.852.950 (2013: € 145.860.418)

The company had no pledged inventories.

For establishing the net realizable sale value of inventories, management takes into account the most

reliable information available at the date of the valuation. The basic part of the business activity is not

subject to continuous technological changes that are likely to lead to obsolete inventories. The future

recovery of the accounting value of inventories is not affected by prices in other sectors.

(Amounts in €) 31/12/2014 31/12/2013

Given Guarantees 88.355 92.866

Other long term receivables 73.239 92.592

Other Long-term Receivables 161.594 185.458

ALUMINIUM OF GREECE

(Amounts in €) 31/12/2014 31/12/2013

Raw materials 12.277.284 14.107.490

Semi-finished products 572.031 660.305

Finished products 23.033.229 22.334.040

Work in Progress 29.310.302 32.005.768

Others 24.852.049 22.781.977

Total 90.044.896 91.889.581

(Less)Provisions for scrap,slow moving and/or

destroyed inventories: (1.302.510) (1.302.510)

Total Stock 88.742.386 90.587.071

ALUMINIUM OF GREECE


6.8 Customers and other trade receivables

The Company’s customers and other receivables are analyzed as follows:

The total amount of the above receivables is of short-term time horizon. The fair value of the short-term

financial assets is not determined independently since the accounting value is considered as close to fair

value. The company has no receivables in arrears for which it should make a provision for the case of

non collection. All receivables from commercial activity have been insured for the risk of non liquidation.

On 11/4/2014, LAGIE sent a credit note amounting to €8.5 million in total to ALUMINIUM OF GREECE, in

application of subparagraph ΙΓ.3 of Law 4254/2014. Specifically, this regulation provides that producers

of High-Efficiency CHP are obliged to issue a credit invoice by which they provide a 10% discount on the

total value of the energy that they dispatched to the system during 2013. Additionally, said regulation

characteristically states that until the relevant credit invoice is issued and delivered to LAGIE, the latter’s

obligation to pay the tariff for the amount of energy which dispatched but not paid for is suspended.

The special levy imposed by Law 4093/2012 was intended to consolidate the Special Account by way of

an intervention/’haircut’ for high guaranteed prices which applied to RES and (small) High-Efficiency CHP

stations during previous years and during the period of 2012-2014. However, during said time period,

CHP neither issued invoices nor was paid a tariff in accordance with the provisions of Law 4001/2011.

Instead, following the conclusion of the Private Agreement between the Company and LAGIE on

26.4.2013, CHP issued temporary invoices, for the aforementioned period in its entirety, at the minimum

tariff which could have resulted from the application of the mathematical formula established by Law

4001/2011 (if the CC value was set at the unit price, i.e. if the Mean Average Natural Gas Price

amounted to 26€/MWh). It must also be noted that except for ALUMINIUM OF GREECE High-Efficiency

CHP, almost all other H-E-CHP plants (agricultural & district heating) operating in Greece have already

been retrospectively exempted from the special 10% levy by way of the provisions of Laws 4203/2013

and 4123/2013.

(Amounts in €) 31/12/2014 31/12/2013

Customers 78.351.792 61.287.410

Checks receivable 300.587 377.805

Less:Impairment Provisions - -

Net trade Receivables 78.652.379 61.665.215

Advances to trade creditors 1.308.950 709.039

Total 79.961.329 62.374.254

ALUMINIUM OF GREECE


Furthermore, it is clear from both the letter and the rationale of the provision that if the total value of

the electricity dispatched by the Company’s HE-CHP is unknown or has not been determined because of

the absence of a fixed tariff (failure of the Minister of Environment, Energy and Climate Change to issue

the anticipated Ministerial Decision), the credit invoice cannot be issued in principle. It is noted that the -

de facto- compensation received ALUMINIUM OF GREECE for the electricity dispatched to the system

during the period of 28.11.2012-31.3.2014, which corresponded to the minimum price which could have

resulted from the application of the mathematical formula established by Law 4001/2011 (if the CC value

was set at the unit price, or, otherwise, if the Mean Average Natural Gas Price amounted to 26€/MWh),

cannot in any case be deemed to amount to a “tariff” which would allow for the determination of the

‘total value’ of the High-Efficiency CHP energy dispatched to the system. Therefore, the claim that a

credit invoice may be issued using a temporary price is illegal, since it is contrary to both the letter and

spirit of the law.

Accordingly, the Company has issued the relevant credit invoice to LAGIE, recording all of the

aforementioned reservations, so that LAGIE’s obligation to pay for the electricity that was both

dispatched to the system and invoiced is not suspended, which would unjustifiably burden the

Company’s liquidity, in violation of both the letter and the logic of the law. At the same time, the

Company has recorded said amount amongst its assets, given that, for the reasons mentioned above, it

considers it certain that the respective amount will be recovered in its totality.

6.9 Other receivables

The Company’s other receivables are analyzed as follows:

Company’s receivables from loans given to related parties, regard the loan to the related company

‘MYTILINEOS FINANCIAL PARTNERS’. The amount of interest charged for the period, amounted to €3.4

million.

(Amounts in €) 31/12/2014 31/12/2013

Other Debtors 2.476.365 1.947.661

Receivables from the State 24.863.568 18.585.308

Receivables from Subsidiaries 2.279.811 2.776.514

Loans given to Related Parties 62.855.976 74.255.976

Accrued income - Prepaid expenses 8.150.877 5.088.363

Prepaid expenses for construction contracts (899.053) (899.053)

Total 99.727.544 101.754.769

ALUMINIUM OF GREECE


6.10 Derivative financial instruments

Derivatives are classified as assets or liabilities. Provided that the maturity date of the derivatives is

within 12 months, the derivatives are recognized as current assets or short-term liabilities and in the

case that their maturity date is over twelve months, they are recognized as long-term assets or long-

term liabilities. The balances of derivatives as at 31/12/2014 are analyzed as follows:

All derivatives open positions have been mark to market. Fair values of the “interest rate swaps”, are

confirmed by the financial institutions that the Company has as counterparties.

The Company manages the exposure to currency risk through the use of currency forwards and options

and thus by “locking” at exchange rates that provide sufficient cash flows and profit margins.

Furthermore, the Company manages the exposure to commodity risk through the use of :

a)commodity futures that hedge the risk from the change at fair value of commodities and

b) commodity swaps that hedge fluctuations in cash flows.

The open positions on financial derivatives is going to be settled in 2015 and concluded new, based on

dynamic risk management strategy of the Company.

6.11 Cash and Cash Equivalents

The Company’s cash and cash equivalents include the following:

(Amount in €) 31/12/ 2014 31/12/ 2013

Foreign Exchange Forward for Cash Flow Hedging - -

Commodity Future - -

Foreign Exchange Forward - -

Derivative financial instruments (receivable) -

Foreign Exchange Forward for Cash Flow Hedging 403.673 507.988

Foreign Exchange Forward - -

Option Contract for Cash Flow Hedging 890.369 188.998

Commodity Future - -

Commodity Option Contract - -

Derivative financial instruments (liability) 1.294.042 696.986

ALUMINIUM OF GREECE

(Amounts in €) 31/12/2014 31/12/2013

Cash 6.734 11.298

Bank deposits 3.199.623 8.716.102

Time deposits & Repos - -

Total 3.206.357 8.727.400

The weighted average interest rate is as: 31/12/2014 31/12/2013

Deposits in Euro 1,61% 1,52%

ALUMINIUM OF GREECE


6.12 Own Equity

6.12.1 Share capital

As of January 1, 2007, the share capital of the company amounted to € 60.000. After the absorption of

the production, construction, alumina trade, aluminium, ore materials, metal and production and trade of

electricity branch of ALUMINIUM OF GREECE S.A. from ALUMINIUM S.A., the company proceeded in an

increase in share capital at the accounting value of the branch, as in € 294.786.074,51 and at the

amount of € 153.925,48 in cash. In total the increase in share capital amounted in € 294.940.000,00

with the issuance of 5.898.800 new common shares, with voting rights and face value 50 Euro.

On 15 November the Extraordinary General Meeting of "ALUMINIUM S.A." resolved to the decrease of its

share capital by an amount of 50.150.000 € and the equall return to the shareholders in cash, according

to art. 4 par. 4 of L. 2190/1920. The decrease will be effected by a decrease of the company's 5.900.000

shares nominal value by 8,50 € per share. Following the above, the share capital of "ALUMINIUM S.A."

amount to 244.850.000 €, divided in 5.900.000 shares at a nominal value of 41,50 € each.

In September, the Extraordinary General Meeting of ALUMINIUM SA resolved to the decrease of its

share capital by € 30,09m and to the equivalent return of cash to the shareholders. The decrease was

realised by a decrease of the nominal value of its 5.900.000 shares by 5,10€ per share. Therefore, the

shareholder will receive for each one (1) share held by the amount of 5,10 €. After this reduction, the

share capital of the Company will amount to 214.760.000 €, divided into 5,900,000 registered shares

with a nominal value of each 36, 40 €. The reduction of the share capital approved by the District on

September 27,2011.

On 31st December 2013 the share capital of the company amounts € 214.760.000.


6.12.2 Other reserves

The Company’s other reserves are analyzed as follows:

Under Greek corporate law, corporations are required to transfer a minimum of 5% of their annual net

profit as reflected in their statutory books to a legal reserve, until such reserve equals one-third of the

outstanding share capital. The above reserve cannot be distributed throughout the life of the company.

Tax free reserves represent non distributed profits that are exempt from income tax based on special

provisions of development laws (under the condition that adequate profits exist for their allowance).

These reserves mainly relate to investments and are not distributed.

Specially taxed reserves represent interest income and income from disposal of listed in the Stock

Exchange and non-listed companies and tax free or tax has been withheld at source. Except for any tax

prepayments, these reserves are exempted from taxes, provided they are not distributed to

shareholders.

6.12.3 Fair value reserves

The Company’s fair value reserves are analyzed as follows:

(Amounts in €)

Regular

Reserve

Special &

Extraordinary

Reserves

Tax-free

and Specially

taxed Reserves

Stock Option

Plan Reserve

Actuarial

Gain/Losses

Reserve

Total

Opening Balance 1st January 2013,

according to IFRS (as published) 1.537.933 35.632.600 22.337.227 317.298 4.059.167 63.884.225

Actuaria l Ga in / (Loss es) - - - - (6.091.401) (6.091.401)

Closing Balance 31/12/2013 1.537.933 35.632.600 22.337.227 317.298 (2.032.234) 57.792.824

(Amounts in €)

Regular

Reserve

Special &

Extraordinary

Reserves

Tax-free

and Specially

taxed Reserves

Stock Option

Plan Reserve

Actuarial

Gain/Losses

Reserve

Total

Opening Balance 1st January 2014,

according to IFRS (as published) 1.537.933 35.632.600 22.337.227 317.298 (2.032.234) 57.792.824

Actuaria l Ga in / (Loss es) - - - - (2.180.330) (2.180.330)

Closing Balance 31/12/2014 1.537.933 35.632.600 22.337.227 317.298 (4.212.564) 55.612.495

ALUMINIUM OF GREECE

ALUMINIUM OF GREECE

Fixed Assets

Reassessment

Reserves

Compensation

Financial

Instruments Total

Adjusted Balance 31st December 2013, according to IFRS - (696.986) - (696.986)

Gains / (Losses) of valuation transfered to Equity - (2.183.896) - (2.183.896)

Gains / (Losses) transfered to Financial Results throuhg the sales - 1.586.840 - 1.586.840

Defeared Tax - 336.451 - 336.451

Closing Balance 31st December 2014, according to IFRS - (957.591) - (957.591)

ALUMINIUM OF GREECE


6.13 Benefits for employment termination

The amounts that are recognized in the balance sheet and the income statement concern defined

benefit plans and pension plan are as follows:

The current part of these liabilities represents liabilities of ALUMINIUM OF GREECE to current employees

which are expected to be settled during 2014. These liabilities come mainly from pensions at the

balance sheet date. Since no employee has the right to an earlier settlement of the pension adjustment,

the remaining of the pension liabilities is considered as long-term.

ALUMINIUM OF GREECE has established a pension plan given to employees and according to which a

certain percentage of their current salary is converted into pension each year. Pensions that fall into this

plan are paid when the beneficiary reach pension age.

From 1 January 2013 the calculation of benefits in accordance with applicable law, that does not exceed

the applicable percentage of the full severance allowance and the current limits of regular monthly

salary. Guaranteed but the accumulated rights corresponding to year of service up to 31 December 2012

and are a result of a more favorable method of calculating the statutory rights as it was.

The amounts that are recognized in the balance sheet are as follows:

The program’s assets that are retained for funding the program do not include own shares of

ALUMINIUM OF GREECE or any other asset that is used by the Group. The real performance of the

program’s assets in 2014 was 283.804 (2013: 584.410).

The amounts that are recognized in the income statement are as follows:

2014 2013

Long-Term Liabi l i ties for pens ion obl igations 14.686.187 14.196.138

Short-term pens ion obl igations - -

Total 14.686.187 14.196.138

Non-funded

Pension Schemes

Defined

Benefit Plans Total

Non-funded

Pension Schemes

Defined

Benefit Plans Total

Present value of Defined Benefi t Plans - 7.495.185 7.495.185 - 8.151.149 8.151.149

Less : Fa ir va lue of pla n assets - (5.189.509) (5.189.509) - (5.215.899) (5.215.899)

Total - 2.305.676 2.305.676 - 2.935.250 2.935.250

Present value of Defined Contributions Plans 12.380.511 - 12.380.511 11.260.887 - 11.260.887

Total 12.380.511 - 12.380.511 11.260.887 - 11.260.887

Net retirement obligation 12.380.511 2.305.676 14.686.187 11.260.887 2.935.250 14.196.137

2014 2013


The amounts of actuarial gains / losses recognized in other comprehensive income are as follows:

Changes in the current value of a liability for predetermined benefits programs are as follows:

Change in the fair value of the assets of the program during year is as follows:

Non-funded

Pension Schemes

Defined

Benefit Plans Total

Non-funded

Pension Schemes

Defined

Benefit Plans Total

Current employment cost 133.903 - 133.903 246.554 - 246.554

Fina ncia l cos t 394.131 285.290 679.421 472.382 259.295 731.677

Expected return of plan a ssets - 182.556 182.556 - 205.090 205.090

Actuaria l ga ins on pla n assets 460.025 560.818 1.020.843 - - -

Amount included in employees' benefits 988.059 663.552 1.651.611 718.936 54.205 773.141

Expected return of plan a ssets - 182.556 182.556 - 205.090 205.090

Actuaria l ga ins on pla n assets - 101.248 101.248 - 343.320 343.320

Return of plan assets - 283.804 283.804 - 548.410 548.410

2014 2013

Non-funded

Pension Schemes

Defined

Benefit Plans Total

Non-funded

Pension Schemes

Defined

Benefit Plans Total

Opening Balance (1.206.335) (825.899) (2.032.234) 1.607.303 2.451.863 4.059.167

Net a ctua ria ly (profi ts )/ losses real i sed for the

period (1.853.456) (326.874) (2.180.330) (2.813.638) (3.277.763) (6.091.401)

Cumulative amount recognized in OCI (3.059.791) (1.152.773) (4.212.564) (1.206.335) (825.899) (2.032.234)

2014 2013

Non-funded

Pension Schemes

Defined

Benefit Plans Total

Non-funded

Pension Schemes

Defined

Benefit Plans Total

Balance at beginning of year 11.260.887 8.151.149 19.412.036 10.050.680 5.516.908 15.567.588

Employment Cost 133.903 - 133.903 246.554 - 246.554

Interest Cost 394.131 285.290 679.421 472.382 259.295 731.677

Settlement Cost 460.025 560.818 1.020.843 - - -

Actuaria l Gains/Losses 1.853.456 428.122 2.281.578 2.813.638 3.621.082 6.434.721

Gra nts Payable 1.721.891 1.930.194 3.652.085 2.322.367 1.246.136 3.568.503

Total Retirement Obligation 12.380.511 7.495.185 19.875.696 11.260.887 8.151.149 19.412.036

2014 2013

2014 2013

Defined

Benefit Plans

Defined

Benefit Plans

Balance at beginning of year 5.215.899 4.363.625

Anticipated return on as s ets 182.556 205.090

Actuaria ly (profi ts )/ los ses 101.248 343.320

Employer contributions 1.620.000 1.550.000

Contributions pa id 1.930.194 1.246.136

Balance at closing of year 5.189.509 5.215.899


For determining the pension liability, the following proportional principles were used:

The contributions that are expected to be paid for the program in the fiscal year 2015 amounts to €1.8

million.

Employment Cost

6.14 Loan liabilities

The financial liabilities of the company are analyzed in the following table:

In November 2013 ALUMINIUM OF GREECE issued syndicated loan of € 145 million, which was held by

restructuring existing debt. The loan term is 3 years, extendable for another 2 years, 5 years in total.

2014 2013

Discount rate 2,50% 3,50%

Inflation 1,50% 1,50%

Expected rate of pens ion increases 0,00% 0,00%

(Amounts in €) 31/12/2014 31/12/2013

Wages & Salaries 29.776.787 30.455.817

Employeer Contributions 8.378.410 9.042.286

Amount included in employees' benefits 1.651.611 773.141

Total Personnel Costs 39.806.808 40.271.243

ALUMINIUM OF GREECE

(Amounts in €) 31/12/2014 31/12/2013

Long-term debt

Bonds 111.790.367 131.897.431

Total 111.790.367 131.897.431

Short-term debt

Overdraft 48.128.071 31.865.073

Total 48.128.071 31.865.073

Current portion of non-current liabilities 20.865.500 5.655.000

Total 180.783.938 169.417.503

ALUMINIUM OF GREECE


6.15 Other long-term liabilities

Other long term liabilities are analyzed as follows:

The amounts which appeared in category “Others” concern energy product supplier‘s liabilities. These

amounts will be settled after the end of 2015.

6.16 Provisions

Provisions referring to Company are recognized if the following are met legal or implied liabilities exist as

a consequence of past events, there is a possibility of settlement that will require the outflow if

economic benefits and the amount of the liability can be measured reliably. Contingent receivables are

not recognized in the financial statements but are disclosed if there is a possibility of an inflow of

economic benefits.

Following is stated analysis of the Company’s provisions on 31/12/2014 and 31/12/2013:

(Amounts in €) 31/12/2014 31/12/2013

Grants

Total Opening 31.084.121 26.062.810

Additions - 7.024.872

Transfer At Profits/Loss - -

Transfer From / (To) Short - Term (1.050.895) -

Depreciation For The Period (1.885.883) (2.003.561)

Closing Balance 28.147.343 31.084.121

Other

Total Opening 48.557.332 -

Transfer From / (To) Short - Term (48.557.332) 48.557.332

Closing Balance - 48.557.332

Total 28.147.343 79.641.453

ALUMINIUM OF GREECE

(Amounts in €)

Environmental

RestorationTax liabilities

Electrolisis Pots

ReliningOther Total

01/01/2013 1.000.000 250.000 14.967.379 2.655.096 18.872.475

Additions From Acquisition/Consolidation Of Subsidiaries - - - - -

Sale Of Subsidiary - - - - -

Additional Provisions For The Period - - 1.862.000 - 1.862.000

Unrealised Reversed Provisions (1.000.000) - - (1.283.671) (2.283.671)

Realised Provisions For The Period - - (2.977.354) - (2.977.354)

31/12/2013 - 250.000 13.852.025 1.371.425 15.473.450

Long -Term - 250.000 13.852.025 1.371.425 15.473.450

Short - Term - - - -

Additions From Acquisition/Consolidation Of Subsidiaries - - - - -

Sale Of Subsidiary - - - - -

Additional Provisions For The Period - - 1.261.759 0 1.261.759

Unrealised Reversed Provisions - - - (1.200.000) (1.200.000)

Exchange Rate Differences - - - - -

Realised Provisions For The Period - - (2.884.185) 0 (2.884.185)

31/12/2014 - 250.000 12.229.599 171.425 12.651.024

Long -Term - 250.000 12.229.599 171.425 12.651.024

Short - Term - - - -

ALUMINIUM OF GREECE


Environmental Restoration. This provision represents the present value of the estimated costs to

reclaim quarry sites and other similar post-closure obligations.

Tax Liabilities. This provision relates to future obligations that may result from tax audits. This

provision is expected to be in used in the next 3 years.

Electrolysis pots relining. This provision relates to future costs for Electrolysis pots relining. The

provisions for Electrolysis pots relining are expected to be in used in the next 9 years.

Other provisions. Comprise other provisions relating to other risks none of which are individually

material to the Company and to contingent liabilities arising from current commitments.

6.17 Suppliers and other trade liabilities

With the exception of liabilities from financial leases all other liabilities are considered as short-term. The

fair values of trade and other liabilities are not shown separately because of their short-term liabilities,

management considers that their accounting values that are recognized in the balance sheet constitute a

reasonable approach of their fair value. The analysis of trade and other liabilities are shown in the table

below:

6.18 Current tax liabilities

Current tax liabilities of the company are analyzed as follows:

(Amounts in €) 31/12/2014 31/12/2013

Suppliers 137.473.349 132.087.748

Customers' Advances 16.370.196 10.654.674

Total 153.843.546 142.742.422

ALUMINIUM OF GREECE

(Amounts in €) 31/12/2014 31/12/2013

Tax l iabil ities 5.025.299 1.806.668

Total 5.025.299 1.806.668

ALUMINIUM OF GREECE


6.19 Other short-term liabilities

Other short-term liabilities are analyzed as follows:

6.20 Cost of goods sold

Expenses analysis of the company is analyzed as follows:

(Amounts in €) 31/12/2014 31/12/2013

Liabil ities to Related Parties 125.000 1.086.874

Accrued expense 5.129.629 4.690.477

Social security insurance 1.958.951 2.172.380

Deferred income-Grants 1.050.895 -

Others Liabil ities 8.461.190 6.263.627

Total 16.725.665 14.213.359

ALUMINIUM OF GREECE

(Amounts in €) 31/12/2014 31/12/2013

Retirement benefits 73.883 764.945

Other employee benefits 37.358.767 38.379.501

Cost of materials & inventories 187.852.950 145.860.419

Third party expenses 20.713.337 8.602.554

Third party benefits 132.655.268 200.682.205

Operating leases rent 1.261.175 1.669.274

Taxes & Duties 6.073.389 1.016.503

Advertisement 358.406 198.155

Other expenses 4.459.134 8.770.419

Depreciation - Tangible Assets 27.026.028 28.029.286

Depreciation - Intangible Assets 39.342 45.679

Grants amortization incorporated to cost (1.885.883) (2.003.561)

Total 415.985.797 432.015.380

ALUMINIUM OF GREECE


6.21 Administrative & Distribution Expenses

6.22 Other Operating Income – Expenses

No impairment loss was recognized in financial assets for the periods presented.

(Amounts in €) 31/12/2014 31/12/2013

Distribution expenses

Other emploee benefits 502.145 535.320

Third party expenses 152.306 258.355

Third party benefits 26.030 32.268

Taxes & Duties 2.688 4.246

Other expenses 208.785 243.157

Depreciation - Intangible Assets 12.301 11.587

Total 904.255 1.084.934

ALUMINIUM OF GREECE

(Amounts in €) 31/12/2014 31/12/2013

Administrative expenses

Other emploee benefits 724.534 1.118.702

Third party expenses 5.938.418 5.902.728

Third party benefits 821.437 882.213

Taxes & Duties 58.899 22.357

Other expenses 1.304.821 1.031.541

Depreciation - Tangible Assets 2.864.535 1.059.683

Total 11.712.643 10.017.225

ALUMINIUM OF GREECE

(Amounts in €) 31/12/2014 31/12/2013

Other operating income

Income from Subsidies 140.994 181.813

Compensations 35.071 (21.953.918)

Profit from foreign exchange differences 11.937.376 7.407.137

Rent income 672.821 681.136

Income from reversal of unrealized provisions 1.702.157 2.519.856

Profit from sale of fixed assets - 50

Other 5.168.899 51.253.279

Total 19.657.318 40.089.354

Other operating expenses

Losses from foreign exchange differences 16.444.604 15.158.677

Operating expenses from services 185.029 913.880

Other taxes 47.307 69.117

Total 16.676.940 16.141.674

ALUMINIUM OF GREECE


Variations in exchange rates for the years 2014 and 2013 and their consequences are analyzed in the

Annual report of the Board of Directors as well as in note 4 about risk management.

The Company went forward to the reversal of the depreciation’s provision inventory amounting to €

502.157,23 due to the increase in the net realizable value of sale of alumina and aluminium products in

the year 2014.

6.23 Financial revenues and expenses

Financial expenses include any revenue or expense in relation to interest, apart from interest from

financial assets recorded in fair value in the income statement. The following amounts are included in

the income statement and are analyzed as follows:

6.24 Other Financial results

6.25 Earnings/ (losses) per share

Basic earnings per share are calculated by the weighted average number of ordinary shares in issue

during the year.

(Amounts in €) 31/12/2014 31/12/2013

Financial income

Bank deposits 14.846 42.596

Customers 2.947.119 1.085.378

Loans to related parties 3.424.360 2.918.579

Other 92.021 158.851

Total 6.478.346 4.205.405

Financial expenses

Bank Loans 10.561.920 12.079.564

Loans to related parties 7.794 315.313

Letter of Credit commissions 698.643 666.434

Factoring 3.110.311 2.501.240

Other Banking Expenses 7.576.635 10.047.900

Total 21.955.302 25.610.451

ALUMINIUM OF GREECE

(Amounts in €) 31/12/2014 31/12/2013

Other financial results

Profit / (loss) from fair value of other

financial instrument through profit/los (2.209.999) -

Total (2.209.999) -

ALUMINIUM OF GREECE


6.26 Income Tax

The amount of tax on profit before tax of the company differs from the theoretical amount that would

arise using the tax rate applied in the profit of the consolidated companies. The relationship between

the expected tax expense, based on the true company tax rate, and the tax expense that was actually

recognized in the income statement, is the following:

Starting with the year 2011 and in accordance with paragraph 5 of Article 82 of Law 2238/1994, the

companies whose financial statements are audited by mandatory statutory auditor or audit firm, under

the provisions of Law 2190/1920, are subject to a tax audit by statutory auditors or audit firms and

receives annual Tax Compliance Certificate. In order to consider that the fiscal year was inspected by the

tax authorities, must be applied as specified in paragraph 1a of Article 6 of POL 1159/2011.

For the fiscal years 2012 and 2013, the Company which was subject to tax audit by statutory auditors or

audit firm, under paragraph 5 Article 82 of Law 2238/1994, received a Tax Compliance Certificate free of

disputes.

For fiscal year 2014, the tax audit which is being carried out by the auditors is not expected to result in a

significant variation in tax liabilities incorporated in the financial statements.

(Amount in €) 1/1-31/12/2014 1/1-31/12/2013

Profit/(Loss) attributable to shareholders of the

parent 14.966.150 (40.987.489)

Weighted average shares 5.900.000 5.900.000

Basic earnings per share 2,5366 (6,9470)

Diluted Earnings per Share 2,5366 (6,9470)

ALUMINIUM OF GREECE

(Amount in €) 31/12/2014 31/12/2013

Income Tax - 1.141.136

Deferred taxation 3.406.217 27.484.777

Other Taxes 885.716 -

Total 4.291.933 28.625.913

Earnings before tax 19.258.083 (12.361.576)

Nominal Tax rate 26% 26%

Tax calculated at the statutory tax rate of 26% 5.007.102 (3.214.010)

Non taxable income (442.561) -

Non tax deductible expenses - 3.214.010

Income tax from land - plot & buildings 885.716 1.141.136

Other (1.158.324) 27.484.777

Effective Tax Charge 4.291.933 28.625.913

ALUMINIUM OF GREECE


Finally, the Finance Ministry carry out the tax audit for the fiscal years 2011, 2012 as concern the

emphasize issues that was framed by the auditors during the auditing of these fiscal years.

6.27 Cash Flows from operating activities

6.28 Related Party transactions

In context of operational activity, materials, inventories and services originate from a number of related

parties of the company. The transactions with these companies take place on purely trade basis,

whereas no business transactions take place. ALUMINIUM OF GREECE did not participate in any

transaction of unusual nature or content which is significant for the Company it participates, or for

companies and the people closely related to it, and does not intend to participate in any kind of similar

transactions in the future.

Related party transactions according to IAS 24 are shown in the table below:

(Amounts in €) 1/1-31/12/2014 1/1-31/12/2013


Adjustments for:

Tax 4.291.933 28.625.913

Depreciation of property,plant and equipment 29.890.562 27.085.408

Depreciation of intangible assets 51.644 57.266

Impairments 1.969.612 -

Provisions (2.822.426) (5.261.025)

Profit/Loss from sale of tangible assets - (50)

Profit/Loss from fair value valuation of financ.assets at fair value through PnL 2.209.999 -

Interest income (6.478.346) (4.205.405)

Interest expenses 21.955.302 25.610.451

Grants amortization (1.885.883) -

Total 49.182.398 71.912.558

Changes in Working Capital

(Increase)/Decrease in stocks 1.844.685 15.344.879

(Increase)/Decrease in trade receivables (9.223.618) (6.991.652)

Increase / (Decrease) in l iabil ities (37.807.731) (2.335.431)

Pension plans (1.690.280) (3.099.226)

Total (46.876.945) 2.918.569

Cash flows from operating activities 17.271.603 33.843.639

ALUMINIUM OF GREECE



Transactions with management

Benefits to management are analyzed as follows:

BOD fees include yearly wages as well as bonus related to the achievement of certain goals .No loans

have been given to members of the Board of Directors or other management members of the Company

(and their families).

6.29 Dividend

On 30 October 2014 the Extraordinary General Meeting of Shareholders decides to approve the payment

of dividend to the Shareholder Company with the amount of 1.475.000,00 € or 0,25 € / stock from the

part distribution of specially taxed reserve, from revaluation’s differences based on N.3229/04, which is

depicted into a) the Company’s books of taxation, the balance sheet accounts “revaluation’s differences

– Investment Grants” and b) the Company’s books, the balance sheet accounts “Retained Earnings”.

This particular decision is going to be confirmed during the next Regular General Meeting of

Shareholders where will be approved the Financial Statements of 2014. The Board of Directors proposal

to the General Meeting of Shareholders will be the distribution of dividend to the Shareholder Company

with the amount of 1.475.000,00 € or 0,25 € / stock.

6.30 Number of employees

(Amounts in €) 31/12/2014 31/12/2013

Short term employee benefits

- Wages and Salaries and BOD Fees 4.957.856 4.810.227

- Insurance service cost 182.414 196.280

Total 5.140.269 5.006.507

Pension Benefits:

- Defined contribution scheme 3.647 3.647

Total 5.143.916 5.010.154

ALUMINIUM OF GREECE

31/12/2014 31/12/2013

Full time employees 943 942

Total 943 942

ALUMINIUM OF GREECE


6.31 Contingent assets and contingent liabilities

Note on Independent Power Transmission Operator S.A. (ADMIE)

On 17.12.2014, Independent Power Transmission Operator S.A. (IPTO or ADMIE) sent briefing notes to

ALUMINIUM OF GREECE (henceforth the “Company”), requesting the issuance of a credit invoice for the

amount of €17.4 million relating to the Excise Tax (ET) on Gas consumed at the Combined Heat and

Power (CHP) Plant for the period of 28/11/2012 until 31/10/2013 (henceforth the “Period”). Said ET was

invoiced to ADMIE during the aforementioned period, pursuant to its related debit notes.

In relation to the above, we note the following:

- The CHP station is a dispatchable cogeneration unit, part of which qualifies as highly efficient (High-

Efficiency Combined Heat and Power/ HE-CHP) under the Code’s provisions, but also under the specific

operational terms which were approved by way of RAE’s Decision No. 700/2012 (as amended by

Decision 341/2013).

- According to Article 197(2) of Law 4001/2011, from 1/9/2011 onwards, all HE-CHP stations, regardless

of their installed capacity, gain priority for the allocation of their loads. In particular, in accordance with

Article 197(3) of the above Law, HE-CHP stations with an installed capacity over 35MW are to be

compensated with the tariff which derives from the table displayed in Law 3468/2006, plus the Natural

Gas Clause Coefficient (CC), which is calculated using the following formula: CC = 1+(AGP-26)/(100 x

nel)

Where:

o AGP: the monthly mean average unitary selling price of natural gas to NG users in

Greece who are also electricity customers, in €/MWh using the gross calorific value

(GCV). This value is determined by the Ministry of Environment, Energy and Climate

Change’s Petroleum Policy Directorate and is communicated to Hellenic Transmission

System Operator S.A. (HTSO or DESMIE) on a monthly basis.

� nel: the electrical efficiency of the provision for High-Efficiency CHP based on

the gross calorific value (GCV) of natural gas, which is defined in accordance

with the station’s technical information, as reported by the relevant Operator.

The CC value cannot be lower than one (1) and is determined on a case-by-case basis by way of a

decision made by the Minister of Environment, Energy and Climate Change (henceforth the “Ministerial

Decision”) following consultation by RAE. RAE’s opinion must also take the plant’s installed capacity into

account, in a way so that the determined value generally decreases as the capacity increases.

Moreover, the AGP is displayed in €/MWh and includes the ET, as specified in the letter sent by the

Ministry of Environment, Energy and Climate Change’s Petroleum Policy Directorate on 2/11/2011.

The High-Efficiency CHP station owned by the Company has an installed capacity of 334MW, of which

134.6MW has priority in entering the system (HE-CHP) in accordance with the aforementioned decisions


which approved the Specific Operational Terms. From 1/9/2011 until 31/10/2013 (which ADMIE set as

the final date for settling the ET), the CC value, as defined above, had not been established because the

relevant decision had not been issued by the Minister of Environment, Energy and Climate Change,

despite the fact that the Regulatory Authority for Energy had issued two relevant opinions in accordance

with the provisions of Article 197(2) of Law 4001/2011 (RAE 3/2012 and RAE 5/2013). Consequently, the

Company’s HE-CHP neither issued invoices nor received a tariff in accordance with the provisions of Law

4001/2011. Instead, following the signing of a Private Agreement between the Company and the

Operator of Electricity Market (LAGIE) on 26.4.2013, HE-CHP issued temporary invoices, for the entire

aforementioned period, at the minimum price which could have resulted from the application of the

mathematical formula established by Law 4001/2011 (if the CC value was set at the unit price, i.e., if the

AGP amounted to 26€/MWh). According to the Private Agreement, the final settlement was to take place

following the establishment of the CC by way of the issuance of the relevant Ministerial Decision, so that

dispatched HE-CHP energy would be compensated in accordance with the provisions of the

"Supplementary Agreement for Transactions relating to Electricity from the Dispatchable High-Efficiency

CHP Station” (Government Gazette B’ 3108/23.11.2012) which was concluded between the Company

and LAGIE on 28.11.2012.

The aforementioned provisions of Law 4001/2011, in conjunction with the provisions specified in the

letter sent by the Ministry of Environment, Energy and Climate Change’s Petroleum Policy Directorate, as

well as the provisions of both the Company’s Private Agreement with LAGIE and the “Supplementary

Agreement for Transactions relating to Electricity from the Dispatchable High-Efficiency CHP Station”

between the two parties, require that the Natural Gas ET is recovered to the extent that the natural gas

was consumed in generating electricity. Therefore, the Subsidiary also recognized the part of the Natural

Gas ET which corresponded to consumptions made in generating useful heat (steam for the Alumina

production process) as a liability (deducted from ADMIE’s receivables balance), the total value of which

amounted to €9.1 million.

Regarding the remaining balance of ADMIE’s relevant briefing note, which amounts to €8.3 million and

relates to the Natural Gas ET which corresponded to consumptions for electricity generation (HE- CHP),

it is noted that this does not constitute a liability for the Company. Specifically, in accordance with IAS

37, “a liability is a present obligation of the entity arising from past events, the settlement of which is

expected to result in an outflow from the entity of resources embodying economic benefits”. Based on

the above and given that the Company has not received a final compensatory price for the Period (by

way of the CC, see above), while, based on the Private Agreement between the Company and LAGIE,

the final settlement will take place following the issuance of the relevant Ministerial Decision regarding

the establishment of the CC (which has not been issued), the Company believes that it has no

commitment which would legally constitute an obligation to return the amount of €8.3 million. A relevant


liability may arise once the aforementioned Ministerial Decision regarding the establishment of the CC is

issued, in which case the Company estimates that the final compensation that it will receive for

electricity dispatched to the system as High-Efficiency CHP will exceed the amount of €8.3 million.

Therefore, it is not expected that a loss will result for the Company.

Power purchase agreement between ALUMINIUM OF GREECE and PPC

Following arbitral decision no. ∆1/1/2013, which was issued by RAE’s Permanent Court of Arbitration on

31.10.2013 and which defined the fair, reasonable and worthy price for the electricity supplied by PPC to

ALUMINIUM OF GREECE (henceforth the “Company”) during the period of time between 1-7-2010 and

31-12-2013, the two parties have not signed a power purchase agreement for the period between

1/1/2014 and the date on which the financial statements for the year 2014 were

published.

On 7/1/2014, PPC’s Board of Directors requested the convening of an Extraordinary General Meeting,

the main topic of discussion of which concerned the terms by which the Company would be charged

from 1/1/2014 onwards. PPC’s Extraordinary General Meeting eventually convened on 28/2/2014 and

decided the following:

a) The provision of an exceptional discount of 10% on PPC’s approved tariffs for High Voltage

customers, for 1 + 1 year, from 1.1.2014 onwards.

b) A further 10% discount on top of the aforementioned discount for High Voltage customers with an

annual consumption over 1000 GWH.

c) A further 25% discount on the A4 tariff for all High Voltage customers, apart from those with an

annual consumption over than 1000 GWH, for consumption during off-peak hours of minimum demand

(nighttime and weekends), as an incentive for increasing consumption during these time periods.

The Company considers that the content of the decision taken during PPC’s Extraordinary General

Meeting, under a, b and c above, merely constitutes an offer of pricing terms on behalf of PPC, towards

their large industrial customers. In this respect, the Company has engaged in discussions with PPC in

good faith, expressing both its opinions and its reservations in relation to the terms and content of the

power purchase agreement under negotiation. In particular, the aforementioned decision of the

Extraordinary General Meeting of PPC's shareholders has been considered taking into account relevant

developments in general. Among other things, said developments relate to the rejection of all the judicial

and administrative proceedings instituted by PPC against the Arbitral Award and RAE’s Decision no.

346/2012 (the decision which determined a temporary price to be applied until RAE’s Permanent Court

of Arbitration’s final adjudication) before both the Administrative Court of Appeal of Athens and the

European Commission's Directorate-General for Competition, a fact which confirms and updates the

fairness and reasonableness of the price at which the Court of Arbitration concluded.


Consequently, given that as of the date of approval of ALUMINIUM OF GREECE’s annual financial

statements for the year 2014, the two parties have not yet reached an agreement in relation to the basic

terms for charging electricity supplied by PPC to the Company, the latter has announced in the results

for the period in question that the competitive component of the electricity price amounts to the value

which has most recently been held to be fair and reasonable (by RAE’s Permanent Court of Arbitration),

plus the Use of System charge, the SGI charge, the Special RES Duty charge and

charges relating to the relevant Special Consumption Tax, Execution of Customs Operations (∆ΕΤΕ) and

provisions for non-recoverable (by way of the compensation mechanism) carbon dioxide (CO2)

emissions costs. The aforementioned price, as announced by the Company in its results for the year

2014, does not differ substantially from the value deriving from the decision of PPC’s Extraordinary

General Meeting, as this has been interpreted/applied by the Subsidiary during negotiations between the

parties.

However, it is noted that during 2014, PPC, acting arbitrarily and unilaterally, invoiced the Company

based on the “A5” tariff, without incorporating the discount decided in the General Meeting, noting that

the discount would only apply retrospectively if the Subsidiary Company accepted and signed PPC’s

terms. Finally, on the 12th and 13th of January 2015, without the Company’s acceptance of the

aforementioned terms, PPC issued credit notes as a result of the re-pricing of electricity for the year

2014, stating that said re-pricing was in accordance with the decision of its General Meeting on

28/2/2014.

The Company contests the way in which PPC’s Management has interpreted and applied the General

Meeting’s decision of 28/2/2014 in relation to the issuance of the aforementioned credit tariffs, stressing

that in no case have they ever reached an agreement with PPC either on the basis of the General

Meeting resolution, or on any other basis, given that decisions taken by a Company’s General Assembly

are only binding to the company issuing the General Assembly resolution and do not bind other

contracting parties.

For the year 2014, the difference between the amount announced in the Company’s results as the cost

for electricity consumption and the amount that it would have announced on the basis of the tariffs

which PPC unilaterally and arbitrarily formed, amounts to €20.6 million. Similarly, the difference between

the amount announced in the Company’s results as the cost for electricity consumption and the amount

that it would have announced in implementation of PPC’s Extraordinary General Meeting resolution, as

this has been interpreted by the Company during negotiations between the parties, amounts to €4.3

million.

However, it is noted that the two parties have not yet, as of the date of approval of the Company’s

Financial Statements, reached an agreement. Therefore, none of the above differences constitute

contingent liabilities, nor can they be considered as such, because contingent claims and contingent


liabilities which cannot be accurately estimated at this stage may arise for the Company, as a result of

the finalization of negotiations between the two parties, or following new legal or arbitration procedures,

or procedures before another competent authority.

6.32 Commitments

6.32.1 Operating lease deposit – the company as a lessor

The company leases offices and land in various related parties.

6.32.2 Operating lease deposit – the company as a lessee

The expense amount of the lease that was recorded in the income statement for the current fiscal year

amounts to € 79.433,10. The future lease payments based on the non-reversible financial leases on the

31st December 2013 is analyzed as follows:

6.32.3 Warranties

Warranties of ALUMINIUM OF GREECE:

ALUMINIUM OF GREECE also received the following warranties:

(Amounts in €) 31/12/2014 31/12/2013

Until 1 year 192.970 70.000

1 to 5 years 771.880 220.000

> 5 years - -

Total Operating Lease 964.850 290.000

ALUMINIUM OF GREECE

31/12/2014 31/12/2013

Guarantees given on government grants relating to tangible

fixed assets 0 0

Other guarantees (letters of credit) 30.524.210 23.488.040

Total 30.524.210 23.488.040

31/12/2014 31/12/2013

Customer Warranties 8.545.000 10.095.000

Other guarantees (letters of credit) 9.110.599 8.743.585

Total 17.655.599 18.838.585


6.33 Financial Instruments

Company‘s Financial Instruments are analyzed as follows:

6.34 Tax Authorities Control

For the fiscal year 2012 and 2013, the Company which was subject to tax audit by statutory auditors or

audit firm, under paragraph 5 Article 82 of Law 2238/1994, received a Tax Compliance Certificate free of

disputes.

For fiscal year 2014, the tax audit which is being carried out by the auditors is not expected to result in a

significant variation in tax liabilities incorporated in the financial statements.

Finally, the Finance Ministry carry out the tax audit for the fiscal years 2011, 2012 as concern the

emphasize issues that was framed by the auditors during the auditing of these fiscal years.

The Company’s management considers that apart from the recorded provisions which are amounted on

€ 0.3 million during 2014, additional taxes which may incur, will not have a material impact on the

Financial Position Results and Company’s cash flows.

(Amount in €) 31/12/2014 31/12/2013

Non current assets

Other Long-term Receivables 161.594 185.458

Total 161.594 185.458

Current assets

Trade and other receivables 171.537.996 159.040.659

Cash and cash equivalents 3.206.357 8.727.400

Total 182.895.230 172.856.422

Non-Current Liabilities

Long-term debt 111.790.367 131.897.431

Other long-term liabil ities - 48.557.332

Total 111.790.367 180.454.762

Current Liabilities

Short-term debt 48.128.071 31.865.073

Trade and other payables 20.865.500 5.655.000

Total 170.569.211 156.955.781

Total 239.562.782 194.475.854

ALUMINIUM OF GREECE


6.35 Post Balance Sheet events

On 26/1/2015, was activated the extension of the Company’s goal that had been decided by the

Extraordinary General Meeting on 26/2/2014, by adding as secondary activity of industrial chemicals and

in particular the trade of oxides, hydroxides and peroxides (No.K.A.D.46.75.12.43).

There are no other significant subsequent events that relate to the Company, which is required by the

International Financial Reporting Standards (IFRS).


F. FIGURES AND INFORMATION


G. AVAILABILITY OF FINANCIAL STATEMENTS

The Annual Financial Statements of the Company, the auditor’s report and the report of the Board of

Directors have been posted on the web site of the Company www.alhellas.gr. On Group’s website

www.mytilineos.gr there is, in electronic form, the Annual Financial Statement and the Annual

Newsletter of the previous fiscal and other important information.

THE PRESIDENT OF THE BOARD

SPYRIDON KASDAS

I.D. No ΑΒ050826

THE MANAGING DIRECTOR

DIMITRI STEFANIDIS

I.D. No AI994068

THE DIRECTOR FINANCE CONTROL

IOANNIS BOUBONARIS

I.D. No AM499302

THE CHIEF ACCOUNTANT

STERGIOS KARAMELISSARIS

I.D. No X312904

Reg. No. 65196/A' Class

Documents

ALUMINIUM OF GREECE · 2016. 3. 2. · Annual Financial Report for the period from1st of January to 31st of December 2014 5 A. REPRESENTATION OF THE MEMBERS OF THE BOARD OF DIRECTORS