Motivación e ingreso como voluntario de bomberos

(in thousands of Euro)

The condensed consolidated interim financial statements of Cooperativa Muratori e Cementisti CMC di Ravenna S.C. and subsidiaries (hereinafter the “Group” or “CMC Group”) as of and for the nine-month-period ended September 30, 2014 have been prepared pursuant to the regulations introduced by Decree no. 127 of April 9, 1991, which implemented the EC VIIth Directive and comprise the balance sheet and the income statement (prepared in the formats established in arts. 2424 and 2425 of the Italian Civil Code, as appropriately modified by art. 32 of Decree no. 127/91 and Decree no. 6/2003), together with these notes.

The legal requirements have been supplemented, where necessary, with reference to the accounting standards issued by the Italian Accounting Profession (represented by the Consiglio Nazionale dei Dottori Commercialisti e dei Ragionieri) and by the Italian Accountancy Board (OIC), in particular to OIC 30 related to the preparation of interim financial statements and, where lacking, those issued by the International Accounting Standards Board (IASB), where compatible with Italian legislation.

The purpose of the notes is to analyse, explain and, in some cases, supplement the information disclosed in the financial statements. They contain the disclosures required by art. 38 of Decree 127/1991 and Decree 6/2003, as well as the information required by other articles contained in the regulations or in earlier legislation. In addition, the attachments provide all the supplementary information considered necessary in order to present a true and fair view of the economic and financial position of the Group, even if such information is not specifically required by law. In particular, in order to provide a better representation of the financial situation of the Group at six month period-end, the Statement of Cash-flow has been attached.

As in prior years and in compliance with the requirements of the Italian Civil Code, new captions have been added to the financial statements if their content is not covered by any of the captions specified in arts. 2424 and 2425. Risks or losses relating to the year have been considered in the preparation of the financial statements, even if they become known after period-end.

In order to facilitate the Financial Statements and the notes understandability, the tables included in the condensed consolidated interim financial statements have been prepared, pursuant either to OIC 30 (condensed consoldiated interim Financial Statements) and to the ongoing practice, comparing the current data related to the Balance Sheet and the Income Statement with the corresponding amounts as of December 31, 2013.

In addition, it should be noted that:

 the condensed consolidated interim financial statements were prepared using the separate interim financial statements as at September 30, 2014 of the Parent Company and the companies included in the consolidation area, as approved and-or being approved by their respective statutory bodies.

 the financial statements used for consolidation purposes were appropriately adjusted, where necessary, in order to align them to the accounting principles subsequently described, and reclassified into the format required by the Italian Civil Code.

 the financial statements of certain subsidiaries have been adjusted, in order to align the evaluation, made by local Directors to more appropriate criteria according to the Parert Company’s Directors Standards.

In particular, the differences of accounting policies are related to the depreciation rates to the foreign currency translation method as well as to the criteria used for the evaluation of certain contract work-in-progress that, for consolidation purposes, have been aligned to those used by the Parent Company.

CONSOLIDATION PRINCIPLES

The main consolidation principles adopted for the drawing up of the condensed consolidated interim financial statements are described below:

 the carrying amount of investments in companies consolidated on a line-by-line basis, recorded in the financial statements of the Parent Company and the other consolidated companies, is eliminated against the related shareholders' equity, while their total assets, liabilities, costs and revenues are combined without regard for the percentage interest held;

 the difference between the purchase cost and the net equity of the conslidated companies is allocated, where possible, to the assets and liabilities of the consolidated companies, within exceeding their fair value. Any residual difference, representing unallocated purchase costs is accounted for as "Consolidation difference" and amortized on a straight-line basis over the period of expected recoverability, while those representing an equity surplus are classified among the "Consolidation reserve" included among the Shareholders’ equity items;

 significant unrealised profits and losses deriving from intercompany transactions are eliminated, net of any tax effects, as are all intercompany receivables and payables;

 minority interests in shareholders' equity are classified separately among the Shareholders’ equity items, while their interests in the net income/loss of the subsidiaries are classified separately within the consolidated income statement.

Associated companies and Joint Ventures operating in the construction business jointly controlled with other partners are consolidated using the proportional method as required by art. 37 of Legislative Decree No. 127/91. The main policies adopted for the application of this method are described below:

 only the Group's interest in the assets, liabilities, revenues and costs of the businesses concerned is consolidated, rather than the total amount. In addition, the carrying amount of the investments is eliminated against the Group's interest in the related shareholders' equity. Accordingly, the "Minority interest" and "Net income attributable to minority shareholders" captions of the balance sheet and income statement are not disclosed;

 intercompany profits and losses are eliminated on a proportional basis, as are all other consolidation adjustments;

 in case of the elimination of receivables and payables between group companies consolidated in different ways, the third-party interest identified upon proportional consolidation is classified among the amounts due to and from third parties;

 any consolidation differences are accounted for as described in relation to line-by-line consolidation method. Investments in associated companies not operating in the construction business as well as investments in subsidiaries not relevant and for which all the information needed for the consolidation line-by-line were not available are stated in accordance with the Equity method, except for what subsequently mentioned in paragraph “consolidation area”.

Investments in other companies and those in subsidiaries and associated, that are being wound up or which are dormant, are stated in accordance with the cost method.

TRANSLATION IN EURO OF FINANCIAL STATEMENTS IN FOREIGN CURRENCY