Ministry of Finance of Russian Federation : Federal Law On Consolidated Financial Statements

RUSSIAN FEDERATION FEDERAL LAW from July 27, 2010 № 208-FZ "ON CONSOLIDATED FINANCIAL STATEMENTS" Article 1. The relations governed by this Federal Law

1. This Federal Law defines general requirements for the preparation, presentation and disclosure of consolidated financial statements by a legal entity incorporated in accordance with the legislation of the Russian Federation (hereinafter referred to as "entity").

2. For the purposes of this Federal Law consolidated financial statements are deemed to be a systemized information reflecting financial position, financial performance and changes in financial position of an entity which with other entities and (or) foreign entities is defined as a group in conformity with the International Financial Reporting Standards (hereinafter referred to as "IFRS").

Article 2. Scope of this Federal Law

1. This Federal Law shall apply to:

2. credit institutions;

3. insurance companies (except for medical insurance companies, whose single activity is statutory medical insurance);

4. non-state pension funds;

5. management companies of investment funds, investment unit trusts and non-state pension funds;

6. clearing institutions;

7. federal state unitary enterprises, the list of which shall be approved by the Government of the Russian Federation;

8. joint-stock companies, whose shares are held by the Russian Federation and the list of which shall be approved by the Government of the Russian Federation;

9. other entities, whose securities are listed.

10. In case federal laws provide for the preparation and (or) presentation and (or) disclosure of consolidated financial statements (aggregated accounting statements, aggregated (consolidated) statements and balance sheet), or if charter documents of the entity that is not specified in section 1 of this Article provide for the presentation and (or) disclosure of consolidated financial statements, then such consolidated financial statements shall be prepared in conformity with this Federal Law.

11. [expired]

12. [expired]

13. This Federal Law shall also apply to the preparation, presentation and disclosure of financial statements of entities that do not constitute a group, specified in section 2 of Article 1 of this Federal Law. In the title of such financial statements, the word "consolidated" shall not be applied.

14. This Federal Law shall not be applied by the public sector companies.

15. This Federal Law shall not be applied to consolidated (aggregated) budget financial statements, aggregated statements of public (municipal) institutions, which shall be prepared in conformity with the budget legislation of the Russian Federation.

IFRS.

Article 3. Preparation of consolidated financial statements

1. Consolidated financial statements shall be prepared in conformity with

2. Consolidated financial statements of an entity shall be prepared in

   addition to its financial statements that shall be prepared in accordance with the Federal Law of December 6, 2011 No. 402-FZ "On Accounting".

3. IFRS and IFRS Interpretations issued by the International Financial Reporting Standards Foundation and endorsed in accordance with the procedure set forth within the requirements of legislation of the Russian Federation by the Government of the Russian Federation in coordination with the Central Bank of the Russian Federation shall be applied in the territory of the Russian Federation.

Article 4. Presentation of consolidated financial statements

1. Annual consolidated financial statements shall be presented to the entity's participants (shareholders, founders) or entity's property owners. These statements, except entity's statements, specified in points 6-8 of section 1 of Article 2 of this Federal Law, unless otherwise provided by section 7.1 of this Article, shall also be presented to the Central Bank of the Russian Federation.

2. Interim consolidated financial statements shall be presented to the entity's participants (shareholders, founders) or entity's property owners, in case such presentation provided by the entity's charter documents. These statements, except entity's statements, specified in points 6-8 of section 1 of Article 2 of this Federal Law, unless otherwise provided by section 7.1 of this Article, shall also be presented to the Central Bank of the Russian Federation in cases, established by the Central Bank of the Russian Federation.

3. Federal laws can define cases for presentation of annual and interim consolidated financial statements by entities, specified in point 8 of section 1 of Article 2 of this Federal Law, to the Central Bank of the Russian Federation.

4. Annual and interim consolidated financial statements shall be presented to the entity's participants (shareholders, founders) or entity's property owners, under the procedure set forth by the charter documents of the entity.

5. [expired]

6. When presenting their annual and interim consolidated financial statements to the Central Bank of the Russian Federation entities shall follow the procedure set forth by the Central Bank of the Russian Federation.

7. Consolidated financial statements shall be presented to the users specified in this Article in the Russian language and its indicators shall be reflected in the currency of the Russian Federation.

8. Annual consolidated financial statements shall be presented within 120 days after the end of the year for which these consolidated financial statements have been prepared. Interim consolidated financial statements shall be presented within 60 days after the end of the reporting period for which these interim consolidated financial statements have been prepared. In case when the last day of the term for presentation of consolidated financial statements fall on a day recognized in accordance with legislation of the Russian Federation as weekends or holidays, the first workday following such day-off shall be deemed as the last day of the term for presentation of consolidated financial statements.

9. Annual and interim consolidated financial statements of entities, specified in points 1-5 of section 1 of Article 2 of this Federal Law, as well as entities, specified in point 8 of section 1 of Article 2 of this Federal Law and which are parent entities for bank holding companies, shall be presented to the Central Bank of the Russian Federation within the deadlines, established by the Central Bank of the Russian Federation.

10. Consolidated financial statements shall be signed by the chief executive officer of an entity and (or) by other authorized persons according to the charter documents of the entity. If federal laws state qualification requirements for the chief executive officer of an entity, consolidated financial statements shall be signed by the chief executive officer of an entity and, in cases provided by the charter documents of the entity, by other authorized persons.

Article 5. Audit of consolidated financial statements

1. Annual consolidated financial statements are subject to the statutory audit.

2. Consolidated financial statements for the first half-year period of the reporting period, which shall be disclosed in accordance with this Federal Law or other federal laws, are subject to audit or review, specified and regulated in accordance with the auditing standards, carried out by an audit firm.

3. The audit report on consolidated financial statements or other report, prepared on the results of review of interim consolidated financial statements in accordance with the auditing standards, shall be presented and disclosed together with these consolidated financial statements.

Article 6. Supervision over the presentation and disclosure of consolidated financial statements

Supervision over the presentation and disclosure of consolidated financial statements by entities, except for the entities, specified in points 6 and 7 of section 1 of Article 2 of this Federal Law, shall be executed by the Central Bank of the Russian Federation.

Article 7. Disclosure of consolidated financial statements

1. An entity shall disclose its annual consolidated financial statements. Entities, specified in points 1 and 8 of section 1 of Article 2 of this Federal Law, shall also disclose interim consolidated financial statements.

2. Consolidated financial statements are deemed to be disclosed if they are placed in the information systems of general use or published in the mass media available to the interested parties, and (or) another actions have been undertaken with respect to these consolidated financial statements to make sure that they are available to all interested parties, regardless of the reasons to receive these statements following the procedure guaranteeing that consolidated financial statements would be found and received.

3. Entity shall place on its official website information on the place of disclosure of consolidated financial statements if these consolidated financial statements are placed (published) in the place other than its official website.

4. Consolidated financial statements disclosed by the means of placement in the public information systems shall be available to the interested parties within three years from the date of placement along with the audit report or other document, prepared on the results of review of interim consolidated financial statements in accordance with the auditing standards.

5. Consolidated financial statements shall be disclosed by an entity within 30 days after expiration of the period for its presentation in accordance with section 7 of Article 4 of this Federal Law if other terms for disclosure of consolidated financial statements are not provided by other federal laws.

6. The Central Bank of the Russian Federation is entitled to set reduced deadlines for disclosure of consolidated financial statements of entities, specified in point 1 of section 1 of Article 2 of this Federal Law, as well as entities, specified in point 8 of section 1 of Article 2 of this Federal Law and which are parent entities for bank holding companies. In case when the last day of the term for disclosure of consolidated financial statements fall on a day recognized in accordance with legislation of the Russian Federation as weekends or holidays, the first workday following such day-off shall be deemed as the last day of the term for presentation of consolidated financial statements.

7. Information on disclosure of consolidated financial statements together with specification of composition of disclosed statements, procedure, provided by section 2 of this Article, and date of its disclosure shall be presented by the entities,