$118$/ 5(3257 )<
5HSRUW RQ WKH )LQDQFLDO 6WDWHPHQWV
:H KDYH DXGLWHG WKH FRQVROLGDWHG ILQDQFLDO VWDWHPHQWV RI +RWHO 5R\DO /LPLWHG WKH ³&RPSDQ\´ DQG LWV
VXEVLGLDULHV WKH ³*URXS´ ZKLFK FRPSULVH WKH VWDWHPHQW RI ILQDQFLDO SRVLWLRQ RI WKH *URXS DQG RI WKH &RPSDQ\
DV DW 'HFHPEHU
DQG WKH VWDWHPHQW RI SURILW RU ORVV VWDWHPHQW RI SURILW RU ORVV DQG RWKHU FRPSUHKHQVLYH
LQFRPH VWDWHPHQW RI FKDQJHV LQ HTXLW\ DQG VWDWHPHQW RI FDVK IORZV RI WKH *URXS DQG WKH VWDWHPHQW RI
FKDQJHV LQ HTXLW\ RI WKH &RPSDQ\ IRU WKH \HDU WKHQ HQGHG DQG D VXPPDU\ RI VLJQLILFDQW DFFRXQWLQJ SROLFLHV
DQG RWKHU H[SODQDWRU\ LQIRUPDWLRQ DV VHW RXW RQ SDJHV WR
0DQDJHPHQW¶V 5HVSRQVLELOLW\ IRU WKH )LQDQFLDO 6WDWHPHQWV
0DQDJHPHQW LV UHVSRQVLEOH IRU WKH SUHSDUDWLRQ RI ILQDQFLDO VWDWHPHQWV WKDW JLYH D WUXH DQG IDLU YLHZ LQ
DFFRUGDQFH ZLWK WKH SURYLVLRQV RI WKH 6LQJDSRUH &RPSDQLHV $FW WKH ³$FW´ DQG 6LQJDSRUH )LQDQFLDO
5HSRUWLQJ 6WDQGDUGV DQG IRU GHYLVLQJ DQG PDLQWDLQLQJ D V\VWHP RI LQWHUQDO DFFRXQWLQJ FRQWUROV VXIILFLHQW WR
SURYLGH UHDVRQDEOH DVVXUDQFH WKDW DVVHWV DUH VDIHJXDUGHG DJDLQVW ORVV IURP XQDXWKRULVHG XVH RU GLVSRVLWLRQ
DQG WUDQVDFWLRQV DUH SURSHUO\ DXWKRULVHG DQG WKDW WKH\ DUH UHFRUGHG DV QHFHVVDU\ WR SHUPLW WKH SUHSDUDWLRQ RI
WUXH DQG IDLU ILQDQFLDO VWDWHPHQWV DQG WR PDLQWDLQ DFFRXQWDELOLW\ RI DVVHWV
$XGLWRUV¶ 5HVSRQVLELOLW\
2XU UHVSRQVLELOLW\ LV WR H[SUHVV DQ RSLQLRQ RQ WKHVH ILQDQFLDO VWDWHPHQWV EDVHG RQ RXU DXGLW :H FRQGXFWHG
RXU DXGLW LQ DFFRUGDQFH ZLWK 6LQJDSRUH 6WDQGDUGV RQ $XGLWLQJ 7KRVH VWDQGDUGV UHTXLUH WKDW ZH FRPSO\ ZLWK
HWKLFDO UHTXLUHPHQWV DQG SODQ DQG SHUIRUP WKH DXGLW WR REWDLQ UHDVRQDEOH DVVXUDQFH DERXW ZKHWKHU WKH
ILQDQFLDO VWDWHPHQWV DUH IUHH IURP PDWHULDO PLVVWDWHPHQW
$Q DXGLW LQYROYHV SHUIRUPLQJ SURFHGXUHV WR REWDLQ DXGLW HYLGHQFH DERXW WKH DPRXQWV DQG GLVFORVXUHV LQ WKH
ILQDQFLDO VWDWHPHQWV 7KH SURFHGXUHV VHOHFWHG GHSHQG RQ WKH DXGLWRU¶V MXGJHPHQW LQFOXGLQJ WKH DVVHVVPHQW RI
WKH ULVNV RI PDWHULDO PLVVWDWHPHQW RI WKH ILQDQFLDO VWDWHPHQWV ZKHWKHU GXH WR IUDXG RU HUURU ,Q PDNLQJ WKRVH ULVN
DVVHVVPHQWV WKH DXGLWRU FRQVLGHUV LQWHUQDO FRQWURO UHOHYDQW WR WKH HQWLW\¶V SUHSDUDWLRQ RI ILQDQFLDO VWDWHPHQWV
WKDW JLYH D WUXH DQG IDLU YLHZ LQ RUGHU WR GHVLJQ DXGLW SURFHGXUHV WKDW DUH DSSURSULDWH LQ WKH FLUFXPVWDQFHV EXW
QRW IRU WKH SXUSRVH RI H[SUHVVLQJ DQ RSLQLRQ RQ WKH HIIHFWLYHQHVV RI WKH HQWLW\¶V LQWHUQDO FRQWURO $Q DXGLW DOVR
LQFOXGHV HYDOXDWLQJ WKH DSSURSULDWHQHVV RI DFFRXQWLQJ SROLFLHV XVHG DQG WKH UHDVRQDEOHQHVV RI DFFRXQWLQJ
HVWLPDWHV PDGH E\ PDQDJHPHQW DV ZHOO DV HYDOXDWLQJ WKH RYHUDOO SUHVHQWDWLRQ RI WKH ILQDQFLDO VWDWHPHQWV
:H EHOLHYH WKDW WKH DXGLW HYLGHQFH ZH KDYH REWDLQHG LV VXIILFLHQW DQG DSSURSULDWH WR SURYLGH D EDVLV IRU RXU
DXGLW RSLQLRQ
2SLQLRQ
,Q RXU RSLQLRQ WKH FRQVROLGDWHG ILQDQFLDO VWDWHPHQWV RI WKH *URXS DQG WKH VWDWHPHQW RI ILQDQFLDO SRVLWLRQ DQG
VWDWHPHQW RI FKDQJHV LQ HTXLW\ RI WKH &RPSDQ\ DUH SURSHUO\ GUDZQ XS LQ DFFRUGDQFH ZLWK WKH SURYLVLRQV RI
WKH $FW DQG 6LQJDSRUH )LQDQFLDO 5HSRUWLQJ 6WDQGDUGV VR DV WR JLYH D WUXH DQG IDLU YLHZ RI WKH ILQDQFLDO SRVLWLRQ
RI WKH *URXS DQG RI WKH &RPSDQ\ DV DW 'HFHPEHU
DQG WKH ILQDQFLDO SHUIRUPDQFH FKDQJHV LQ HTXLW\
DQG FDVK IORZV RI WKH *URXS DQG WKH FKDQJHV LQ HTXLW\ RI WKH &RPSDQ\ IRU WKH \HDU HQGHG RQ WKDW GDWH
5HSRUW RQ 2WKHU /HJDO DQG 5HJXODWRU\ 5HTXLUHPHQWV
,Q RXU RSLQLRQ WKH DFFRXQWLQJ DQG RWKHU UHFRUGV UHTXLUHG E\ WKH $FW WR EH NHSW E\ WKH &RPSDQ\ DQG E\ WKRVH
VXEVLGLDU\ FRUSRUDWLRQV LQFRUSRUDWHG LQ 6LQJDSRUH RI ZKLFK ZH DUH WKH DXGLWRUV KDYH EHHQ SURSHUO\ NHSW LQ
DFFRUGDQFH ZLWK WKH SURYLVLRQV RI WKH $FW
'HORLWWH 7RXFKH //3
3XEOLF $FFRXQWDQWV DQG
&KDUWHUHG $FFRXQWDQWV
6LQJDSRUH
0DUFK
,1'(3(1'(17 $8', 7256¶ 5(3257
72 7+( 0(0%(56 2) +27(/ 52<$/ /,0,7(' $1' ,76 68%6,',$5,(6
