Table Of ContentX\ Crystal Almond S.a` r.l.Statements
LARGO INTERMEDIARY HOLDINGS LIMITED
Unaudited Condensed Consolidated Interim Financial Statements
30 September 2016
TABLE OF CONTENTS
Page
ITEM 1: FINANCIAL STATEMENTS 3
Unaudited condensed consolidated statement of financial position 3
Unaudited condensed consolidated statement of comprehensive income (loss) 4
Unaudited condensed consolidated statement of changes in equity 5-6
Unaudited condensed consolidated statement of cash flows 7
Notes to the unaudited condensed consolidated interim financial statements 8-29
1. Reporting entity 8
2. Basis of accounting and measurement 8
3. Functional and presentation currency 9
4. Use of Judgments and estimates 9
5. Significant accounting policies 10
6. Revenue 10
7. Other income 10
8. Purchases and services 11
9. Other expenses 11
10. Personnel expenses 12
11. Depreciation and amortization 12
12. Finance income and finance costs 13
13. Income taxes 13-14
14. Property, plant and equipment 15
15. Intangible assets 15-16
16. Loans and receivables 16-17
17. Deferred tax assets and liabilities 17
18. Other assets 17-18
19. Trade receivables 18
20. Other receivables and escrow account 19
21. Equity 19
22. Financial liabilities 19-21
23. Trade payables 21
24. Other payables 21
25. Other non-current liabilities 21
26. Share–based payment arrangements 22
27. Related parties 23
1
28. Financial instruments 23-26
29. Commitments and contingencies 26-27
30. Joint operations 27-28
31. Subsequent events 29
ITEM 2: OPERATING AND FINANCIAL REVIEW AND PROSPECTS 30-39
ITEM 3: LIQUIDITY AND CAPITAL RESOURCES 39
ITEM 2: RECENT DEVELOPMENTS 40
2
LARGO INTERMEDIARY HOLDINGS LIMITED
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 30 SEPTEMBER 2016
In thousands of Euro, unless otherwise stated
ITEM 1: FINANCIAL STATEMENTS
Notes 30 September 2016 31 December 2015
Assets
Property, plant and equipment 14 336,975 347,737
Intangible assets 15 295,503 318,525
Other assets 18 27,915 44,842
Loans and receivables 16 7,811 7,811
Non-current assets 668,204 718,915
Inventories 2,798 3,785
Trade receivables 19 101,233 101,401
Other receivables 20 27,416 31,739
Escrow account 20 798 798
Cash and cash equivalents 51,408 89,275
Current assets 183,653 226,998
Total assets 851,857 945,913
Equity
Share capital 21 - -
Share premium 21 857,921 857,921
Other reserves 184,495 194,306
Accumulated deficit (683,957) (629,598)
Equity attributable to owners of the Company 358,459 422,629
Total equity 358,459 422,629
Liabilities
Financial liabilities 22 169,167 166,002
Employee benefits 6,011 5,614
Provisions 5,007 5,341
Other liabilities 25 28,664 42,274
Deferred tax liabilities 17 28,458 36,558
Non-current liabilities 237,307 255,789
Financial liabilities 22 5,048 5,472
Trade payables 23 165,096 181,053
Other payables 24 85,701 80,365
Tax payables 246 605
Current liabilities 256,091 267,495
Total liabilities 493,398 523,284
Total equity and liabilities 851,857 945,913
The Notes on pages 8 to 29 are an integral part of these unaudited condensed consolidated interim financial
statements.
3
LARGO INTERMEDIARY HOLDINGS LIMITED
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (LOSS)
FOR THE NINE AND THE THREE MONTHS ENDED 30 SEPTEMBER 2016
In thousands of Euro, unless otherwise stated
Three months ended Three months ended Nine months ended Nine months ended
Notes 30 September 2016 30 September 2015 30 September 2016 30 September 2015
Revenue 6 129,156 124,106 362,210 354,018
Other income 7 1,566 890 4,474 4,055
Total Revenue 130,722 124,996 366,684 358,073
Purchases and services 8 (84,469) (80,780) (249,942) (251,644)
Other expenses 9 (7,015) (6,673) (19,586) (19,682)
Personnel expenses 10 (10,685) (10,711) (32,281) (33,743)
Depreciation and amortization 11 (35,273) (35,814) (106,683) (107,731)
Gain (loss) on disposal 5 (9) 25 (13)
Operating loss (6,715) (8,991) (41,783) (54,740)
Finance income 624 66 4,972 520
Finance costs (6,437) (10,370) (19,195) (20,696)
Net finance cost 1 2 (5,813) (10,304) (14,223) (20,176)
Loss before tax (12,528) (19,295) (56,006) (74,916)
Income tax benefit 1 3 3,329 593 3,447 2,321
Net loss for the period (9,199) (18,702) (52,559) (72,595)
Other comprehensive income
(loss)
Items that are or may be
reclassified to profit or loss
Available-for-sale financial
18 (3,924) 2,906 (17,076) (727)
assets – net change in fair value
Related tax 1,138 (1,250) 4,952 (305)
Other comprehensive (loss) income
(2,786) 1,656 (12,124) (1,032)
for the period, net of tax
Total comprehensive
(11,985) (17,046) (64,683) (73,627)
loss for the period
Loss attributable to:
Owners of the Company (9,199) (18,702) (52,559) (72,595)
Non-controlling interests - - - -
Net loss (9,199) (18,702) (52,559) (72,595)
Total comprehensive loss
attributable to:
Owners of the Company (11,985) (17,046) (64,683) (73,627)
Non-controlling interests - - - -
Total comprehensive loss
(11,985) (17,046) (64,683) (73,627)
for the period
The Notes on pages 8 to 28 are an integral part of these unaudited condensed consolidated interim financial
statements.
4
LARGO INTERMEDIARY HOLDINGS LIMITED
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE NINE MONTHS ENDED 30 SEPTEMBER 2016
In thousands of Euro unless otherwise stated
Attributable to owners of the Company
Share based
Share Share Other Fair Value payment Accumulated Total
capital premium reserves reserve reserve deficit equity
Balance at 1 January 2016 - 857,921 173,689 8,334 12,283 (629,598) 422,629
Total comprehensive loss for the period
Net loss for the period - - - - - (52,559) (52,559)
Available-for-sale financial assets – net
change in fair value, net of tax - - - (12,124) - - (12,124)
Total other comprehensive loss - - - (12,124) - - (12,124)
Total comprehensive loss
for the period - - - (12,124) - (52,559) (64,683)
Transactions with owners of the Company
Contributions and distributions
Dividends paid (note 21) - - - - - (1,800) (1,800)
Equity-settled share-based payment
transactions (note 26) - - - - 2,313 - 2,313
Balance at 30 September 2016 - 857,921 173,689 (3,790) 14,596 (683,957) 358,459
The Notes on pages 8 to 29 are an integral part of these unaudited condensed consolidated interim financial
statements.
5
LARGO INTERMEDIARY HOLDINGS LIMITED
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY,
CONTINUED
FOR THE NINE MONTHS ENDED 30 SEPTEMBER 2016
In thousands of Euro unless otherwise stated
Attributable to owners of the Company
Share based
Share Share Other Fair Value payment Accumulated Total
capital premium reserves reserve reserve deficit equity
Balance at 1 January 2015 - 857,921 173,689 12,719 6,926 (539,284) 511,971
Total comprehensive loss for the period
Net loss for the period - - - - - (72,595) (72,5 95)
Available-for-sale financial assets – net
change in fair value, net of tax - - - (1,032) - - (1,032)
Total other comprehensive loss - - - (1,032) - - (1,032)
Total comprehensive loss for
the period - - - (1,032) - (72,595) (73,627)
Transactions with owners of the Company
Contributions and distributions
Equity-settled share-based payment
transactions (note 26) - - - - 4,286 - 4,286
Balance at 30 September 2015 - 857,921 173,689 11,687 11,212 (611,879) 442,630
The Notes on pages 8 to 29 are an integral part of these unaudited condensed consolidated interim financial
statements.
6
LARGO INTERMEDIARY HOLDINGS LIMITED
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE NINE MONTHS ENDED 30 SEPTEMBER 2016
In thousands of Euro, unless otherwise stated
Nine months ended Nine months ended
Notes 30 September 2016 30 September 2015
Cash flows from operating activities
Net loss for the period (52,559) (72,595)
Adjustments for:
Depreciation and amortization 11 106,683 107,731
Equity settled share-based payment transactions 26 2,313 4,286
Net change in provisions and employee benefits 8,882 7,403
Net finance cost 12 14,223 20,176
(Gain) loss on disposal (25) 13
Income tax benefit 13 (3,447) (2,321)
76,070 64,693
Changes in:
- inventories 987 1,484
- trade and other receivables (4,256) (15,081)
- trade and other payables (25,503) (66,981)
- non-current assets (149) (67)
- non-current liabilities (1,456) (1,570)
Cash generated from (used in) operating activities 45,693 (17,522)
Interest paid (8,673) (13,081)
Income tax paid (125) (116)
Net cash from (used in) operating activities 36,895 (30,719)
Cash flows from investing activities
Acquisition of property, plant and equipment 1 4 (47,907) (36,489)
Proceeds from sale of property plant and equipment 59 299
Acquisition of intangible assets 1 5 (25,114) (17,247)
Interest received - 1
Net cash used in investing activities (72,962) (53,436)
Cash flows from financing activities
Dividends paid 2 1 (1,800) -
Net cash used in financing activities (1,800) -
Net decrease in cash and cash equivalents (37,867) (84,155)
Cash and cash equivalents at 1 January 89,275 172,907
Cash and cash equivalents at 30 September 51,408 88,752
The Notes on pages 8 to 29 are an integral part of these unaudited condensed consolidated interim financial
statements.
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LARGO INTERMEDIARY HOLDINGS LIMITED
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
AS AT 30 SEPTEMBER 2016
In thousands of Euro, unless otherwise stated
1. REPORTING ENTITY
Largo Intermediary Holdings Limited (“Midco”) was incorporated on 29 November 2010 (“date of incorporation”) for
an unlimited period of time and is a company with liability limited by shares established under the laws of Guernsey.
Midco has its registered office at Redwood House, St. Julian’s Avenue, St. Peter Port, Guernsey, GY1 1WA and its
main purpose is to serve as a holding company of the subsidiaries detailed below.
Midco’s parent company is Largo Limited. Largo Limited is a company with liability limited by shares established
under the laws of Guernsey and its registered office at Redwood House, St. Julian’s Avenue, St. Peter Port, Guernsey,
GY1 1WA.
The unaudited condensed consolidated interim financial statements of Midco as at and for the nine months ended 30
September 2016 are comprised of Midco and its subsidiaries (together referred to as the “Company” and individually
as “Company entities”) and are detailed as follows:
Name Country of incorporation 30 September 2016 31 December 2015
Crystal Almond S.à r.l. Luxembourg 100.00% 100.00%
WIND Hellas Telecommunications S.A. (“WIND Hellas”) Greece 100.00% 100.00%
Victus Networks S.A. (“Victus”) – joint operation Greece 50.00% 50.00%
The operating subsidiary, WIND Hellas, provides mobile, fixed telecommunication and internet access services in the
Hellenic Republic ("Greece").
The operating entity, Victus, is incorporated in Greece and provides network services to WIND Hellas in the Hellenic
Republic ("Greece"). Victus is a joint operation company established from WIND Hellas and Vodafone-Panafon S.A.
(a member of Vodafone Group Plc) to provide mobile network sharing to them (note 30).
2. BASIS OF ACCOUNTING AND MEASUREMENT
These unaudited condensed consolidated interim financial statements have been prepared in accordance with IAS 34
Interim Financial Reporting, as adopted by the European Union (EU). These unaudited condensed consolidated
interim financial statements do not include all the information required for full annual consolidated financial
statements prepared in accordance with International Financial Reporting Standards (“IFRS”) as adopted by the EU
and should be read in conjunction with the consolidated financial statements of the Company as at and for the year
ended 31 December 2015. However, selected explanatory notes are included to explain events and transactions that are
significant to an understanding of the changes in financial position and performance of the Company since the last
annual consolidated financial statements as at and for the year ended 31 December 2015. The unaudited condensed
consolidated statement of financial position as of 31 December 2015 included herein was derived from the annual
consolidated financial statements as of that date.
These unaudited condensed consolidated interim financial statements were approved by the Board of Directors on 21
October 2016.
The unaudited condensed consolidated interim financial statements have been prepared on the historical cost basis,
except for derivative financial instruments at fair value through profit or loss and available-for-sale financial assets,
which are measured on a fair value basis through other comprehensive income on each reporting date.
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LARGO INTERMEDIARY HOLDINGS LIMITED
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
AS AT 30 SEPTEMBER 2016
In thousands of Euro, unless otherwise stated
3. FUNCTIONAL AND PRESENTATION CURRENCY
These unaudited condensed consolidated interim financial statements are presented in Euro, which is the Company’s
functional currency. All financial information presented in Euro has been rounded to the nearest thousand, except
when otherwise indicated.
4. USE OF JUDGEMENTS AND ESTIMATES
In preparing these unaudited condensed consolidated interim financial statements, management has made judgements,
estimates and assumptions that affect the application of accounting policies and the reported amounts of assets and
liabilities, income and expense. Actual results may differ from these estimates.
The significant judgements made by management in applying the Company’s accounting policies and the key sources
of estimation uncertainty were the same as those applied to the consolidated financial statements as at and for the year
ended 31 December 2015.
Measurement of fair values
A number of the Company’s accounting policies and disclosures require the determination of fair value for both
financial and non-financial assets and liabilities.
The Company has an established control framework with respect to the measurement of fair values that includes a
valuation team that has overall responsibility for overseeing all significant fair value measurements, including Level 3
fair values and reports directly to the CFO. The valuation team regularly reviews significant unobservable inputs and
valuation adjustments and significant valuation issues are reported to the Board of Directors and the Audit Committee
of the Largo Limited Group of companies, which includes the Company and the operating subsidiary, WIND Hellas.
When measuring the fair value of an asset or liability, the Company uses market observable data as far as possible.
Fair values are categorized into different levels in a fair value hierarchy based on the inputs used in the valuation
techniques as follows:
Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities.
Level 2: inputs other than quoted prices included within Level 1 that are observable for the asset or liability,
either directly (i.e., as prices) or indirectly (i.e., derived from prices).
Level 3: inputs for the asset or liability that are not based on observable market data
(unobservable inputs).
If the inputs used to measure the fair value of an asset or liability might be categorized in different levels of the fair
value hierarchy, then the fair value measurement is categorized in its entirety in the same level of the fair value
hierarchy as the lowest level input that is significant to the entire measurement.
The Company recognizes transfers between levels of the fair value hierarchy at the end of the reporting period during
which the change has occurred. There have been no transfers between levels of the fair value hierarchy as at 30
September 2016.
Further information about the assumptions made in measuring fair values is included in the following notes:
• Note 18 – other investments, included in other assets,
• Note 28 – financial instruments, including derivative financial liability.
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LARGO INTERMEDIARY HOLDINGS LIMITED
NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
AS AT 30 SEPTEMBER 2016
In thousands of Euro, unless otherwise stated
5. SIGNIFICANT ACCOUNTING POLICIES
The accounting policies applied by the Company in these unaudited condensed consolidated interim financial
statements are the same as those applied by the Company in its consolidated financial statements as at and for the year
ended 31 December 2015. Certain comparative amounts have been reclassified to conform to the current period’s
presentation (note 8).
6. REVENUE
Three months ended Three months ended Nine months ended Nine months ended
30 September 2016 30 September 2015 30 September 2016 30 September 2015
Telephony services 103,891 102,272 301,240 298,657
Interconnection traffic 16,433 15,263 44,781 37,405
Revenues from sales of
handsets and accessories 4,261 2,871 9,076 12,204
International roaming 4,571 3,700 7,113 5,752
Total 129,156 124,106 362,210 354,018
7. OTHER INCOME
Three months ended Three months ended Nine months ended Nine months ended
30 September 2016 30 September 2015 30 September 2016 30 September 2015
Income from various charges to
customers 445 275 1,833 1,790
Government grants 486 524 1,457 1,570
Income / (loss) from co-
operative agreements 228 (112) 647 211
Other 407 203 537 484
Total 1,566 890 4,474 4,055
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Description:Unaudited Condensed Consolidated Interim Financial Statements .. Victus is a joint operation company established from WIND Hellas and
