General Accounting Principles of the Combined Financial Statements

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6. Currency Translation

The Combined Financial Statements are prepared in euros. This corresponds to the currency of the groups' primary economic environment (functional currency).

The items of each entity included in the financial statements are measured using the currency of the primary economic environment in which the entity operates (functional currency).

Translation of Transactions in the Separate Financial Statements

Transactions in foreign currency in the financial statements of the groups' combined companies are translated into the functional currency using the exchange rate applicable as at the transaction date. Gains and losses resulting from the settlement of such transactions as well as from the translation of monetary assets and liabilities maintained in foreign currency at the closing rate are recognised in profit or loss.

Translation of Financial Statements of Subsidiaries with Different Functional Currencies into the Reporting Currency (Euros)

Financial statements of subsidiaries which were prepared in a functional currency other than the euro reporting currency are translated pursuant to the concept of functional currency translation. Assets and liabilities are translated using the closing rate for each balance sheet date. For the sake of simplification, the income and expense items in the income statement are translated at the average rate for the period.

Differences from the translation of financial statements prepared in a different functional currency are recognised directly in equity. A translation difference recognised directly in equity will not be realised until the corporate unit is deconsolidated.

Financial statements that are accounted for using the equity method and prepared in a different functional currency are also translated pursuant to the functional currency concept when adjusting equity.

Exchange Rates of Countries not Participating in the European Monetary Union
ISO codeCountryCurrencyClosing rate per €Average rate per €
31 Dec. 201731 Dec. 201620172016
AEDUnited Arab EmiratesDirham4.4043.8704.1484.063
AUDAustraliaDollar1.5351.4601.4731.488
BGNBulgariaLew1.9561.9561.9561.956
CADCanadaDollar1.5041.4191.4651.466
CHFSwitzerlandFranc1.1701.0741.1121.090
CNYChinaYuan7.8047.3207.6297.351
CZKCzech RepublicKoruna25.53527.02126.32627.034
DKKDenmarkKrone7.4457.4347.4397.445
GBPUnited KingdomPound Sterling0.8870.8560.8770.819
HKDHongkongDollar9.3728.1758.8058.591
HRKCroatiaKuna7.4407.5607.4647.534
HUFHungaryForint310.330309.830309.193311.445
MADMoroccoDirham11.23610.65710.95010.850
NOKNorwayKrone9.8409.0869.3279.291
NZDNew ZealandDollar1.6851.5161.5901.588
PLNPolandZloty4.1774.4104.2574.363
RONRomaniaLei4.6594.5394.5694.491
RUBRussian FederationRouble69.39264.30065.93874.162
SEKSwedenKrona9.8449.5539.6359.469
SGDSingaporeDollar1.6021.5231.5591.528
THBThailandBaht39.12137.72638.29639.040
TNDTunisiaDinar2.9742.4502.7312.376
UAHUkraineHryvnia33.73228.73930.02028.263
USDUSADollar1.1991.0541.1301.107
ZARSouth AfricaRand14.80514.45715.04916.265