Basis of Consolidation

The Consolidated Financial Statements of the ACEA Group include the financial statements of the Parent Company ACEA and those of its Italian and foreign subsidiaries in which it has a direct or direct holding of the majority of exercisable voting rights at ordinary shareholders’ meetings, and therefore the power to govern financial and operating decisions and thereby achieve the related benefits. Entities that the Parent Company jointly controls with other parties are accounted for under proportionate consolidation.

The Group’s basis of consolidation is divided into areas:

 

A)  Changes in basis of consolidation

The basis of consolidation as at 31 December 2012 has changed compared to that of the Consolidated Financial Statements 2011, mainly due to the completion on 31 March 2011 of the winding-up of the joint venture agreement signed in 2002 along with associated mutual relations, positions, rights and obligations (for further information see the full description in the Consolidated Financial Statements as at 31 December 2011). The economic data are therefore not readily comparable to those of 2011.

The changes in the basis of consolidation also concerned:

  • the disposal of ARSE’s PV business unit on 28 December 2012,
  • the merger into ARIA of its subsidiaries EALL, Terni Ena, Enercombustibili and Ergo Ena with effect from 1 September 2011. This transaction did not give rise to changes in the share capital, registered office or the administration and control bodies of ARIA,
  • the merger into Crea Gestioni of Crea Partecipazioni and Acea Rieti with effect from 1 September 2011.
  • the purchase by ACEA in March 2011 of 70% of Acea Servizi Acqua S.r.l. from Smeco Lazio S.r.l.,
  • the purchase by Aquaser at the end of March 2011 of 40% of Innovazione Sostenibilità Ambientale S.r.l. (ISA); at 31 December 2012, it holds 51%,
  • the winding-up of the consortia Acea Ato5 Servizi and Acea Ricerca Perdite in December 2011 and May 2012, respectively.

 

B)   Unconsolidated investments

During application of the above methods of consolidation and of the equity method, the following subsidiaries and associates, which are accounted for at cost, were excluded. It was possible to resort to this applied simplification by taking account of the fact that the investees listed below are inoperative (all in liquidation) and/or are not significant, considered either individually or on an aggregated basis based on qualitative and quantitative factors: 

  1. Luce Napoli, 70% owned by ACEA. Note that this company was placed in liquidation in November 2008;
  2. Tirana Acque S.c.a.r.l. in liquidation, 40% owned by ACEA.