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L.V. TECHNOLOGY Public Company Limited Annual Report 2011

Notes to the financial statements For the years ended 31 December 2011 and 2010

(c) Accounting for property, plant and equipment From 1 January 2011, the Group has adopted TAS 16 (revised 2009) Property, Plant and Equipment in determining and accounting for the cost and depreciable amount of property, plant and equipment. The principal changes introduced by the revised TAS 16 and affecting the Group are that (i) the depreciation charge has to be determined separately for each significant part of an asset; and (ii) in determining the depreciable amount, the residual value of an item of equipment has to be measured at the amount estimated receivable currently for the asset if the asset were already of the age and in the condition expected at the end of its useful life. Furthermore, the residual value and useful life of an asset have to be reviewed at least at each financial year-end. The changes have been applied prospectively in accordance with the transitional provisions of the revised standard, the changes have had no material impact on the loss and loss per share for the year ended 31 December 2011.

(d) Accounting for employee benefits From 1 January 2011, the Group has adopted TAS 19 Employee Benefits. Under the new policy, the Company’s liability for post-employment benefits and other long-term employee benefit obligations is recognised in the financial statements based on calculations performed annually by a qualified actuary using the projected unit credit method. Previously, this liability was recognised as and when payments were made. The Company’s liability for post-employment benefits and other long-term employee benefit obligations as at 1 January 2011 has been determined to be Baht 16.5 million. The Company has opted to record this liability as an adjustment to retained earnings as at 1 January 2011, in accordance with the transitional provisions of TAS 19. The impact on the 2011 financial statements was as follows: Consolidated financial statements

(in thousand Baht)

Separate financial statements

Statement of financial position Retained earnings (deficit) at 31 December 2010 Increase in employee benefit obligations

64,813 (16,512)

(211,428) (16,512)

Retained earnings (deficit) at 1 January 2011

48,301

(227,940)

Statement of comprehensive income for the year ended 31 December 2011 Increase in employee expenses resulting in: Increase in contract costs and administrative expenses

1,573

1,573

Increase in loss

1,573

1,573

Increase in loss per share - Basic loss per share (in Baht)

0.004

0.004

- Diluted loss per share (in Baht)

0.004

0.004

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LVT : Annual Report 2011  
LVT : Annual Report 2011  

Annual Report 2011

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