Brochure "Accounting services group"

IFRS Accounting Services Group

About KPMG About KPMG How KPMG Can Help You Quick Accounting Gap Analysis In-depth support transitioning to IFRS Preparation of separate / consolidated financial statements

KPMG is a renowned international network of firms providing audit, tax and advisory services

KPMG offices are located in which employ more than

146 227,000

countries, qualified professionals

Advice on the application of IFRS

29 years

Assistance submitting financial statements in iXBRL format Accounting and reporting automation Audit support IFRS expert assistance on an ongoing basis

of experience in Ukraine

>500

KPMG believes that its mission is to transform professional knowledge into real economic benefits for its clients, employees, and international capital markets

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Our services: Audit

Tax and legal advice

Consulting

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Our Team

2

© 2021 KPMG-Ukraine Ltd., a company incorporated under the Laws of Ukraine and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee.

All rights reserved.

How KPMG Can Help You About KPMG How KPMG Can Help You Quick Accounting Gap Analysis In-depth support transitioning to IFRS Preparation of separate / consolidated financial statements Advice on the application of IFRS Assistance submitting financial statements in iXBRL format Accounting and reporting automation Audit support IFRS expert assistance on an ongoing basis Our Team

According to recent amendments to the Law of Ukraine “On Accounting and Financial Reporting”, the scope of applying IFRS has been extended to enterprises that qualify as “large” under local laws. However, it would also be prudent for any company not subject to the requirements of this Law to consider voluntarily transitioning to IFRS to take advantage of better access to international markets and improved transparency

Why IFRS? — IFRS reporting increases the attractiveness of your company, meaning they can raise financing more easily in the form of capital and external borrowings.

— IFRS reporting is a widespread and understandable tool for analysis and decision-making by investors, creditors, and other foreign counterparties.

— IFRS accounting enhances effective financial analysis of your company, allows stakeholders to predict future activities, and provides comprehensive input and support for of making management decisions.

IFRS Accounting Services Group – How KPMG Can Help You — Our team in Ukraine is uniquely qualified, with over three decades of collective practical experience auditing, consulting, and working with enterprises from a diverse range of industries.

— The development of KPMG’s expert advice is ensured by both our ongoing practical consulting work and the constant professional development of our specialists: we prepare publications for specialised periodicals and leading domestic media, we take active part in specialised training sessions with the foremost European specialists in their fields, and we organise workshops and webinars for our clients.

— Our team has created the perfect conditions for the professional and career growth of our employees that guarantees highly qualified experts who can best address our clients’ needs.

How does your company benefit?

— Your company gets advice from top-level experts on effectively preparing information in accordance with IFRS and can therefore develop practical solutions to tackle accounting and methodological issues of any complexity.

— Confidentiality guaranteed when it comes to your company’s information.

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© 2021 KPMG-Ukraine Ltd., a company incorporated under the Laws of Ukraine and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee.

All rights reserved.

Quick Accounting Gap Analysis About KPMG How KPMG Can Help You Quick Accounting Gap Analysis In-depth support transitioning to IFRS Preparation of separate / consolidated financial statements

Essential Services This service involves screening a company’s current accounting data and identifying the most significant issues that could affect the transition to, or application of, IFRS

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KPMG conducts diagnostic assessments of your company’s key business operations and processes by holding interviews with company employees from financial, accounting, tax, and other relevant departments.

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High-level analysis of compliance with the main requirements of IFRS regarding specific relevant transactions.

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We identify and prepare a list of adjustments required for transitioning your company’s typical operations from Ukrainian GAAP to IFRS, taking into account the industry and business specifics of the company itself.

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We identify the potential tax implications and risks associated with your company’s transition to, or application of, IFRS.

Advice on the application of IFRS Assistance submitting financial statements in iXBRL format Accounting and reporting automation

Benefits and opportunities •

KPMG’s Quick Accounting Gap Analysis service is, initially, a professional overview on your company’s accounting system and financial statements. As a result, your company will be able to fully understand what adjustments are needed when accounting and will be able assess the degree of readiness of said statements for the transition to IFRS.

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Your company benefits from day-to-day consulting support from KPMG regarding the tax implications and risks related to transitioning Ukrainian GAAP to IFRS, as well as any recommendations for mitigating any adverse risk.

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Your company also benefits from quick and highquality assistance for a reasonable price, saving significant resources in terms of money and time over the course of its transition to IFRS.

Audit support IFRS expert assistance on an ongoing basis Our Team

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© 2021 KPMG-Ukraine Ltd., a company incorporated under the Laws of Ukraine and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee.

All rights reserved.

In-depth support transitioning to IFRS About KPMG How KPMG Can Help You Quick Accounting Gap Analysis In-depth support transitioning to IFRS Preparation of separate / consolidated financial statements Advice on the application of IFRS

Essential Services In-depth support encompasses a full range of consulting services that guarantee comprehensive support for your company in the process of transitioning to IFRS and preparing of IFRS financial statements

Details •

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Assistance submitting financial statements in iXBRL format Accounting and reporting automation

IFRS expert assistance on an ongoing basis

Stage 1: Diagnostics – an in-depth, detailed analysis of your company’s current situation regarding accounting and reporting readiness for transitioning to IFRS, as well as the identification of any key issues (including analysis of primary documents).

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Your company gets a comprehensive and high-quality ‘turn-key project’, preparing for its transition to IFRS.

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Stage 2: Methodology and transformation – KPMG provides methodological support to facilitate the development of models and algorithms for calculating IFRS adjustments and completing transformation tables for transitioning from Ukrainian GAAP to IFRS.

Producing financial statements in accordance with all IFRS requirements minimises the risk of needing to make adjustments in following reporting periods.

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Your company will painlessly adopt the best IFRS practices with the help of KPMG specialists.

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This service is flexible and encompasses the transition of one or several separate business components, or a combination of components.

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Support from KPMG specialists will simplify and ease the process for mandatory audits of your company’s annual financial statements.

Stage 3: Preparing draft IFRS financial statements – KPMG helps your company prepare a package of financial statements, including notes for interim and/ or annual financial statements.

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Stage 4: Accounting policy – KPMG helps your company prepare a draft IFRS-compliant accounting policy that takes into account tax and regulatory requirements, and the specifics of your company’s business operations.

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If requested, KPMG can further analyse and identify the potential tax implications and risks associated with your company’s transition to IFRS.

Audit support

Benefits and opportunities

Our Team

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© 2021 KPMG-Ukraine Ltd., a company incorporated under the Laws of Ukraine and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee.

All rights reserved.

Preparation of separate / consolidated financial statements About KPMG How KPMG Can Help You

Essential Services

Details •

Your company receives a package of IFRS / US GAAP financial statements prepared by KPMG experts and professionals within a short time frame.

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— analysing the current state of your company’s accounting and financial statements against IFRS requirements,

Your company will be able to easily adopt IFRS / US GAAP practices with the help of KPMG specialists.

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Advice on the application of IFRS

— providing advice on potential models and algorithms for transforming and/or consolidating adjustment calculation,

This service is flexible and encompasses one or several separate business components as your company deems necessary.

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Assistance submitting financial statements in iXBRL format

— preparing and completing transformation and/or consolidation tables,

Financial reporting prepared by KPMG specialists significantly reduces the number of questions and comments from external auditors.

Quick Accounting Gap Analysis In-depth support transitioning to IFRS Preparation of separate/ consolidated financial statements

Accounting and reporting automation

Within the scope of this service, KPMG specialists prepare draft interim and/ or annual, separate and/ or consolidated financial statements; in accordance with IFRS / US GAAP requirements

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Benefits and opportunities

If your company does not have the resources necessary for preparing a financial statements package on its own (time, technical knowledge, expertise, etc.), KPMG’s specialists can manage the process of preparing draft financial statements, specifically:

— preparing packages for interim and/or annual, separate and/or consolidated financial statements; including notes thereto.

Audit support IFRS expert assistance on an ongoing basis Our Team

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© 2021 KPMG-Ukraine Ltd., a company incorporated under the Laws of Ukraine and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee.

All rights reserved.

Advice on the application of IFRS About KPMG How KPMG Can Help You Quick Accounting Gap Analysis In-depth support transitioning to IFRS Preparation of separate / consolidated financial statements Advice on the application of IFRS Assistance submitting financial statements in iXBRL format Accounting and reporting automation Audit support IFRS expert assistance on an ongoing basis

Essential Services The scope of this service includes consulting services to assist with interpreting different areas of IFRS guidance and the proper application of standards for accounting and preparing statements.

Details •

KPMG analyses topical accounting issues and provides advice on various different areas of IFRS guidance, taking into account the industry specifics of your company. We provide commentary on the proper recognition of separate transactions under IFRS (including recommendations on the application of new standards, such as IFRS 9 ‘Financial instruments,‘ IFRS 15 ‘Revenue from contracts with customers‘, IFRS 16 ‘Leases‘, etc.)

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We provide methodological support for preparing IFRS methodologies and models.

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For the purposes of applying IFRS 16 ‘Leases’ – KPMG analyses lease agreements, developing and completing a personalised template for calculating right-of-use assets and lease liabilities.

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We help align accounting policies with IFRS requirements and analyse the tax implications of adopting new standards.

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KPMG also provides corporate training sessions to support the proper application of IFRS.

Benefits and opportunities •

Your company gets high-quality and professional assistance in applying IFRS, resolving complex accounting and reporting issues, so as to enable you to make appropriate and timely management decisions.

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Your company will learn how IFRS and their interpretation affect its financial statements.

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Your company receives expert opinion from KPMG specialists on IFRS issues and strengthens its approach to audit processes.

Our Team

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© 2021 KPMG-Ukraine Ltd., a company incorporated under the Laws of Ukraine and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee.

All rights reserved.

Assistance submitting financial statements in iXBRL format About KPMG How KPMG Can Help You Quick Accounting Gap Analysis In-depth support transitioning to IFRS Preparation of separate / consolidated financial statements Advice on the application of IFRS Assistance submitting financial statements in iXBRL format

Essential Services This service comprises comprehensive methodological and technical assistance for companies preparing financial statements (including consolidated ones) that use IFRS taxonomy and therefore must submit statements in iXBRL format

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We offer technical assistance for converting IFRS financial statements, prepared in accordance with the requirements of UA XBRL IFRS Taxonomy, into iXBRL format.

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KPMG also offers technical assistance for validating IFRS financial statements, prepared in accordance with the requirements of UA XBRL IFRS Taxonomy, with reference to your company’s specific activities and the Financial Reporting System.

Accounting and reporting automation Audit support IFRS expert assistance on an ongoing basis Our Team

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KPMG provides advice classifying IFRS financial statement lines and analytical accounts in accordance with the requirements of UA XBRL IFRS Taxonomy.

This involves analysing your company’s current chart of accounts and IFRS financial statement lines, as well as assistance in developing a new system of classification and comparison along the lines of UA XBRL IFRS Taxonomy, all taking into account the industry specifics of your company and unifying the format of its financial statements.

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We can also assist in developing terms of reference for automating the process of uploading data from accounting systems for further conversion to XBRL format.

Benefits and opportunities •

Your company gets high-quality professional assistance when converting IFRS financial statements in accordance with the requirements of UA XBRL IFRS Taxonomy.

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Your company will be able to prepare its IFRS financial statements in a single universal format and to submit them in electronic form in accordance with statutory requirements.

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KPMG will help your company develop the best possible classification system, according to the requirements of UA XBRL IFRS Taxonomy. This minimises the need for resubmitting financial statements for the previous year.

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Your company saves money from its own budget for converting IFRS financial statements into iXBRL format and validating such financial statements.

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With the help of KPMG specialists, your company will be able to adopt professional practices to arrange independent preparation of its interim and annual financial statements in the future; all in accordance with the requirements of UA XBRL IFRS Taxonomy

© 2021 KPMG-Ukraine Ltd., a company incorporated under the Laws of Ukraine and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee.

All rights reserved.

Accounting and reporting automation About KPMG How KPMG Can Help You Quick Accounting Gap Analysis In-depth support transitioning to IFRS Preparation of separate / consolidated financial statements Advice on the application of IFRS Assistance submitting financial statements in iXBRL format Accounting and reporting automation

Essential Services This service involves methodological and technical assistance for your company when automating the process of preparing IFRS financial statements

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KPMG develops a comprehensive list of functional requirements for your company’s IT systems and prepares terms of reference for developers.

We can draft proposals for your company’s IT architecture and develop an IFRS financial statement transformation methodology for accounting and reporting automation purposes.

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KPMG gives your company methodological support for implementation and internal testing.

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We analyse your company’s internal processes related o preparing financial statements with an eye to the distribution of responsibilities, functions, and document flows. KPMG then provides recommendations for optimisation; and standardisation of processes, procedures, and controls.

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Finally, KPMG analyses your company’s IFRS department’s organisational structure and its distribution of responsibilities, providing recommendations on optimisation.

Our Team

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We also offer gap analysis of your company’s current accounting system settings and develop proposals based on specific business requirements for IFRS reporting.

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Audit support IFRS expert assistance on an ongoing basis

KPMG provides expert analysis and comparison of the financial accounting, management accounting, and tax accounting methodologies used by your company.

This includes identifying any differences between methodologies, and developing proposals for unifying and consolidating respective approaches.

Benefits and opportunities •

Your company can apply unified accounting principles in accounting, management, and tax areas.

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Your company can also take full advantage of the standard functionality of its IT systems.

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Your company receives a unified methodological model of IFRS accounting that takes into account the capabilities of its standard functionality.

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Minimal effort required to close reporting periods and easy adherence to limited deadlines for submitting financial statements to the regulator.

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Improved efficiency in making management decisions based on high-quality, timely, and comprehensive financial information.

© 2021 KPMG-Ukraine Ltd., a company incorporated under the Laws of Ukraine and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee.

All rights reserved.

Audit support About KPMG How KPMG Can Help You Quick Accounting Gap Analysis In-depth support transitioning to IFRS

Essential Services This service provides consulting support for your company in the course of an audit

Details •

This service is provided as a supplement to KPMG’s ‘Quick Accounting Gap Analysis’ or ‘In-depth support transitioning to IFRS’.

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With our support, your company will be able to understand the format and scope of the information that needs to be prepared for an external auditor.

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In addition to providing advice in identifying and solving problems related to transitioning to IFRS other applicable separate standards, KPMG specialists conduct a number of detailed interviews with employees and provide recommendations on potential bottlenecks that can be identified and challenged by external auditors. In particular, KPMG specialists:

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Your company can identify accounting and reporting issues that require special attention from management and therefore reduce the risk of an auditor finding significant errors in financial statements.

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Your company benefits from timely additional expertise as necessary.

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Your company will be able to develop a clear understanding of the key audit issues that may arise and be in a solid position to address such issues.

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Your company also benefits from an assessment of the degree of your company’s overall readiness to undergo an audit and obtain a positive auditor opinion.

Preparation of separate / consolidated financial statements Advice on the application of IFRS

— assist in preparing an indicative list of information necessary for an audit,

Assistance submitting financial statements in iXBRL format

— analyse the need to involve external experts; including actuaries, appraisers, etc.,

Accounting and reporting automation

— пanalyse and provide recommendations on internal control systems, accounting and reporting processes, IT systems, etc.

Audit support IFRS expert assistance on an ongoing basis Our Team

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Benefits and opportunities

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Furthermore, KPMG specialists can attend meetings between your company and external auditors and assist in shaping responses to auditor questions of varying complexity.

© 2021 KPMG-Ukraine Ltd., a company incorporated under the Laws of Ukraine and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee.

All rights reserved.

IFRS expert assistance on an ongoing basis About KPMG How KPMG Can Help You Quick Accounting Gap Analysis In-depth support transitioning to IFRS Preparation of separate / consolidated financial statements

Essential Services This service provides prompt professional support related to various ongoing concerns affecting accounting and reporting under IFRS

Details •

We can also provide ongoing consultation support within a framework agreement that has been signed between your company and KPMG. Fees are calculated on an hourly basis by applying an agreed rate. The budget for each individual consultation is agreed with the company in advance. The time frame of delivery of these services ranges from 1 to 20 working days (depending on the complexity of any issues raised).

— advice on various issues related to practical application of separate IFRS,

Assistance submitting financial statements in iXBRL format

— asset review and value calculation upon the request of your company,

Audit support

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Services provided for a certain period of time within the scope of a framework agreement will significantly save time negotiating the contractual conditions of each individual consultation.

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Under the framework agreement, the fee for each individual consultation will be lower.

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Your company can get prompt support from KPMG at any time within the agreement terms.

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The existence of a signed agreement does not bind your company to request our assistance.

As part of this service, KPMG offers:

Advice on the application of IFRS

Accounting and reporting automation

Benefits and opportunities

— support in preparing notes for annual and quarterly IFRS financial statements, — technical and methodological support during an audit of your company’s annual financial statements.

IFRS expert assistance on an ongoing basis Our Team

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© 2021 KPMG-Ukraine Ltd., a company incorporated under the Laws of Ukraine and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee.

All rights reserved.

Our team About KPMG How KPMG Can Help You

Tetyana Milko

Olga Kulina

Olga Korol

Director, IFRS Accounting Services tmilko@kpmg.ua

Manager, IFRS Accounting Services okulina@kpmg.ua

Assistant Manager, IFRS Accounting Services okorol@kpmg.ua

Quick Accounting Gap Analysis In-depth support transitioning to IFRS Preparation of separate / consolidated financial statements Advice on the application of IFRS Assistance submitting financial statements in iXBRL format Accounting and reporting automation Audit support IFRS expert assistance on an ongoing basis Our Team

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Professional experience

Professional experience

Professional experience

Tetyana has more than 14 years of professional experience at KPMG in Ukraine. During this period, she has provided financial audit services to many industrial companies from various sectors of the economy.

Currently, Tatyana specialises in providing IFRS accounting methodology services in Ukraine and manages consulting projects on companies transitioning to IFRS in accordance with the requirements of the Law of Ukraine “On Accounting and Financial Reporting.”

Olga has more than 14 years of experience at KPMG in Ukraine, providing services to both domestic and international companies.

Olga is a professional in the area of finance with 17 years of experience in audit, accounting, IFRS reporting, and financial analyses for international and Ukrainian companies that operate in a variety of sectors.

Tetyana’s experience includes helping clients to transform their financial statements in accordance with IFRS, as well as providing recommendations for transforming internal procedures and business processes. Additionally, Tetyana has led projects to develop and implement IFRS methodologies for large Ukrainian enterprises.

Olga currently manages various projects for companies transitioning to IFRS in accordance with the Ukrainian law “On Accounting and Financial Reporting,” as well as projects assisting in transforming financial reporting, and consulting projects on various methodological issues when applying IFRS; including the first application of international standards.

Tetyana has many years of experience in preparing and conducting various workshops and training courses on specific IFRS topics, including seminars on IFRS 9, IFRS 15, and IFRS 16, as well as corporate workshop sessions.

Olga’s professional experience includes audits of financial statements prepared in accordance with IFRS and Ukrainian GAAP. Her customers include retail and wholesale companies, and industrial enterprises.

Olga takes an active part in preparing and conducting IFRS seminars and training courses.

Olga’s experience covers the provision of audit services to Ukrainian and international companies, including assistance in transforming and auditing financial statements that have been prepared according to Ukrainian GAAP and IFRS; managing IFRS reporting processes for large financial institutions; conducting follow-up reviews of interbank operations; preparing methodologies, internal IFRS documents, and procedures; conducting documentary transactions, overseas transactions, and other operations.

Olga manages various consulting projects and takes part in in preparing IFRS workshops and training courses.

© 2021 KPMG-Ukraine Ltd., a company incorporated under the Laws of Ukraine and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee.

All rights reserved.

Contacts:

Kyiv

Lviv

Senator Business Centre 32/2 Moskovska street Kyiv, Ukraine 01010 T: +380 44 490 5507 E: info@kpmg.ua

Business City Technopark, office 453, 72 bld.40, Heroiiv UPA St.,Lviv, Ukraine 79015 T: +380 32 229 5905 E: lviv@kpmg.ua Contact us

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