tailieunhanh - Unaudited Public Financial Report for the 1st quarter of 2012

Creative accounting offers a formidable challenge to the accounting profession. Professional accountants need an education that would ensure the specific application knowledge necessary to practice accounting ethics and morals. To be considered ethical, accounting practice should include not only compliance with specific rules and laws. The process of being ethical has to include the process of interpreting the underlying motives and theories. To be truly ethical, professional accountant must know why certain actions are good and others are bad. In order to be able to do that, it is essential to develop values and virtues. Since values provide a stimulus. | Unaudited Public for the 1st quarter Financial Report of 2012 JSC Reverta Unaudited public financial report for the 1st quarter of 2012 Contents Management The Council and the Management Statement of Responsibility of the Statements of Comprehensive Statements of Financial Statements of Changes in Statements of Cash Consolidation Group 2 JSC Reverta Unaudited public financial report for the 1st quarter of 2012 Management Report Dear Shareholders and Cooperation Partners The Management Reverta until 10 May 2012 known as Parex banka is pleased to report results for the first quarter of 2012. We continued to meet objectives and accomplish tasks set forth at the same time implementing new business solutions in the area of loan restructuring. Owing to the success in loan restructuring Reverta was able to repay LVL 8 million to the Ministry of Finance sooner than envisaged in the Restructuring plan. All in all economic activity of Reverta has been in compliance with the Restructuring plan and the reporting period was closed with LVL million in losses as planned. Similarly as before losses consist mainly of two items provisions for unsecured loans and interest expenses exceeding interest income. In comparison with first quarter of 2011 when provisions were reduced by LVL 6 million respective accounting period of 2012 presents additional provisions of LVL 700 000. Net interest expenses during the accounting period have reduced by LVL million if compared with the respective period of 2011 which is due to the syndicated loan repayment LVL 164 million made last year. Considering that loan portfolio of Reverta consists of distressed loans with permanent payment discipline problems debt recovery is intensive. By the end of the accounting period experts of Reverta Litigations Division worked on more than 2500 loan cases in different stages. In the current economic environment and .