|
Article 3
|
Preparation of the Pro Forma Financial Statements shall accord with the Regulations Governing the Preparation of Financial Reports by Securities Issuers, comprising an auditor's report, a balance sheet, a consolidated statement of income, a statement of cash flows, a statement of changes in shareholders' equity and their accompanying notes or schedules.
Items of the Pro Forma Financial Statements may be appropriately classified and combined based upon actual need. If an item of a balance sheet is less than the pro forma total assets by five percent, it may be listed together with other items; if an item of a consolidated statement of income is less than the pro forma pre-tax income by ten percent, it may be listed together with other items.
In addition to the matters required to be disclosed under the Regulations Governing the Preparation of Financial Reports by Securities Issuers, the accompanying notes of the Pro Forma Financial Statements shall disclose the names of the transferee and transferor companies of the demerger, the spin-off department and its main business, and the principles for preparing accounting items etc.
|