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Gr. Sarantis S.A.

Interim / Quarterly Report Sep 24, 2015

2712_ir_2015-09-24_e3aefcac-7cc4-4cfc-b3dc-62e5faf569bb.pdf

Interim / Quarterly Report

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GR. SARANTIS S.A.

HALF-YEAR FINANCIAL REPORT

FOR THE PERIOD 1 JANUARY – 30 JUNE 2008

(IN ACCORDANCE WITH L.3556/2007)

CONTENTS OF THE FINANCIAL REPORT

1. STATEMENTS OF THE BOARD OF DIRECTORS' MEMBERS 3
2. HALF-YEAR REPORT OF THE BOARD OF DIRECTORS 4
3. REPORT ON REVIEW OF INTERIM FINANCIAL INFORMATION 14
4. INTERIM FINANCIAL STATEMENTS 16
5. FINANCIAL FIGURES AND INFORMATION 55

It is certified that the attached Interim Financial Statements for the period 01/01 – 30/06/2008 are those approved by the Board of Directors of GR. SARANTIS SA on 29/08/2008 and are published in the website www.sarantis.gr.

1. STATEMENTS OF THE BOARD OF DIRECTORS' MEMBERS

Statements of the BoD Members (according to article 5, paragraph 2 of L.3556/2007)

It is hereby declared that as far as we know the financial statements for the first half of 2008 which were drawn up in accordance with applicable accounting standards, reflect in a true manner the assets and liabilities, equity and results of the Group and the Company and of the businesses included in consolidation, taken as a whole, in accordance with the provisions of Article 5, paragraphs 3 to 5 of Law 3556/2007.

Furthermore, we declare that the half-yearly report of the Board of Directors contains the true information required by Article 5, paragraph 6 of Law 3556/2007.

Marousi, August 29 2008

The Members of the BoD

THE BoD CHAIRMAN THE VICE-CHAIRMAN THE FINANCE DIRECTOR &
BoD MEMBER
GRIGORIS SARANTIS KYRIAKOS SARANTIS KONSTANTINOS ROZAKEAS
ID No. Χ 080619/03 ID No. Ρ 539590/95 ID No. Ρ 534498/94

2. HALF-YEAR REPORT OF THE BOARD OF DIRECTORS

HALF-YEAR REPORT OF THE BOARD OF DIRECTORS OF THE COMPANY GR. SARANTIS S.A. on the financial statements for the period from 1st January till 30th June 2008

The present Half Year Report of the Board of Directors which follows, refers to the first half year of the current period 2008 (01.01.2008-30.06.2008). This report is in line with the relevant stipulations of the law 3556/2007 (Government Gazette 91A/30.04.2007) and the executive decisions of the Hellenic Capital Market Commission and the issued decisions and especially the Decision no 7/448/11.10.2007 of the Board of Directors of Hellenic Capital Market Commission.

This report is included in the half year financial report that refers to the first half year of 2008 along with the financial statements of the company and the other elements that are obliged by the law.

This report briefly describes financial information on the company for the first half of 2008, important events that have taken place during this period as well as their impact on the financial figures. Moreover, this report comments on the major risks and uncertainties that the Group may face in the second half of the year. Finally, material transactions between the company and related parties are given.

1. COMPANY PERFORMANCE AND FINANCIALS

The financial results of the Group in the first half of 2008 were in line with the Management's estimations and strategy, according to which particular emphasis was given to the strategic markets of fragrances & cosmetics and household products, aiming at the same time at the gradual boost of own products in the aforementioned categories. In addition, within the framework of the Group's strategy, foreign markets continued to present a satisfactory growth presenting higher growth rates compared to the Greek market, increasing their contribution in consolidated sales.

In H1 2008, consolidated turnover amounted to €125.74 mil., compared to €118.15 mil. in H1 2007, noting an increase of 6.42%. It should be noted that during H1 2008 we observe a satisfactory growth in the two basic sectors of activity, the fragrances & cosmetics and the household products, along with an overall strong activity growth in the Eastern European markets. Gross Profit increased by 9.20% to €65.23 mil. in H1 2008 from €59.74 mil. in H1 2007. Gross profit margin increased to 51.88% from 50.56% in H1 2007 underlying the strategic decision to rebalance the Group's product portfolio by increasing the participation of own products portfolio. Earnings before Interest, Tax, Depreciation and Amortisation (EBITDA) reached €20.56 mil. in H1 2008 an increase of 11.09% from €18.51 mil. in H1 2007 and EBITDA margin increased to 16.35% from 15.66% in H1 2007. Earnings before Interest and Tax (EBΙΤ) in H1 2008 amounted to €18.64 mil., an increase of 11.24% compared to H1 2007 (€16.75 mil). Earnings Before Tax for H1 2008 reached €19.62 mil. compared to €16.45 mil. in H1 2007, resulting to an increase of 19.26%. Earnings After Tax for H1 2008 amounted to €15.32 mil. compared to €11.97 mil. in H1 2007, resulting to an increase of 27.97%, mainly driven by a lower effective tax rate. The Earnings after Tax and Minorities (ΕΑΤΑΜ) reached €15.32 mil. in H1 2008, compared to €12.61 mil. in H1 2007, an increase of 21.52%.

In the categories of Fragrances & Cosmetics and Household Products, "own products" recorded substantial growth rates, a fact that is in line with the management's strategy. Household products demonstrated a 11.79% growth during the period under consideration, with revenues reaching €52.48 mil. The own brands turnover within this SBU increased by 12.07%, whereas distributed brands posted a 6.99% increase. Fragrances and cosmetics (F&C) recorded a satisfactory growth rate of 8.49% during H1 2008, amounting to €55.65 mil. In this SBU, own brands demonstrate a growth rate of 13.93%, increasing their contribution to 70.62% from 67.24% during H1 2007. It is noted that own brands sales of this SBU are affected by the weak Q1 2008 figures due to STR8 re launch. Health & care products as well as Selective products demonstrated a decrease of 21.32% and 3.12% respectively as some non profitable contacts were not renewed.

With respect to Earnings Before Interest and Tax, Fragrances & Cosmetics, posted an EBIT growth rate of 0.77%, compared to H1 2007, contributing by 43.57% versus 41.61% in H1 2007. Own brands EBIT squeeze is driven by higher expenses due to the promotional activities of the new STR8. Household products, posted an EBIT increase by 17.95%. Their contribution to total EBIT reached 25.88% in H1 2008 from 21.11% in H1 2007. Own products posted EBIT increase by 20.22% reaching €4.76 mil. compared to €3.96mil. in H1 2007. Own brand portfolio generated income of €11.31 mil. in H1 2008 versus €10.57 mil. in H1 2007, increased by 7.04%. Consequently, the contribution of own brands (fragrances & cosmetics and household products) to the total EBIT during H1 2008 accounted for 60.70% in comparison to 54.58% in H1 2007.

Looking at the geographical analysis, the Greek market succeeded a turnover increase of 2.21% at €58.83 mil. The Old Countries recorded growth of 13.80%, increasing their contribution to total sales up to 52.80% in H1 2008 from 49.38% in H1 2007. With respect to the new Countries of operation, it is worth to note that revenues are affected by the destocking process of the old STR8 during Q1 2008.

As far as EBIT is concerned, all restructuring costs related to the New Countries business model change, were absorbed by 9M 2007. Consequently, according to the management's guidance, all new countries of operation are free of costs in 6M 2008. It is worth to note that the old counties of operation reversed the negative results of Q1 2008, noting an EBIT increase of 12.36% to €5.59 mil. in H1 2008 from €4.98 mil in H1 2007. Additionally, Greek EBIT is substantially affected by the increased promotional expenses due to the STR8 relaunch as well as the exit from non profitable contracts within the Health & Care SBU that were not renewed.

2. IMPORTANT DEVELOPMENTS DURING THE FIRST HALF OF 2008

Α) Relaunch of SARANTIS GROUP male fragrance STR8.

SARANTIS Group, proceeded with the relaunch of its male fragrance, STR8, in accordance with its growth strategy, reinforcing the potential of the Fragrances & Cosmetics sector.

The new STR8 fragrance was launched in April 2008 and is distributed, apart from Greece, in all the markets where the Group operates via subsidiaries and direct exports.

It is worth to mention that, in anticipation of this relaunch and aiming at exhausting in an efficient way the existing inventory, production and sales of the previous STR8 have been cut back during the 1st quarter of 2008, while the 2nd quarter of 2008 is expected to be strong in terms of production volume and orders of the new STR8.

It is reminded that STR8 is an own brand of Sarantis Group that was first launched in 1998, while a remarkably successful relaunch took place in 2004 boosting STR8 sales up in 2005 by 57%.

It is also worth to note that STR8 is the number one in sales own product of Sarantis Group reaching sales of c.33 million Euros in 2007 and posting two digit growth rates on a yearly basis, while it holds leading market shares in the markets it operates.

This move is of particular strategic importance for the Group, as it strengthens the Group's leading position in the Fragrances & Cosmetics sector and further reinforces the dynamic course of the Group's own brand portfolio.

Β) Freeze on GR SARANTIS SA product prices.

The company GR SARANTIS SA, taking into consideration the general climate against price increases and in the context of active and responsible corporate social responsibility, froze its product prices until the end of the current year in the greek market.

More specifically, the price freeze was applied to male cosmetics (PROSAR, STR8, ADIDAS, A. BANDERAS), female cosmetics (BU, C-THRU), shampoo (BEER ORZENE), suncare Products (CARROTEN, COPPERTONE), insecticides (TEZA, PYROX, BISBARDI), and household products (AFROSO, TUBOFLO, TRYLET, CAMEL, SANITAS Aluminium Trays & Aluminium Foil).

Γ) Acquisition of the Hungarian company TRADE 90.

The GR. SARANTIS S.A. Management proceeded to the acquisition of the Hungarian household products company TRADE 90.

More specifically, Sarantis Group, in the context of its further geographical expansion and the strengthening of its leading position in the consumer sector in Eastern Europe, signed an agreement for the acquisition of the 100% of the capital share of TRADE 90, through its subsidiary SARANTIS CYPRUS LTD. The closing of the aforementioned acquisition is subject to the findings

of the legal and financial due diligence of the company that will be completed by September 15th 2008.

TRADE 90 has been activating since 1991 in the household products sector and, more specifically, in the production and distribution of food packaging products. The company is one of the main suppliers of the Hungarian market having long-lasting agreements with the major key accounts, while it also has a powerful distribution network that covers the whole market. Additionally, it is also important to note that TRADE 90's packaging products are well positioned in the market and maintain the second position in terms of market share.

The company employs about 35 people, the majority of which belong to the Sales and Marketing department, and has export activity in Slovakia, Czech Republic, Romania and Austria.

The acquisition will be made through self financing and the transaction cost amounts to 2.74 mil. Euros.

It is noteworthy that the company has no debt outstanding and in 2008 is expected to record Sales, EBITDA and EBIT of approximately 6.5 mil. Euros, 0.5 mil. Euros and 0.45 mil. Euros, respectively. Through this deal, Sarantis Group acquires a company with homogeneous and supplementary activities to its core business, a fact which enables the achievement of important synergies, given that the packaging products division (aluminum foil, cling film, garbage bags, etc.) is one of the

most dynamic sub-categories of Sarantis Group with annual sales exceeding 65 mil. euros.

At the same time, through this acquisition, the Group's subsidiary in Hungary turns into a profitable company, reaching critical mass and strengthening its position in the Hungarian market due to TRADE 90's dynamic and lasting presence.

3. MAJOR RISKS AND UNCERTAINTIES FOR THE SECOND HALF OF 2008.

The Group's activities expose it to financial and other risks, including the effects of changes in debt and equity market prices and interest rates. The Group's overall risk management program focuses on the unpredictability of financial markets and seeks to minimize potential adverse effects on the financial performance of the Group as a whole. The Group's financial instruments consist mainly of deposits with banks, trade accounts receivable and payable, loans, associates and dividends payable.

Foreign Exchange Risk

Τhe majority of the Group's transactions and balances is in Euro, while the company's loans are in Euro. Therefore the management estimates that the Group is not exposed to foreign exchange risks. In terms of the dollar based transactions, the company has established a hedging program against fluctuations of the Eurodollar rate.

The management is regularly observing the foreign exchange risks that may arise and evaluates the need for relevant measures accordingly.

Interest Rate Risk

Group's interest rate risk management objective is to achieve an optimal balance between borrowing cost and the potential effect of interest rate changes on earnings and cash flows. The Group manages its debt and overall financing strategies using a combination of short and long-term debt. It is the policy of the Group to continuously review interest rate trends along with its financing needs. Daily working capital requirements are typically financed with operational cash flow and through the use of various committed lines of credit. The interest rate on these short-term borrowing arrangements, is generally determined as the inter-bank offering rate at the borrowing date plus a pre-set margin. The mix of fixed-rate debt and variable-rate debt is managed within policy guidelines. In case of an interest rate increase within the second half of 2008, the company will not have a negative impact on FY 2008 financial results as part of the Group's strategy is the continuous reduction of the company's existing bank loans.

Credit Risk

The Group's trade receivables mainly come from wholesale clients. All Group companies monitor the financial position of their debtors on an ongoing basis and control the granting of credit as well as the credit lines. Where considered appropriate, credit guarantee insurance cover is purchased. Moreover, appropriate provision for impairment losses is made for specific credit risks where deemed necessary. For the second half of 2008 the management does not consider the existence of any material credit risk exposure that is not already covered by credit guarantee insurance.

Liquidity Risk

Prudent liquidity risk management implies the existence of a balance between cash flows as well as funding through adequate amounts of committed credit facilities. The Group closely monitors the amount of funding as well as the short-term and long-term funding with respect to total debt and the composition of total debt, manages the risk that could arise from the lack of sufficient liquidity and secures that necessary borrowing facilities are maintained. The Group has sufficient credit line facilities that could be utilized to fund any potential shortfall in cash resources. The Group manages and monitors its working capital in order to minimize any possible liquidity and cash flow risks.

4. MATERIAL TRANSACTIONS BETWEEN THE COMPANY AND RELATED PARTIES

This section presents the most important transactions between the company and its related parties as these are defined by IAS 24.

1. Subsidiaries:

The company

Receivables from operational activity 30/6/2008 31/12/2007
VENTURES A.E 1,580,143.65 832,247.70
ZETA AE 401,303.82 250,371.42
SAR.BELGRADE 60,821.75 36,631.00
SAR.SAREAST 0.00 4,506.85
SAR.SKOPJE L.T.D 59,350.13 50,177.22
SAR.ROMANIA 110,295.92 1,551.40
Κ.THEODORIDIS S.A. 55,927.21 84,804.81
SAR.CZECH 985,410.12 834,409.71
SAR.POLSKA 1,156,889.60 890,947.74
SAR UKRAINE 590,309.58 958,032.67
SAR TURKEY 0.00 141,154.69
SAR HUNGARY 569,321.36 853,856.10
SAR.RUSSIA 1,380,970.75 1,832,525.95
ELMIPLANT ROMANIA 32.25 0.00
Total 6,950,776.14 6,771,217.26
Receivables from loans
ZETA FIN LTD 1,970,000.00 1,970,000.00
TOTAL RECEIVABLES 8,920,776.14 8,741,217.26
Liabilities from operational activity
VENTURES ΑΕ 200.00 11,862.00
ZETA AE 300.00 300.00
Κ.THEODORIDIS S.A. 80.54 43.30
SAR.POLSKA 9,027.80 44,928.67
SAR BELGRADE 138,353.25 698,920.00
SAR ROMANIA 0.00 103.00
SAR BULGARIA 173,849.08 0.00
SAR RUSSIA 0.00 67,705.89
SAR TURKEY 84,528.82 0.00
Total 406,339.49 823,862.86
Liabilities from loans
ZETA FIN 11,708,104.56 13,071,622.86
GR SAR.CYPRUS LTD 2,728,080.56 5,558,306.39
Total 14,436,185.12 18,629,929.25
TOTAL LIABILITIES 14,842,524.61 19,453,792.11
Income
Sale of goods/merchandise
VENTURES ΑΕ 1,131,012.56 1,272,538.00
SAR.ROMANIA 2,637,422.45 1,591,541.99
SARANTIS BULGARIA 1,795,126.91 929,210.89
SAR. BELGRADE 1,494,611.24 991,302.96
SARANTIS SKOPJE 497,122.99 459,050.12
SARANTIS ANADOL S.A 23,873.94 523,549.11
SARANTIS UKRAINE -36,083.17 153,241.48
SARANTIS POLAND 2,424,921.17 1,972,312.89
SAR CZECH 819,380.20 614,153.58
Κ.THEODORIDIS S.A. 36,746.75 107,210.51
SAR RUSSIA 619,398.82
SARANTIS HUNGARY 693,369.67 488,204.63
Total 11,517,504.71 9,721,714.98
Income
Other
VENTURES ΑΕ 758.34 716.04
SARANTIS UKRAINE 2,754.10 13884.94
SARANTIS POLAND 11,200.00 8600
ZETA AE 900.00 900
SAR SAREST 40410.96
Κ.THEODORIDIS S.A. 15,520.00 778
Total 31,132.44 65,289.94
TOTAL INCOME 11,548,637.15 9,787,004.92

Expenses

Purchases of Goods and merchandise

SARANTIS .HUNGARY 9,526.33
SARANTIS CZECH 5,100.24
SARANTIS POLAND 12,717.55 70,951.90
SARANTIS ANADOL S.A 226,387.01
SARANTIS UKRAINE 50,772.48
Total 304,503.61 70,951.90
Expenses - Interest
ΖΕΤΑ FIN LTD 5,768.70 61,794.00
GR.SARANTIS CYPRUS LIM. 63,377.79 8,077.81
Total 69,146.49 69,871.81
TOTAL EXPENSES 373,650.10 140,823.71
2. Board members and key management
personnel remuneration and other benefits 30/6/2008 31/12/2007
The Group 433,796.64 417,217
The Company 433,796.64 417,217

Marousi, August 29 2008

The Board of Directors

THE BoD CHAIRMAN THE VICE-CHAIRMAN THE FINANCE DIRECTOR &
BoD MEMBER
THE ACCOUNTANT
DIRECTOR
GRIGORIS SARANTIS KYRIAKOS SARANTIS KONSTANTINOS ROZAKEAS VASILIOS D. MEINTANIS
ID No. Χ 080619/03 ID No. Ρ 539590/95 ID No. Ρ 534498/94 ID No. ΑΒ 656347/06

3. REPORT ON REVIEW OF INTERIM FINANCIAL INFORMATION

REPORT ON REVIEW OF INTERIM FINANCIAL INFORMATION To The Shareholders of SARANTIS A.B.E.E.

Introduction

We have reviewed the accompanying company and consolidated balance sheet of SARANTIS A.B.E.E. as at 30 June 2008, and the related income statements, statements of changes in equity, and cash flow statements for the six-month period then ended, as well as the explanatory notes that constitute the interim financial information, which is an integral part of the six-month financial report of article 5 Law 3556/2007. Management is responsible for the preparation and presentation of this interim financial information in accordance with International Financial Reporting Standards as adopted by the European Union and apply to interim financial reporting ("IAS 34"). Our responsibility is to express a conclusion on this interim financial information based on our review.

Scope of review

We conducted our review in accordance with the International Standard on Review Engagements 2410, "Review of Interim Financial Information Performed by the Independent Auditor of the Entity", to which the Greek Auditing Standards refer. A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Greek Auditing Standards and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Review Conclusion

Based on our review, nothing has come to our attention that causes us to believe that the accompanying interim financial information is not prepared, in all material respects, in accordance with IAS 34.

Reference on Other Legal and Regulatory Requirements

Apart from the aforementioned interim financial information, we also reviewed the remaining components included in the six-month financial report as required by article 5 of L.3556/2007 as well as the information required by the relevant Decisions of the Capital Markets Committee as setout in the Law. Based on our review we concluded that the financial report includes the data and the information that are required by the Law and the Decisions referred to above and is consistent with the accompanying financial information.

Athens, 29 th August 2008 The Certified Public Accountant

John V. Kalogeropoulos SOEL. Reg. No: 10741

Certified Public Accountants- Consultants A.E. 396, Mesogion Avenue 153 41 Ag.Paraskevi- Athens, Greece SOEL Reg.No: 148

4. INTERIM FINANCIAL STATEMENTS

INTERIM FINANCIAL STATEMENTS FOR THE PERIOD ENDED 30 JUNE 2008

It is certified that the attached Interim Financial Statements for the period 01/01 – 30/06/2008 are those approved by the Board of Directors of GR. SARANTIS SA on 29/08/2008 and are published in the website www.sarantis.gr. It is noted that the published in press financial statements aim to provide general financial information but do not provide the complete financial position and results of the Group in accordance with the International Financial Reporting Standards.

Contents

BALANCE SHEET 16
PROFIT AND LOSS ACCOUNT 17
STATEMENT OF CHANGES IN GROUP EQUITY 18
STATEMENT OF CHANGES IN COMPANY EQUITY 19
CASH FLOW STATEMENT20
1 NOTES ON THE ANNUAL FINANCIAL STATEMENTS 21
1.1 THE COMPANY 21
1.2 GROUP STRUCTURE22
1.3 BUSINESS ACTIVITY 23
2. BASIS FOR THE PREPARATION OF THE FINANCIAL STATEMENTS23
2.1 COMPLIANCE WITH IFRS 23
2.2 BASE FOR THE PREPARATION OF THE FINANCIAL STATEMENTS 23
2.3 APPROVAL OF THE FINANCIAL STATEMENTS23
2.4 COVERED PERIOD23
2.5 PRESENTATION OF THE FINANCIAL STATEMENTS 23
2.6 SIGNIFICANT JUDGMENTS AND ESTIMATIONS BY MANAGEMENT 23
2.7 NEW STANDARDS – AMENDMENTS AND INTERPRETATIONS TO EXISTING STANDARDS24
3 BASIC ACCOUNTING PRINCIPLES25
3.1 CONSOLIDATION25
3.2 FOREIGN CURRENCY CONVERSION27
3.3 FINANCIAL INFORMATION BY SEGMENT27
3.4 GOODWILL 28
3.5 INTANGIBLE ASSETS 28
3.6 TANGIBLE ASSETS28
3.7 INVENTORIES29
3.8 FINANCIAL INSTRUMENTS30
3.9 TRADE RECEIVABLES30
3.10 CASH & CASH EQUIVALENTS 30
3.11 SHARE CAPITAL31
3.12 LOANS31
3.13 LEASES31
3.14 RETIREMENT BENEFITS AND SHORT-TERM EMPLOYMENT BENEFITS32
3.15 RECOGNITION OF INCOME32
3.16 GOVERNMENT GRANTS33
3.17 PROVISIONS33
3.18 DIVIDEND DISTRIBUTION33
3.19 INCOME TAX 33
4 CAPITAL MANAGEMENT 34
5 EXPLANATORY NOTES ON THE ANNUAL FINANCIAL STATEMENTS 35
5.1 GOODWILL 35
5.2 INVENTORIES37
5.3 TRADE AND OTHER RECEIVABLES37
5.4 CASH & CASH EQUIVALENTS 38
5.5 SECURITIES 38
5.6 TRADE AND OTHER CREDITORS 39
5.7 PROVISIONS39
5.8 LOANS40
5.9 INCOME TAX 41
5.10 DEFERRED TAX 41
5.11 EMPLOYEE BENEFITS42
5.12 EXPENSES PER CATEGORY43
5.13 SHARE CAPITAL43
5.14 TABLE OF CHANGES IN FIXED ASSETS44
5.15 ACTUARIAL STUDY48
5.16 INTRAGROUP TRANSACTIONS49

BALANCE SHEET

GROUP COMPANY
30/6/2008 31/12/2007 30/6/2008 31/12/2007
ASSETS
Non-current assets 76,786,578.67 72,636,176.15 95,523,747.77 95,764,038.99
Tangible fixed assets 42,735,622.23 42,687,361.79 36,893,772.99 37,206,293.75
Intangible assets 245,984.40 248,091.60 87,067.83 79,940.33
Company goodwill 6,797,756.03 4,705,775.00
Deferred tax asset 1,857,983.80 2,840,631.32 1,825,934.22 2,808,588.74
Investments in subsidiaries,
associates
23,647,292.20 20,224,191.40 55,273,227.35 53,521,270.79
Other long-term assets 1,501,940.01 1,930,125.04 1,443,745.38 2,147,945.38
Current assets 169,421,918.94 172,371,959.57 92,779,620.28 105,120,238.45
Inventories 43,398,463.96 39,316,599.01 19,790,389.26 20,997,323.74
Trade receivables 89,023,653.63 73,688,460.01 55,706,656.77 42,216,518.00
Other receivables 8,350,781.44 7,099,299.35 4,707,415.47 4,257,393.12
Cash & cash equivalents 18,274,843.99 43,165,272.60 4,308,568.92 29,256,819.24
Securities 9,753,894.45 8,340,248.22 8,071,379.25 8,120,863.58
Prepayments and accrued
income
620,281.47 762,080.38 195,210.61 271,320.77
Total Assets 246,208,497.61 245,008,135.72 188,303,368.05 200,884,277.44
EQUITY of the Parent:
Share capital 59,060,447.60 59,060,447.60 59,060,447.60 59,060,447.60
Share premium account 39,252,195.98 39,252,195.98 39,252,195.98 39,252,195.98
Reserves -
3,005,863.30
-
3,037,785.22
-
2,855,609.55
-
3,037,785.22
Profit (losses) carried forward 15,843,416.18 6,293,422.99 - 31,182,284.82 - 31,463,422.08
Minority interest: 6,821.08 -
140,435.61
- -
Total Equity 111,157,017.54 101,427,845.74 64,274,749.21 63,811,436.28
LIABILITIES
Long-term liabilities 63,992,913.13 87,911,677.95 61,763,315.88 85,683,142.28
Loans 58,750,000.00 78,811,510.00 57,500,000.00 77,500,000.00
Deferred tax liability - 143,727.54 - 143,727.54
Provisions for post employment
employee benefits
1,759,583.05 1,759,583.05 1,690,392.63 1,690,392.63
Provisions and other long-term
liabilities
3,483,330.08 7,196,857.36 2,572,923.25 6,349,022.11
Short-term liabilities 71,058,566.94 55,668,612.03 62,265,302.96 51,389,698.88
Suppliers and other liabilities 44,546,745.05 39,358,863.00 30,709,408.65 25,044,173.85
Other liabilities 4,046,411.26 3,961,254.56 17,229,691.09 21,187,980.73
Income taxes and other taxes
payable
5,255,146.78 6,776,708.34 3,491,904.37 4,067,524.96
Loans 10,011,945.60 2,401,450.00 8,000,000.00 -
Accruals and deferred expenses 7,198,318.25 3,170,336.13 2,834,298.85 1,090,019.34
Total Equity & Liabilities 246,208,497.61 245,008,135.72 188,303,368.05 200,884,277.44

PROFIT AND LOSS ACCOUNT

GROUP COMPANY
1/1-30/06/2008 1/1-30/06/2007 1/04-
30/06/2008
1/04-
30/06/2007
1/1-
30/06/2008
1/1-
30/06/2007
1/04-
30/06/2008
1/04-
30/06/2007
Sales 125,736,376.17 118,145,805.12 69,575,066.92 63,763,709.91 66,744,253.84 63,184,743.47 36,103,355.25 32,922,895.57
Cost of sales 60,503,150.94 58,406,285.34 33,382,256.16 31,644,432.81 33,399,491.15 31,649,171.24 18,093,022.63 15,845,209.40
Gross profit 65,233,225.23 59,739,519.78 36,192,810.76 32,119,277.10 33,344,762.69 31,535,572.23 18,010,332.62 17,077,686.17
Other income
- expenses
(net)
5,530,991.13 7,915,565.69 4,547,192.15 5,198,292.17 906,495.78 2,414,627.14 457,780.10 1,475,635.67
Sales &
Distribution
costs
45,314,492.03 42,687,090.90 26,503,482.19 24,153,979.58 22,247,375.75 21,407,281.59 13,056,009.32 12,219,439.12
Administrative
expenses
6,812,546.96 8,213,942.00 2,839,789.53 3,978,812.77 3,629,104.55 3,853,120.54 1,474,506.98 1,559,041.96
Operating
profit
18,637,177.37 16,754,052.57 11,396,731.19 9,184,776.92 8,374,778.17 8,689,797.24 3,937,596.42 4,774,840.76
Finance cost
(net)
978,014.16 -
307,010.77
1,186,858.44 -
53,683.21
320,360.74 822,004.09 334,774.17 1,018,647.81
Net profit
before taxes
19,615,191.53 16,447,041.80 12,583,589.63 9,131,093.70 8,695,138.91 9,511,801.33 4,272,370.59 5,793,488.57
Income tax 3,453,674.37 4,400,485.91 1,887,141.25 2,337,679.66 1,055,414.87 1,884,984.98 126,633.52 1,149,967.28
Deferred tax 838,926.98 72,787.55 903,763.03 36,328.02 838,926.98 72,777.02 903,763.03 36,317.49
Net profit for
the fiscal
period
15,322,590.18 11,973,768.34 9,792,685.35 6,757,086.03 6,800,797.06 7,554,039.33 3,241,974.04 4,607,203.80
Allocated to:
Shareholders
of the parent
15,321,156.65 12,608,236.46 9,792,481.24 7,129,406.13 6,800,797.06 7,554,039.33 3,241,974.04 4,607,203.80
Minority
interest
1,433.53 -
634,468.12
204.11 -
372,320.11
- - - -
Earnings per
share
0.40 0.33 0.26 0.19 0.18 0.20 0.08 0.12

STATEMENT OF CHANGES IN GROUP EQUITY

Share Capital Share
premium
account
Reserve from
Readjustments
and other
reserves
Balance of
profit losses
Minority
interest
Total
Balance as at January 1st 2007 57,220,410.00 38,750,355.98 -1,931,132.77 -16,620,686.12 2,985,012.68 80,403,959.77
Foreign exchange differences 1,752,433.75 71,402.79 1,823,836.54
Dividends -4,959,102.20 -4,959,102.20
Net profit for the period 12,608,236.46 -634,468.12 11,973,768.34
Financial assets available for
sale
-1,286,422.08 -1,286,422.08
Capitalization of reserves 0.00
Purchase of own shares -3,772,826.26 0.00 -3,772,826.26
Results of own shares 248,247.00 248,247.00
Net income registered directly in
equity
-418,721.23 -418,721.23
Stock option -83,897.12 -83,897.12
Effect from change of
consolidation method
1,650.61 -
2,098,177.10
-2,096,526.49
of subsidiary
Transfer from reserves 1,144,408.20 0.00 -1,144,408.20 0.00 0.00
Balance as at June 30th 2007 58,364,818.20 38,750,355.98 -3,301,451.97 -12,305,176.19 323,770.25 81,832,316.27
Balance as at January 1st 2008 59.060.447,60 39.252.195,98 -3.037.785,22 6.293.422,99 -140.435,61 101.427.845,74
Foreign exchange differences 748.496,34 0,00 748.496,34
Dividends -6.519.659,80 -6.519.659,80
Net profit for the period 15.321.156,65 1.433,53 15.322.590,18
Financial assets available for
sale -199.738,08 -199.738,08
Stock option
Effect from change in
231.660,00 231.660,00
consolidation method of
subsidiary 0,00 145.823,16 145.823,16
Balance as at June 30th 2008 59.060.447,60 39.252.195,98 -3.005.863,30 15.843.416,18 6.821,08 111.157.017,54

STATEMENT OF CHANGES IN COMPANY EQUITY

Share Capital Share
premium
account
Reserve from
Readjustments
and other
reserves
Balance of
profit losses
Total
Balance as at January 1st 2007 57,220,410.00 38,750,355.98 -1,931,132.77 -40,970,254.17 53,069,379.04
Dividends -4,959,102.20 -4,959,102.20
Net profit for the period 7,554,039.33 7,554,039.33
Financial assets available for sale -1,286,422.08 -1,286,422.08
Capitalization of reserves 0.00
Purchase of own shares -3,772,826.26 -3,772,826.26
Results of own shares 248,247.00 248,247.00
Net income registered directly in
equity
-418,721.23 -418,721.23
Stock option -83,897.12 -83,897.12
Transfer from reserves 1,144,408.20 0.00 -1,144,408.20 0.00
Balance as at June 30th 2007 58,364,818.20 38,750,355.98 -3,301,451.97 -43,463,025.73 50,350,696.48
Balance as at January 1st 2008 59.060.447,60 39.252.195,98 -3.037.785,22 -31.463.422,08 63.811.436,28
Dividends -6.519.659,80 -6.519.659,80
Net profit for the period 6.800.797,06 6.800.797,06
Financial assets available for sale -49.484,33 -49.484,33
Stock options 231.660,00 231.660,00
Balance as at June 30th 2008 59.060.447,60 39.252.195,98 -2.855.609,55 -31.182.284,82 64.274.749,21

CASH FLOW STATEMENT

(Amounts in Euro) GROUP COMPANY
01.01-30.06-2008 01.01-30.06-2007 01.01-30.06-2008 01.01-30.06-2007
CASH FLOWS FROM
OPERATING ACTIVITIES
Profits before tax 19,615,191.53 16,447,041.80 8,695,138.91 9,511,801.33
Adjustments for:
Depreciation of fixed assets 1,920,788.62 1,752,075.55 1,154,116.08 1,093,201.58
Foreign Exchange differences -259,785.00 55,237.00 -334,402.86 -124,004.65
Results(income. expenses.
profits and losses) from
investing activities -7,387,138.46 -8,071,326.01 -2,044,282.04 -3,428,245.11
Interest expense and related
expenses
Plus/minus adjustments for
1,981,925.00 2,557,487.00 2,047,051.74 2,459,826.67
changes in working capital
accounts or accounts related
to operating activities:
Decrease / (increase) in
inventories -4,081,864.95 -4,775,074.20 1,206,934.48 -2,516,070.48
Decrease / (increase) in
receivables -16,444,876.80 -2,747,525.69 -13,864,050.96 -11,085,950.18
(Decrease) / increase in
liabilities (other than to banks)
Less: 3,472,695.69 6,689,274.55 -2,010,803.78 13,048,514.90
Interest and related expenses
paid -1,206,176.07 -1,728,593.71 -1,271,302.81 -1,630,932.78
Tax paid -2,015,617.00 -2,146,886.00 -851,103.62 -1,418,707.00
NET INFLOWS /
(OUTFLOWS) FROM
OPERATING ACTIVITIES (a) -4,404,857.44 8,031,710.29 -7,272,704.86 5,909,434.28
CASH FLOWS FROM
INVESTING ACTIVITIES
Acquisitions/sales of
subsidiaries, associates, joint
ventures and other
investments -2,859,976.19 4,613,503.16 -1,047,756.56 1,387,864.10
Purchase of tangible and
intangible fixed assets -3,668,436.30 -1,113,119.65 -2,385,425.33 -629,562.03
Proceeds from sale of tangible
and intangible assets 4,087,107.07 1,073,452.71 3,747,852.04 1,009,876.94
Interest received 343,516.00 210,381.60 32,289.74 3,517.60
Dividends received 519,228.00 1,511,532.91 495,000.00 1,551,293.26
NET INFLOWS /
(OUTFLOWS) FROM
INVESTMENT ACTIVITIES
(b)
-1,578,561.42 6,295,750.73 841,959.89 3,322,989.87
CASH FLOWS FROM
FINANCING ACTIVITIES
Proceeds from issuance of
share capital 0.00 0.00 0.00 0.00
Proceeds from loans granted /
assumed 8,550,000.00 1,760,779.00 8,000,000.00 0.00
Payment of loans -20,939,504.40 0.00 -20,000,000.00 0.00
Expenses of share capital
increase 0.00 0.00 0.00 0.00
Dividends paid -6,517,505.35 -4,877,254.72 -6,517,505.35 -4,877,254.72
Purchase/sale of own shares 0.00 -3,772,826.26 0.00 -3,772,826.26
TOTAL INFLOWS /
(OUTFLOWS) FROM
FINANCING ACTIVITIES (c) -18,907,009.75 -6,889,301.98 -18,517,505.35 -8,650,080.98
Increase / (decrease) in
cash and cash equivalents
(a) + (b) + (c) -24,890,428.61 7,438,159.04 -24,948,250.32 582,343.17
Cash and cash equivalents
at the start of the period 43,165,272.60 14,264,427.66 29,256,819.24 4,481,468.38
CASH AND CASH
EQUIVALENTS AT THE END
OF THE PERIOD 18,274,843.99 21,702,586.70 4,308,568.92 5,063,811.55

1 NOTES ON THE ANNUAL FINANCIAL STATEMENTS

General information about the group

1.1 The company

Gr. Sarantis SA (the company) has the legal form of a societe anonyme and is the parent company of the Gr. Sarantis SA group (the group).

The Company's domicile is located at 26 Amarousiou – Chalandriou Street, Marousi Greece, The company's central offices are also located at the same address.

The shares of Gr. Sarantis SA are listed on the main market of the Athens Exchange, in the Large Capitalization.

1.2 Group Structure

The group's companies, which are included in the consolidated financial statements, are the following:

GROUP STRUCTURE
COMPANY DOMICILE DIRECT
PARTICIPATION
PERCENTAGE
INDIRECT
PARTICIPATION
PERCENTAGE
TOTAL TAX UN
AUDITED
FISCAL
YEARS
FULL CONSOLIDATION METHOD
VENTURES AE GREECE 88,66% 0,00% 88,66% 2005-2007
GR SARANTIS CYPRUS LIMITED CYPRUS 100,00% 0,00% 100,00% -
BRIARDALE SERVICES S.A ISLE OF MAN 0,00% 100,00% 100,00% -
SARANTIS BULGARIA L.T.D BULGARIA 0,00% 100,00% 100,00% 1999-2007
SARANTIS ROMANIA S.A ROMANIA 0,00% 100,00% 100,00% 2006-2007
ELMIPLANT ROMANIA 0,00% 100,00% 100,00% 2007
SARANTIS DISTRIBUTION S.C ROMANIA 0,00% 100,00% 100,00% 2006-2007
SARANTIS L.T.D BELGRADE SERBIA 0,00% 100,00% 100,00% -
SARANTIS SKOPJE L.T.D FYROM 0,00% 100,00% 100,00% -
SARANTIS POLSKA S.A POLAND 0,00% 100,00% 100,00% 2006-2007
SARANTIS CZECH REPUBLIC sro CZECH
REPUBLIC
0,00% 100,00% 100,00% 2005-2007
VENUS S.A LUXEMBOURG 0,00% 100,00% 100,00% -
ΖΕΤΑ ΑΕ GREECE 0,00% 100,00% 100,00% 2005-2007
ΖΕΤΑ FIN LTD CYPRUS 0,00% 100,00% 100,00% 2002-2007
WALDECK LIMITED CYPRUS 0,00% 100,00% 100,00% 2006-2007
SAREAST CYPRUS 0,00% 100,00% 100,00% 2006-2007
SARANTIS RUSIA RUSSIA 0,00% 100,00% 100,00% 2006-2007
ΖΕΤΑ COSMETICS LTD CYPRUS 0,00% 100,00% 100,00% 2002-2007
SARANTIS ANADOL SA TURKEY 99,98% 0,00% 99,98% 2005-2007
SARANTIS HUNGARY KFT HUNGARY 0,00% 100,00% 100,00% 2006-2007
SARANTIS UKRAINE S.A HUNGARY 100,00% 0,00% 100,00% 2006-2007
PROPORTIONATE
CONSOLIDATION METHOD
K. THEODORIDIS SA GREECE 50,00% 0,00% 50,00% 2006-2007
ΟΤΟ ΤOP EOOD BULGARIA 0,00% 25,50% 25,50% 1999-2007
EQUITY CONSOLIDATION
METHOD
ΕLCA COSMETICS LTD CYPRUS 0,00% 49,00% 49,00% 2001-2007
ESTEE LAUDER HELLAS SA GREECE 0,00% 49,00% 49,00% 2007
ΕSTEE LAUDER BULGARIA BULGARIA 0,00% 49,00% 49,00% 2001-2007
ΙΜ COSMETICS SA ROMANIA 0,00% 49,00% 49,00% 2001-2007

1.3 Business activity

The group is active in the production and trade of cosmetics, household use products, parapharmaceutical items and car accessories.

The group's main activities have not changed from the previous year.

2. Basis for the preparation of the Financial Statements

2.1 Compliance with IFRS

The consolidated and individual financial statements of "GR. SARANTIS S.A." are in accordance with the International Financial Reporting Standards (IFRS), which have been issued by the International Accounting Standards Board (IASB) as well as their interpretations, which have been issued by the International Financial Reporting Interpretations Committee (IFRIC) of IASB that have been adopted by the European Union.

2.2 Base for the preparation of the Financial Statements

The consolidated and individual financial statements of "GR. SARANTIS S.A." have been prepared according to the going concern principle and the historic cost principle, as such is amended by the adjustment of specific asset and liability items.

2.3 Approval of the Financial Statements

The annual consolidated financial statements have been approved by the company's Board of Directors on 29/08/2008 and are subject to the final approval by the Ordinary General Shareholders' Meeting.

2.4 Covered Period

The present annual consolidated financial statements include the financial statements of "GR. SARANTIS S.A." and its subsidiaries, which together are referred to as the group, and cover the period from January 1st 2008 to June 30th 2008.

2.5 Presentation of the Financial Statements

The present financial statements are presented in €, which is the group's operating currency, namely the currency of the primary economic environment in which the parent company operates.

2.6 Significant judgments and estimations by Management

The preparation of the Financial Statements according to the International Accounting Standards requires the implementation of estimations, judgments and assumptions, that may affect the accounting balances of assets and liabilities and the required disclosures for contingent receivables and liabilities, as well as the amount of income and expenses recognized.

The use of adequate information and the implementation of subjective judgment constitute inseparable data for the conduct of estimations in the valuation of assets, liabilities for employee benefits, impairment of assets, tax un-audited fiscal years and pending judicial cases. The estimations are considered significant but not binding. Real future results may differ from the aforementioned estimations.

2.7 New standards – Amendments and interpretations to existing standards

IFRS 8 - Operating Sectors (in effect for annual periods beginning from January 1st 2009 and onwards)

IFRS 8 replaces IAS 14 and requires the disclosure of specific descriptive and financial information as regards to operating sectors, while it also increases requirements for existing disclosures. The Group will not apply the standard in advance and is examining changes that such requires in its financial statements.

IAS 23 Borrowing cost (amendment)

In the amendment of IAS 23 "Borrowing cost", the previously considered basic method for recognition of borrowing cost in the results has been eliminated. Borrowing cost that is directly attributed to the acquisition, construction or production of a selective asset, as defined by IAS 23, must be part of the item's cost. The amended version of IAS 23 is mandatory for annual periods beginning from January 1st 2009 and onwards. The group will not be affected by this amendment. The group does not intend to apply the revised Standard before January 1st 2009.

IFRIC 11 – IFRS 2: Transactions of the Group's Own Shares

The interpretation is applied for annual financial periods beginning from March 1st 2007 and onwards and clarifies the case when employees of a subsidiary receive shares of the parent company. It also clarifies whether specific types of transactions should be accounted for as transactions settled with participating titles or as transactions settled with cash. The interpretation will not affect the group's financial statements.

IFRIC 12 – Concession Agreements

IFRIC 12 applies to annual accounting periods beginning from January 1st 2008 and onwards and refers to companies that participate in concession agreements. IFRIC 12 does not apply to the group.

IFRIC 13 Customer loyalty programs

IFRIC issued an interpretation related to the implementation of those defined by IAS 18 for the recognition of income. IFRIC 13 "Customer loyalty programs" specifies that when companies grant their customers award credits (i.e. points) as part of a sale transaction and customers can cash such credits in the future for free or discounted goods or services, then paragraph 13 of IAS 18 should be applied. This requires that award credits be accounted for as a separate item of the sale transaction and a part of the price received or the receivable recognized to be allocated to award credits. The recognition time of this income item is postponed until the company satisfies its liabilities that are linked to the award credits, either providing such awards directly or transferring the liability to a third party. The application of IFRIC 13 is mandatory for periods beginning on or after July 1st 2008. The group does not intend to apply the interpretation in advance.

IFRIC 14: IAS 19 - The limit on a Defined Benefit Asset, Minimum Funding Requirements and their Interaction

IFRIC 14 covers the interaction between minimum funding requirements (which are usually imposed by laws and regulations) and the measurement of a defined benefit asset. The issue addressed by IFRIC 14 is related only to limited cases of post employment defined benefit plans "in surplus" or subject to minimum funding requirements. Amongst others, the interpretation specifically addresses the definition of "available" used in IAS 19. Generally, the interpretation explains that an economic benefit is available if the company has an implicit right to recognize the benefit during the settlement of the defined benefit plan. The recognition of the item does not depend on whether the economic benefits are directly recognizable during the balance sheet date or from how any possible surplus is intended to be used. The interpretation also deals with the accounting handling of a liability for minimum funding requirements that arise from services already received by the company. IFRIC 14 is applied for periods beginning from January 1st 2008 and onwards. As an exception, IFRIC 14 does not require full retrospective application. The application is required during the beginning of the first period for which the Interpretation is applied. The interpretation will not affect the group's financial statements. The group does not intend to apply IFRIC 14 in advance.

3 Basic accounting principles

3.1 Consolidation

3.1.1 Subsidiaries

Subsidiaries are all companies on which the group has the power to control their financial and business policies. The group considers that is has and exercises control when it participations with a percentage over half the voting rights of a company.

When defining whether the group exercises control on voting rights of another economic unit, the existence of potential voting rights that are exercisable or convertible are also taken into account.

Subsidiaries are consolidated with the full consolidation method from the date that control over them is acquired and cease to be consolidated from the date that this control no longer exists.

Furthermore, subsidiaries that are acquired are initially consolidated with the purchase method. This

method includes the readjustment to fair value of all recognized assets and liabilities, including contingent liabilities of the subsidiary during the acquisition date, regardless of whether such have been included in the financial statements of the subsidiary prior to its acquisition. During the initial recognition, the assets and liabilities of the subsidiary are included in the consolidated balance sheet in readjusted amounts, which are also used as the base for their subsequent calculation according to the group's accounting principles.

The accounting policies of subsidiaries are amended when deemed necessary in order to render such consistent with the policies adopted by the group.

Accounts for receivables and liabilities, as well as transactions, income and expenses and unrealized profit or losses between the group's companies, are written off in the consolidated financial statements.

In the parent's financial statements, investments in subsidiaries are valued, according to IAS 27, at acquisition cost minus any accumulated impairment loss.

3.1.2 Associates

Associates are companies on which the Group can exert significant influence but which do not fulfill the conditions to be classified as subsidiaries or joint ventures. Significant influence is the authority to participate in decisions that regard decisions for the issuer's financial and business policies, but not control on such polices. Significant influence is usually implied when the group holds a percentage between 20% and 50% of the voting rights through ownership of shares or another type of agreement.

Investments in associates are initially recognized at cost and are subsequently valued using the equity method for consolidation purposes. Goodwill is included in the book cost of the investment and is examined for impairment as part of the investment.

When an economic unit of the group transacts with a group's associate company, any possible intracompany profit and losses are written-off by the participation percentage of the group in the relevant associate company.

All subsequent changes of the participation percentage in the associate company's net position are recognized in book value of the group's investment.

Changes that arise from the profit or losses of associates are registered in the consolidated profit and loss account.

Changes that have been directly recognized in equity of the associates are recognized in the group's consolidated equity.

Any changes recognized directly in equity that are not related to a result, such as the distribution of dividends or other transactions with shareholders of the associate, are registered in the book value of the participation. No effect in the net result or equity is recognized in the context of such transactions.

When the share of losses in as associate for the group is equal or over the book value of the investment, including any other secured receivables, the group does not recognize further losses,

unless it has been burdened with commitments or has proceeded with payments on behalf of the associate.

The accounting policies of associates are amended when deemed necessary in order to render such consistent with the policies adopted by the group.

In the parent's financial statements, investments in associates are valued, according to IAS 28, at acquisition cost minus any accumulated impairment loss.

3.1.3 Joint-Ventures

Economic units whose financial activities are controlled jointly by the group and by other joint venture entities independent to the group, are accounted for using proportionate consolidation method.

In the case where the group sells assets to the joint-venture, it recognizes only the profit or loss from the transaction that corresponds to the participation of the other members.

However, if the group purchases assets from the joint-venture, it does not recognize its share in the profit or loss until it sells the asset to third parties. In the case of indications of impairment of assets acquired by the joint-venture, then any loss is recognized in whole.

Intra-company balances of the group with the joint-venture are written-off, canceling the balances of the joint-venture by the share of the investing company.

3.2 Foreign currency conversion

Transactions in foreign currency are converted to the operating currency using exchange rates in effect during the date of the transactions.

Profit and losses from foreign exchange difference, which arise from the settlement of such transactions during the period and from the conversion of monetary items expressed in foreign currency with the effective exchange rates during the balance sheet date, are registered in the results.

Foreign exchange differences from non-monetary items valued at fair value, are considered as part of the fair value and thus are registered accordingly as fair value differences.

Items of the financial statements of the group's companies are calculated based on the currency of the economic environment in the country where each group company operates.

The individual financial statements of companies participating in the consolidation, and which are initially presented in a currency different than the group's presentation currency, have been converted to €. The assets and liabilities have been converted to € according to the closing exchange rate during the balance sheet date. Income and expenses have been converted to the group's presentation currency at average exchange rates of each reported period. Any differences that arise from this procedure have been transferred to an equity reserve.

3.3 Financial information by segment

A business segment is defined as a group of assets and activities that provide goods and services,

that are subject to different risks and returns than other business segments.

A geographical segment is defined as a geographical region in which goods and services are provided and which is subject to different risks and returns than other regions.

The group has selected information by geographic segment as primary for segment reporting.

3.4 Goodwill

Goodwill which is acquired during a business combination, is initially recognized at cost, which is the excess cost of the combination, over the group's proportion in the fair value of net assets acquired.

Following the initial recognition, goodwill is calculated at cost minus any accumulated impairment losses. The group examines goodwill for impairment on an annual basis or more frequently if there are events or changes in circumstances that suggest that goodwill may be impaired.

3.5 Intangible assets

Intangible assets of the group are initially recognized at acquisition cost. Following the initial recognition, intangible assets are calculated at cost minus accumulated depreciations and any impairment loss that may have emerged.

The useful economic life and depreciation method are reviewed at least at the end of each financial period. If the estimated useful life or expected burn-up rate of future economic benefits incorporated in another intangible asset have changed, the changes are accounted for as changes in accounting estimations.

Intangible assets mainly include the acquired software sued in production or management.

3.6 Tangible Assets

Land-plots and buildings are presented in the financial statements at readjusted values minus accumulated depreciations.

The fair value of land-plots and buildings is defined periodically by an independent evaluator.

The mechanical equipment and other tangible fixed assets are presented at acquisition cost minus accumulated depreciations and possible impairment losses.

The acquisition cost of fixed assets includes all expenses directly attributed to the acquisition of the assets. Subsequent expenses are registered as in increase of the tangible assets' book value or as a separate fixed asset, only to the extent where such expenses increase the future economic benefits expected to arise from the use of the fixed assets, and the cost of such may be reliably calculated. The cost of repairs and maintenance is registered in the results of the period where such are realized.

Self-produced tangible assets constitute and addition to the acquisition cost of tangible assets at values that include the direct payroll cost for staff that participates in the construction, the cost of used materials and other general costs.

The depreciations of tangible fixed assets are calculated with the straight line method during their useful life, which is as follows:

Buildings from
25 to
60 years
Mechanical equipment from
8 to
10 years
Vehicles from
5 to
9 years
Other equipment from
3 to
5 years

The residual values and useful economic lives of tangible fixed assets are subject to reassessment at each balance sheet date. When the residuals values, the expected useful life or expected burn-up rate of future economic benefits incorporated in an asset have changed, the changes are accounted for as changes in accounting estimations.

Upon sale of the tangible fixed assets, any difference between the proceeds and the book value are booked as profit or loss to the results.

The book value of tangible fixed assets is examined for impairment when there are indications, namely events or changes in circumstances, that the book value may not be recoverable. If there is such an indication and the book value exceeds the estimated recoverable amount, the assets or cash flow creation units are impaired to the recoverable amount. The recoverable amount of property, facilities and equipment is the largest between their net sales price and their value in use. For the calculation of the value in use, the expected future cash flows are discounted to present value using a pre-tax discount rate that reflects the market's current expectations for the time value of money and related risks as regards to the asset. When the book values of tangible assets exceed their recoverable value, the difference (impairment) is registered initially as a reduction of the created fair value reserve (if there is such for the relevant fixed asset), which is presented in equity accounts. Any impairment loss that emerges over the created reserve for the specific fixed asset, is recognized directly as an expense in the profit and loss account.

3.7 Inventories

Inventories include raw materials, materials and other goods acquired with the intention of selling such in the future.

The cost of inventories is defined using the weighted average method, and includes all the expenses realized in order to render inventories to their current position and condition and which are directly attributable to the production process, as well as part of general expenses related to the production. During the Balance Sheet date, inventories are presented at the lowest price between acquisition cost and net realizable value.

Net realizable value is the estimated sales price during the normal conduct of the company's

activities, minus the estimated cost necessary to realize the sale.

3.8 Financial instruments

Financial instrument is any contract that creates a financial asset in an enterprise and a financial liability or equity instrument in another.

The financial instruments of the Group are classified in the following categories according to the substance of the contract and the purpose for which they were purchased.

Financial instruments valued at fair value through the profit and loss account

These comprise assets that satisfy any of the following conditions:

  • Financial assets that are held for trading purposes (including derivatives, except those that are designated and effective hedging instruments, those that are acquired or incurred for the purpose of sale or repurchase and, finally, those that are part of a portfolio of designated financial instruments).

  • Upon initial recognition it is designated by the company as an instrument valued at fair value, with any changes recognized through the Profit and Loss Account.

Financial assets available for sale

  • These include non derivative financial assets that are either designated as such or cannot be included in any of the previous categories.

  • Given that they can be reliably defined, such financial assets are subsequently valued at fair value, while if they can not be reliably defined such are valued at acquisition cost.

  • The profit or losses that arise from financial assets available for sale are directly transferred to equity and remain in equity until such are written off.

In case of impairment in financial assets, the amount is not transferred to equity but to the results. The same holds for profit or losses that emerge from changes in exchange rates.

3.9 Trade receivables

Receivables from customers are initially booked at their fair value, which coincides with there nominal value, less impairment losses. Impairment losses (losses from doubtful receivables) are recognized when there is objective evidence that the group is not in a position to collect all amounts due according to the contractual terms. The amount of the impairment loss is the difference between the book value of receivables and the estimated future cash flows. The amount of the impairment loss is registered as an expense in the results of the period where the above conditions hold.

3.10 Cash & cash equivalents

Cash & cash equivalents include cash in banks and in hand, as well as short-term highly liquid investments such as repos and bank deposits with a maturity less than three months.

3.11 Share Capital

Expenses realized for the issuance of shares are presented after the deduction of the relevant income tax, reducing the product of the issue. Expenses related to the issuance of shares for the acquisition of companies, are included in the acquisition cost of the company acquired.

3.12 Loans

Loans provide long-term financing for the group's operations. All loans are initially recognized at cost, which is the fair value of the amount received, except for the direct expenses of the loan's issue.

Following the initial recognition, loans are valued at depreciation cost based on the real interest rate method and any differences in recognized in the results during the borrowing period.

3.13 Leases

The estimation of whether an agreement includes a lease, takes place during the agreement's initiation, taking into account all the available information and specific conditions in effect.

3.13.1 Group company as lessee

3.13.1.1 Financial leases

The ownership of a leased asset is transferred to the lessee if essentially all the risks and benefits related with the leased asset are transferred to the lessee, regardless of the contract's legal form. During the lease, the asset is recognized at the lower of the fair value of the asset and the present value of the minimum lease payments, including additional payments, if any, covered by the lessee. A respective amount is recognized as a liability from the financial lease regardless if some of the lease payments are paid in advance during the beginning of the lease.

The subsequent accounting treatment of assets acquired with financial leasing agreements, i.e. the used depreciation method and the definition of their useful life, is the same as that applied for comparable assets acquired without lease contracts. The accounting treatment of the respective liability refers to its gradual reduction, based on the minimum lease payments minus financial charges, which are recognized as an expense in financial expenses. Financial charges are allocated during the lease period and represent a fixed periodic interest rate on the liability's outstanding balance.

3.13.1.2 Operating leases

All other leases are treated as operating lease. Payments in operating leasing contracts are recognized as an expense in the results with the straight line method (connection of income for the period and expense). The related expenses, such as maintenance and insurance, are recognized as expenses when such are realized.

3.14.1 Short-term benefits

Short-term employee benefits (apart from benefits for employment termination) in cash and in kind, are recognized as an expense when such accrue. Any unpaid amount id registered as a liability, while in case where the amount already paid exceeds the benefit, the company then recognizes the excess amount as an asset item (prepaid expense) only to the extent where the prepayment will lead to a decrease of future payments or to a refund.

3.14.2 Defined benefit plans

The liability registered in the balance sheet for defined benefit plans corresponds to the present value of the liability for the defined benefit according to L. 2112/20 and the changes that arise from any actuarial profit or loss and the working experience cost. The obligation of the defined benefit is calculated annually by and independent actuary with the use of the projected unit credit method.

3.15 Recognition of income

Income is recognized to the extent that it is likely that economic benefits will arise for the group and the relevant amounts can be reliably measured. Income is net of value added tax, discounts and refunds. Income between group companies consolidated with the full consolidation method, are fully written-off.

The recognition of income takes place as follows:

3.15.1 Provision of services

Income from agreements for provision of services at a predefined price is recognized based on the completion stage of the transaction during the balance sheet date.

When the result of the transaction that concerns provision of services cannot be reliably estimated, the income is recognized only to the extent where the recognized expenses are recoverable.

3.15.2 Sales of goods

Income is registered when the essential risks and rewards that emanate from the ownership of the goods have been transferred to the buyer.

3.15.3 Interest income

Interest income is recognized based on the time proportion and by using the real interest rate.

3.15.4 Dividends

Dividends are accounted for as income when the right to receive such is established.

3.16 Government Grants

The Group recognizes the government grants that cumulatively satisfy the following criteria:

  • There is reasonable certainty that the company has complied or will comply to the conditions of the grant and
  • It is probable that the amount of the grant will be received.

Government grants that relate to acquisition of fixed assets are presented as a deferred income in liabilities and recognized in the results during the useful life of the fixed assets such refer to.

3.17 Provisions

Provisions are booked when the Group has a present, legal or constructive obligation as a result of past events, it is probable that an outflow of resources will be required to settle the obligation and the amount can be reliably measured. The provisions are reviewed at every balance sheet date and are adjusted so as to reflect the present value of the expense deemed necessary to settle the liability. Contingent liabilities are not recorded in the financial statements but are disclosed, except if the probability of an outflow of resources that embody economic benefits is very small. Contingent assets are not recorded in the financial statements but are disclosed if the inflow of economic benefits is probable.

3.18 Dividend distribution

Dividend distribution to shareholders of the parent from the period's profit, are recognized as a liability in the individual and consolidated financial statements on the date when the distribution is approved by the General Shareholders' Meeting.

3.19 Income Tax

3.19.1 3.19.1 Current Income Tax

The current tax asset/liability includes all the liabilities or receivables from the tax authorities that are related to the current or previous reference periods and which have not yet been paid until the Balance Sheet date. Such are calculated according to the tax rates and tax laws in effect and based on the taxable profit of each period. All change in current tax assets or liabilities are recognized as a tax expense in the results.

3.19.2 Deferred Income Tax

Deferred income tax is calculated according to the liability method which results from the temporary differences. Such includes the comparison between the book value of assets or liabilities in the consolidated financial statements with their respective tax base.

Deferred tax assets are recognized to the extent that it is likely that such will be offset against the future income tax.

The group recognizes a previously non-recognized deferred tax asset to the extent that it is likely that the future taxable profit will allow the recovery of the deferred tax asset.

The deferred tax asset is re-examined at each balance sheet date and is reduced to the extent that it is no longer likely that an adequate taxable profit will be available to allow the utilization of the benefit from part or the total deferred tax asset.

Deferred tax liabilities are recognized for all temporary tax difference.

Tax losses that can be transferred to subsequent periods are recognized as deferred tax assets.

Deferred tax assets and liabilities are valued based on the tax rates that are expected to be in effect during the period in which the asset or liability will be settled, taking into consideration the tax rates (and tax laws) that have been put into effect or are essentially in effect up until the balance sheet date.

Changes in the deferred tax assets or liabilities are recognized as part of the tax expense in the profit and loss account. Only changes that arise from specific changes in assets or liabilities, which are recognized directly in the equity of the Group, such as the revaluation of property value, result in the relevant change in deferred tax assets or liabilities being charged/credited against the relevant equity account.

4 CAPITAL MANAGEMENT

The Group's objectives as regards to management of capital, is to reassure the ability for the Group's smooth operation, which aims at providing satisfactory returns to shareholders and to maintain an ideal capital structure by reducing thus the cost of capital. The Group monitors its capital based on the leverage rate. The leverage rate is calculated by dividing net debt with total employed capital. Net debt is calculated as "Total debt" (including "short-term and long-term debt" as presented in the Balance Sheet) minus "Cash and cash equivalents". Total employed capital is calculated as "Equity attributed to shareholders of the parent" as presented in the balance sheet plus net debt. The leverage ratio on December 31st 2007 was as follows:

GROUP
30/6/2008 31/12/2007
Total Debt 68,761,945.60 81,212,960.00
less
Cash & Cash equivalents -18,274,843.99 -43,165,272.60
Marketable Securities -9,753,894.45 -8,340,248.22
Net Debt 40,733,207.16 29,707,439.18
Equity attributed to the shareholders of the parent 111,150,196.46 101,568,281.35
Equity attributed to the shareholders of the parent
& Net Debt 151,883,403.62 131,275,720.53
Leverage 26.82% 22.63%

5 Explanatory Notes on the Annual Financial Statements

5.1 Goodwill

GOODWILL

Balance 30.06.2008 6,797,756,03
Additions 2,091,980,59
Balance 1.1.2008 4,705,775.44

The amount of goodwill recognized in the consolidated balance sheet during the period concerns the acquisition of a) the 35% of Group «SAREAST – SAR, RUSSIA» based in Cyprus and b) the 15% of company «SARANTIS ANADOL SA» based in Turkey. The account from the goodwill that emerged is analyzed as follows:

SARANTIS
GOODWILL ANALYSIS ANADOL S.A. SAREAST
ACQUISITION COST 531,956.56 1,474,510.00
FAIR VALUE OF ITEMS
ACQUIRED
BY THE GROUP -429,300.75 283,477.60
ACQUIRED GOODWILL 961,257.31 1,191,032.40
ROMANIA /
ELMIPLANT
FOREIGN EXCHANGE
DIFFERENCES
-60,309.12

Regarding the acquisition of company ELMIPLANT at December 2007 the group recognized the goodwill using temporary values. According to paragraph 62 of IFRS 3, the initial accounting of a business union by be defined only temporary until the end of the period when such took place due to

the fact that either the fair values for transfer to recognizable assets, liabilities or contingent liabilities of the acquired or the cost of the union may be defined only temporary. The acquirer will acount for the union using such temporary values. The acquirer will recognize any adjustment to such temporary values as a result of the completion of the initial accounting (a) within twelve months from the acquisition date and (b) from the acquisition date. Therefore: (i) the book value of a recognizable asset, liability or contingent liability that is recognized or adjusted as a result of the completion of the initial accounting, will be calculated as if its fair value during the acquisition date had been recognized from that date, (ii) the goodwill or any profit recognized, will be adjusted from the acquisition date by an amount equal to the adjustment to the fair value during the acquisition date of the recognizable asset, liability or contingent liability recognized or adjusted, (iii) the comparative information presented for periods prior to the completion of the initial accounting for the union, will be presented as if the initial accounting had been completed from the acquisition date.

The tempoary fair values of the subsidiary's assets and liabilities that were acquired during the acquisition date, are as follows:

Amounts in € Value
Tangible assets 375,823
Intangible assets 1,140
Inventory 553,182
Trade and other commercial receivables 493,306
Other receivables 97,393
Cash and equivalents 626,941
Long-term liabilities (61,510)
Suppliers and other liabilities (446,098)
Total items of subsidiary 1,640,178
Goodwill analysis Group
Fair Value of items acquired (1,640,177,44)
Paid amount 6,345,952.25
Acquired goodwill 4,705,775.44

5.2 Inventories

INVENTORIES
30/6/2008 31/12/2007
A. Parent company
Merchandise 9,262,057.16 8,305,831.79
Products 5,471,052.42 6,420,824.20
Raw Materials 5,057,279.68 6,270,667.75
19,790,389.26 20,997,323.74
30/6/2008 31/12/2007
B. Group
Merchandise 30,311,186.30 24,578,248.80
Products 5,973,787.38 6,923,524.67
Raw Materials 7,113,490.28 7,814,825.54
43,398,463.96 39,316,599.01

5.3 Trade and Other Receivables

TRADE AND OTHER RECEIVABLES
30/6/2008 31/12/2007
A. Parent Company
Trade receivables 36,236,120.82 28,289,994.45
Less provisions 788,352.50 613,352.50
Net trade receivables 35,447,768.32 27,676,641.95
Checks and bills of exchange receivable 20,258,888.45 14,539,876.05
Sundry debtors 4,707,415.47 4,257,393.12
Accrued income 183,614.56 188,767.61
Deferred expenses 11,596.05 53,558.22
Other transitory accounts - 28,994.94
60,609,282.85 46,745,231.89
B. Group
Trade receivables 68,185,368.05 58,530,364.76
Less provisions 1,265,306.22 1,067,522.50
Net trade receivables 66,920,061.83 57,462,842.26
Checks and bills of exchange receivable 22,103,591.80 16,225,617.75
Sundry debtors 8,350,781.44 7,099,299.35
Accrued income 291,187.79 196,106.10
Deferred expenses 156,610.19 516,858.34
Other transitory accounts 172,483.49 49,115.94

The total of aforementioned receivable is of short-term maturity. The fair value of this short-term financial assets is not determined independently as their book value is estimated that approached their fair value.

For all Group's receivables there is an estimation for the indication of potential impairment. The receivables that are affected by impairment refer to customers of the Group that face financial difficulties.

5.4 Cash & Cash equivalents

CASH & CASH EQUIVALENTS
30/06/2008 31/12/2007
A. Parent company
Cash 26,004.38 19,309.75
Bank deposits 4,282,564.54 29,237,509.49
4,308,568.92 29,256,819.24
Β. Group
30/06/2008 31/12/2007
Cash 143,227.41 170,056.32
Bank deposits 18,131,616.58 42,995,216.28
18,274,843.99 43,165,272.60

5.5 Securities

SECURITIES
Α. Parent company
30/06/2008 31/12/2007
Available for sale with no effect on net position 8,070,000.00 8,119,484.33
Other 1,379.25 1,379.25
8,071,379.25 8,120,863.58
Β. Group
30/06/2008 31/12/2007
Available for sale with no effect on net position 9,752,460.78 8,338,868.97
Other 1,433.67 1,379.25
9,753,894.45 8,340,248.22

5.6 Trade and other creditors

TRADE AND OTHER CREDITORS
30/06/2008 31/12/2007
A. Parent Company
Trade creditors 24,521,346.94 18,748,716.20
Checks and bills of exchange
payable
6,188,061.71 6,295,457.65
Social security funds 438,257.81 873,852.29
Accrued expenses 0,00 811,351.86
Proceeds from future years 2,641.23 278,667.48
Other transitory accounts 2,831,657.62 0,00
Sundry creditors 1,648,635.79 367,811.78
30/06/2008 31/12/2007
Β.Group
Trade creditors 38,342,469.09 33,063,405.35
Checks and bills of exchange
payable
6,204,275.96 6,295,457.65
Social security funds 855,159.53 1,175,978.21
Accrued expenses 3,922,884.12 2,721,768.86
Proceeds from future years 57,953.32 314,623.72
Other transitory accounts 3,217,480.81 133,943.55
Sundry creditors 2,131,417.18 1,918,817.35

5.7 Provisions

A. Parent Company 30/06/2008 31/12/2007
Taxes for the unaudited tax
years 1,506,163.46 1,506,163.46
Other provisions 1,066,759.79 4,339,624.18
Total 2,572,923.25 5,845,787.64
B. Group
Taxes for the unaudited tax
years 1,601,163.46 1,596,163.46
Other provisions 1,131,355.82 4,476,216.21
Συνολο 2,732,519.28 6,072,379.67

5.8 Loans

GROUP PARENT
Long-term loans 30/06/2008 31/12/2007 30/06/2008 31/12/2007
Corporate Bond loans 58,750,000.00 78,811,510.00 57,500,000.00 77,500,000.00
Short-term loans
Bank loans 10,011,945.60 2,401,450.00 8,000,000.00 0,00
Total loans 68,761,945.60 81,212,960.00 65,500,000.00 77,500,000,00

Parent Company

ANALYSIS OF CORPORATE BOND LOANS
BANK maturity amount
NBG 29/09/2009 13,500,000
ALPHA BANK 17/10/2009 9,00,000
PIRAEUS BANK 29/09/2009 4,500,000
MARFIN EGNATIA 29/09/2009 1,000,000
ΑΒΝ ΑMRO 29/09/2009 4,500,000
EFG EUROBANK 02/05/2011 17,000,000
EMPORIKI 29/09/2009 7,500,000
TOTAL 57,500,000

Group

ANALYSIS OF CORPORATE BOND LOANS
BANK maturity Amount
NBG 29/09/2009 13,500,000
ALPHA BANK 17/10/2009 9,500,000
PIRAEUS BANK 29/09/2009 4,500,000
MARFIN EGNATIA 29/09/2009 1,000,000
ΑΒΝ ΑMRO 29/09/2009 4,500,000
EFG EUROBANK 31/08/2009 1,250,000.00
EFG EUROBANK 02/05/2011 17,000,000
EMPORIKI 29/09/2009 7,500,000
TOTAL 58,750,000.00

5.9 Income Tax

GROUP COMPANY
H1 2008 12M 2007 H1 2008 12M 2007
Income Tax for the period 3,453,674.37 6,787,317.39 1,055,414.87 1,908,500.45
Income tax from sale of associate 0.00 2,125,725.65 0,00 2,125,725.65
Deferred tax 838,926.98 277,329.96 838,926.98 277,166.01
TOTAL 4,292,601.35 9,190,373.00 1,894,341.85 4,311,392.11

5.10 Deferred Tax

DEFERRED TAXES

A. PARENT COMPANY

DEFERRED RECEIVABLES
31/12/2007 01/01/2008-
30/06/2008
30/6/2008
Write-off of Capitalized expenses 1.615.486,23 -833.788,36 781.697,87
Write-off of fixed assets under construction 5.143,41 0,00 5.143,41
Write-off of fixed assets 107.881,77 -79.859,59 28.022,18
Write-off of trade receivables 106.569,12 0,00 106.569,12
Write-off of other receivables 481.903,49 0,00 481.903,49
Transfer of profit from sale and lease back transaction 69.006,56 -69.006,56 0,00
Provisions 422.598,17 0,00 422.598,17
Total 2.808.588,74 -982.654,51 1.825.934,23

DEFERRED LIABILITIES

31/12/2007 01/01/2008-
30/06/2008
30/6/2008
From building sale and lease back 143.727,54 -143.727,54 0,00
Total 143.727,54 -143.727,54 0,00

DEFERRED TAXES

Β. GROUP

DEFERRED RECEIVABLES
31/12/2007 01/01/2008-
30/06/2008
30/6/2008
Write-off of Capitalized expenses 1.615.479,23 -833.781,27 781.697,96
Write-off of fixed assets under construction 5.143,41 0,00 5.143,41
Write-off of fixed assets 107.881,78 -79.859,59 28.022,19
Write-off of inventories 0,00
Write-off of trade receivables 122.013,02 122.013,02
Write-off of other receivables 481.903,48 0,00 481.903,48
Transfer of profit from sale and lease back transaction 69.006,66 -69.006,66 0,00
Actuarial study 439.203,74 0,00 439.203,74
Total 2.840.631,32 -982.647,52 1.857.983,80
DEFERRED LIABILITIES
31/12/2007 01/01/2008-
30/06/2008
30/6/2008
From building sale and lease back 143.727,54 -143.727,54 0,00
TOTAL 143.727,54 -143.727,54 0,00

5.11 Employee Benefits

EMPLOYEE BENEFITS
30/06/2008 30/06/2007
Α . Parent company
Employee salaries 9.136.898.31 8,835,852.42
Employee benefits 320.550.25 53,277.31
Employer contributions 1.898.404.25 1,836,887.89
Compensations for dismissal 249.173.27 604,407.43
11.605.026.08 11,330,425.05
Average number of employees 593 650
Β . Group
Employee salaries 15,398,870.87 14,840,056.57
Employee benefits 541,776.56 266,477.21
Employer contributions 3,090,814.94 2,903,909.86
Compensations for dismissal 299,083.79 671,912.15
19,330,546.16 18,451,911.78
Average number of employees 1,639 1,514

5.12 Expenses per Category

EXPENSES PER CATEGORY

30/06/2008 30/06/2007
Α . Parent company
Cost of sales 33,399,491.15 31,649,171.24
Employee expenses 9,214,146.73 9,911,099.79
Third-party fees 809,382.88 891,467.91
Third-party benefits 1,993,816.49 1,953,389.38
Taxes – duties 559,345.79 535,492.04
Sundry expenses 12,528,763.51 11,253,576.65
Fixed asset depreciation 771,024.90 715,376.36
Total 59,275,971.45 56,909,573.37
Β . Group
Cost of sales 60,503,150.94 58,406,285.34
Employee expenses 16,526,931.79 17,032,586.50
Third-party fees 2,446,770.17 2,695,576.66
Third-party benefits 4,215,961.74 4,557,588.48
Taxes – duties 671,924.12 704,932.30
Sundry expenses 26,808,329.76 24,547,194.49
Fixed asset depreciation 1,457,121.41 1,363,154.48
Total 112,630,189.93 109,307,318.25

5.13 Share Capital

SHARE CAPITAL

NUMBER
OF SHARES
NOMINAL
VALUE
SHARES
SHARE
CAPITAL
SHARE
PREMIUM
TOTAL
30.06.2008 38,350,940 1.54 59,060,447.60 39,252,195.98 98,312,643.58
31.12.2007 38,350,940 1.54 59,060.447.60 39,252,195.98 98,312,643.58
31.12.2006 38,146,940 1.50 57,220,410.00 38,750,355.98 95,970,765.98

5.14 Table of changes in fixed assets

5.14.1 Parent company

ACQUISITION
COST 31/12/06
ADDITIONS
TRANSFERS
REDUCTIONS VALUE
31/12/2007
LAND-FIELDS 8,563,871.26 0.00 0.00 8,563,871.26
BUILDINGS-BUILDING
FACILITIES AND
TECHNICAL PROJECTS 27,248,475.42 334,419.96 657,520.18 26,925,375.20
MACHINERY TECHNICAL
EQUIPMENT OTHER
MECHANICAL EQUIPMENT 6,704,152.97 167,836.12 108,114.26 6,763,874.83
VEHICLES 1,527,649.73 239,060.93 338,449.78 1,428,260.88
FURNITURE & OTHER
EQUIPMENT
9,182,081.41 654,065.16 2,006,912.58 7,829,233.99
FIXED ASSETS UNDER
CONSTRUCTION AND
PREPAYMENTS 0.00 1,965,235.77 0.00 1,965,235.77
INTANGIBLE ASSETS 65,741.58 40,700.00 0.00 106,441.58
TOTAL 53,291,972.37 3,401,317.94 3,110,996.80 53,582,293.51
DEPRECIATIO
NS 31/12/2006
DEPRECIATIO
NS FOR THE
PERIOD
REDUCTION
OF
DEPRECIATIO
NS
DEPRECIATIO
NS 31/12/2007
NET BOOK
VALUE
31/12/2007
LAND-FIELDS 0.00 0.00 0.00 0.00 8,563,871.26
BUILDINGS-BUILDING
FACILITIES AND
TECHNICAL PROJECTS 3,487,791.02 1,038,698.34 49,139.07 4,477,350.29 22,448,024.91
MACHINERY TECHNICAL
EQUIPMENT OTHER
MECHANICAL
EQUIPMENT 4,609,391.67 373,848.22 108,114.23 4,875,125.66 1,888,749.17
VEHICLES 1,320,981.46 43,633.27 229,480.71 1,135,134.02 293,126.86
FURNITURE & OTHER
EQUIPMENT
7,137,018.58 604,739.70 1,959,810.07 5,781,948.21 2,047,285.78
FIXED ASSETS UNDER
CONSTRUCTION AND
PREPAYMENTS
0.00 0.00 0.00 1,965,235.77
INTANGIBLE ASSETS 4,511.48 21,989.77 0.00 26,501.25 79,940.33
TOTAL 16,559,694.21 2,082,909.30 2,346,544.08 16,296,059.43 37,286,234.08

Note: The account «Fixed assets under construction» mainly reflects the amounts related to the installation of the new software ERP SAP.

ΑACQUISITION
COST AT
31/12/2007
ADDITIONS
TRANSFERS
REDUCTIONS VALUE AT
30/06/2008
LAND-FIELDS 8.563.871,26 0,00 727.881,02 7.835.990,24
BUILDINGS-BUILDING FACILITIES
AND TECHNICAL PROJECTS
26.925.375,20 517.791,57 1.435.762,07 26.007.404,70
MACHINERY TECHNICAL
EQUIPMENT OTHER
MECHANICAL EQUIPMENT
6.763.874,83 230.927,37 21.886,25 6.972.915,95
VEHICLES 1.428.260,88 22.260,00 55.849,71 1.394.671,17
FURNITURE & OTHER
EQUIPMENT
7.829.233,99 642.071,35 219.212,93 8.252.092,41
FIXED ASSETS UNDER
CONSTRUCTION AND
PREPAYMENTS
1.965.235,77 965.247,54 38.405,69 2.892.077,62
INTANGIBLE ASSETS 106.441,58 7.127,50 0,00 113.569,08
TOTAL 53.582.293,51 2.385.425,33 2.498.997,67 53.468.721,17
DEPRECIATIONS
31/12/2007
DEPRECIATIONS
FOR THE
PERIOD
REDUCTION OF
DEPRECIATIONS
DEPRECIATIONS
30/06/2008
NET BOOK
VALUE
30/06/2008
LAND-FIELDS 0,00 0,00 0,00 0,00 7.835.990,24
BUILDINGS-BUILDING
FACILITIES AND
TECHNICAL PROJECTS
4.477.350,29 8.569,14 697.873,89 3.788.045,54 22.219.359,16
MACHINERY TECHNICAL
EQUIPMENT OTHER
MECHANICAL EQUIPMENT
4.875.125,66 677,79 13.034,86 4.862.768,59 2.110.147,36
VEHICLES 1.135.134,02 712,53 32.314,91 1.103.531,64 291.139,53
FURNITURE & OTHER
EQUIPMENT
5.781.948,21 1.144.156,62 219.071,50 6.707.033,33 1.545.059,08
FIXED ASSETS UNDER
CONSTRUCTION AND
PREPAYMENTS
0,00 0,00 0,00 0,00 2.892.077,62
INTANGIBLE ASSETS 26.501,25 0,00 0,00 26.501,25 87.067,83
TOTAL 16.296.059,43 1.154.116,08 962.295,16 16.487.880,35 36.980.840,82

5.14.2 Group

ACQUISITION
COST 31/12/06
ADDITIONS REDUCTIONS DELETIONS RECLASSIFI
CATIONS
OTHER
ADDITIONS
FOREIGN
EXCHANGE
DIFFERENC
ES
VALUE
31/12/2007
LAND-FIELDS 9,435,667.26 0.00 0.00 0.00 5,353.00 9,430,314.26
BUILDINGS-BUILDING
FACILITIES AND
TECHNICAL PROJECTS
29,045,147.03 365,455.25 657,520.18 105,495.23 -971,705.17 -60,059.86 27,735,941.56
MACHINERY
TECHNICAL
EQUIPMENT OTHER
MECHANICAL
EQUIPMENT
7,793,605.04 414,541.69 136,883.36 177,755.97 1,065,582.24 689,777.01 -36,925.67 9,685,792.32
VEHICLES 6,581,438.43 1,223,748.31 1,182,251.44 291,580.54 300,987.32 11,411.16 6,620,930.93
FURNITURE & OTHER
EQUIPMENT
10,988,729.53 721,427.93 86,557.15 2,902,898.12 77,581.37 -10,521.26 8,808,804.82
FIXED ASSETS UNDER
CONSTRUCTION AND
PREPAYMENTS
337,360.12 2,030,100.51 0.00 301,892.59 531.28 2,065,036.77
INTANGIBLE ASSETS 1,021,410.66 163,857.52 0.00 226.65 -93,877.07 11,067.14 -41,881.98 1,144,113.58
TOTAL 65,203,358.07 4,919,131.20 2,063,212.13 3,779,849.09 0.00 1,079,412.85 -132,093.33 65,490,934.24
DEPRECIATIO
NS 31/12/2006
DEPRECIATI
ONS FOR
THE PERIOD
DEPRECIATI
ON OF
REDUCTION
DEPRECIATI
ON OF
DELETIONS
RECLASSIF
ICATIONS
OTHER
ADDITIONS
FOREIGN
EXCHAN
GE
DIFFERE
NCES
DEPRECIATIO
N 31/12/2007
NET BOOK
VALUE
31/12/2007
LAND-FIELDS 0.00 0.00 0.00 0.00 0.00 0.00 9,430,314.26
BUILDINGS
BUILDING
FACILITIES
AND
TECHNICAL
PROJECTS
MACHINERY
4,288,162.36 1,086,658.85 49,139.07 78,524.36 -580,232.02 -15,037.32 4,681,963.07 23,053,978.49
TECHNICAL
EQUIPMENT
OTHER
MECHANICAL
EQUIPMENT 5,286,353.61 660,202.25 115,786.54 118,390.43 576,227.26 436,132.03 -111.66 6,724,849.85 2,960,942.47
VEHICLES 3,710,892.94 893,845.45 830,073.79 95,918.49 185,401.87 95,431.70 3,768,716.28 2,852,214.65
FURNITURE &
OTHER
EQUIPMENT
8,553,506.57 728,234.71 82,623.64 2,796,137.52 72,522.82 -8,426.73 6,483,929.67 2,324,875.15
FIXED
ASSETS
UNDER
CONSTRUCTI
ON AND
PREPAYMENT
S 0.00 0.00 0.00 0.00 0.00 0.00 2,065,036.77
INTANGIBLE
ASSETS
754,010.37 150,205.80 0.00 33,304.04 4,004.76 9,926.41 -11,178.68 896,021.98 248,091.60
TOTAL 22,592,925.85 3,519,147.06 1,077,623.03 3,122,274.84 0.00 703,983.12 60,677.31 22,555,480.85 42,935,453.39
ACQUISITION
COST
31/12/2007
ADDITIONS REDUCTIONS DELETIONS FOREIGN
EXCHANGE
DIFFERENCES
VALUE
30/06/2008
LAND-FIELDS 9.430.314,26 0,00 757.168,88 0,00 -24.367,73 8.697.513,11
BUILDINGS-BUILDING
FACILITIES AND
TECHNICAL PROJECTS
27.735.941,56 704.402,15 1.636.194,40 0,00 -11.279,17 26.815.428,47
MACHINERY
TECHNICAL
EQUIPMENT OTHER
MECHANICAL
EQUIPMENT 9.685.792,32 302.630,09 90.215,10 5.339,63 -86.798,88 9.979.666,56
VEHICLES 6.620.930,93 938.009,70 518.370,38 0,00 -99.920,99 7.140.491,24
FURNITURE & OTHER
EQUIPMENT
8.808.804,82 706.477,24 35.107,16 215.044,26 -8.987,98 9.274.118,62
FIXED ASSETS UNDER
CONSTRUCTION AND
PREPAYMENTS
2.065.036,77 991.549,86 38.405,69 0,00 -929,55 3.019.110,49
INTANGIBLE ASSETS 1.144.113,58 25.367,26 0,00 0,00 -51.868,60 1.221.349,44
TOTAL 65.490.934,24 3.668.436,30 3.075.461,61 220.383,89 -284.152,90 66.147.677,93
DEPRECIATIONS
31/12/2007
DEPRECIATIONS
FOR THE
PERIOD
DEPRECIATION
OF
REDUCTION
DEPRECIATION
OF DELETIONS
FOREIGN
EXCHANGE
DIFFERENCES
DEPRECIATION
31/06/2008
NET BOOK
VALUE
30/06/2008
LAND-FIELDS 0,00 0,00 0,00 0,00 0,00 0,00 8.697.513,11
BUILDINGS-BUILDING
FACILITIES AND
TECHNICAL PROJECTS
4.681.963,07 25.610,91 737.900,24 0,00 -1.690,66 3.971.364,40 22.844.064,07
MACHINERY
TECHNICAL
EQUIPMENT OTHER
MECHANICAL
EQUIPMENT 6.724.849,85 185.286,69 61.980,34 3.799,49 -53.994,97 6.898.351,69 3.081.314,87
VEHICLES 3.768.716,28 463.587,98 413.692,97 0,00 -41.113,87 3.859.725,17 3.280.766,07
FURNITURE & OTHER
EQUIPMENT
6.483.929,67 1.205.918,94 20.128,84 215.029,23 -6.570,08 7.461.265,00 1.812.853,62
FIXED ASSETS UNDER
CONSTRUCTION AND
PREPAYMENTS
0,00 0,00 0,00 0,00 0,00 f0,00 3.019.110,49
INTANGIBLE ASSETS 896.021,98 40.384,09 2.222,55 0,00 -41.181,53 975.365,04 245.984,40
TOTAL 22.555.480,85 1.920.788,61 1.235.924,93 218.828,72 -144.551,11 23.166.071,30 42.981.606,63

5.15 Actuarial study

The following actuarial assumptions were made for the calculations of the study:

Inflation

All calculations took place with constant prices of 31/07/2007. Namely, the assumption was made that wages and day wages and respective indemnities will be readjusted automatically with the current increase of consumer prices.

Wage scale

Wages and day wages increase by 4.0 annually in nominal prices, that is included inflation.

Discount rate for calculations

According to directions of IAS 19, the discount rate for the calculation of present values and the investment of inventories, must be defined with prudence. In our case, this rate was set at 5.0% in nominal terms.

Mortality

As a mortality probability model, the Tables of Greek Population 1990 of the Hellenic Actuaries Union were used.

Dismissals

We assumed that no dismissals will occur and all employees will receive indemnity during their retirement.

Retirement ages

Due to lack of information for premature retirement and retirement due to inabilities, the retirement ages of the National Social Security Institute (IKA) were used as retirement ages for men and women.

As at 31/12/2007

Required
Reserve
Men Women Total
TOTAL 874,476.84 815,915.79 1,690,392.63

The above amount of 1,690,392.63 euro is also presented in the Company's accounting books for 31/12/2007.

5.16 Intragroup transactions

sales
purchases
GR
SARANTIS
SA
VENTURES ΑΕ SAR.
ROMANIA
SARANTIS
BULGARIA
SAR.
BELGRADE
SARANTIS
SKOPJE
SARANTIS
ANADOL
S.A
SARANTIS
UKRAINE
SARANTIS
POLAND
SAR CZECH GR.SARANTIS
CYPRUS LIM.
ZETA
FIN
LTD
ZETA
AE
K.
THEODORIDIS
SA
ΟΤΟ ΤΟΡ
BULGARIA
SARANTIS
HUNGARY
TOTAL
GR SARANTIS SA - 1,131,770.90 2,637,422.45 1,795,126.91 1,494,611.24 497,122.99 23,873.94 -
33,329.07
2,436,121.17 819,380.20 - - 900.00 52,266.75 693,369.67 11,548,637.15
ΖΕΤΑ FIN LTD 5,768.70 5,768.70
SAR.ROMANIA - - - 2,074.99 - 9,173.00 - - 11,247.99
ELMIPLANT 1,518,127.20 1,518,127.20
GR.SARANTIS
CYPRUS LIM.
63,377.79 63,377.79
SAR.HUNGARY 9,526.33 2,149.97 41,335.19 11,092.53 64,104.02
SAR BULGARIA - - 3,273.45 829.77 4,103.22
SAR CZECH 5,100.24 - - - 5,100.24
SAR.BELGRADE 157,766.45 - 157,766.45
SARANTIS POLAND 12,717.55 559,339.38 162,874.05 295,900.38 45,529.89 0.33 204,227.23 - 7,279.90 1,287,868.71
K THEODORIDIS SA 462,198.30 462,198.30
SARANTIS ANADOL S.A 226,387.01 - 226,387.01
SAR RUSSIA - -
SARANTIS UKRAINE 50,772.48 50,772.48
TOTAL 373,650.10 1,131,770.90 4,717,039.00 1,958,000.96 1,793,785.07 700,419.33 23,873.94 -
33,328.74
2,480,361.12 1,034,699.96 9,173.00 - 900.00 52,266.75 462,198.30 700,649.57 15,405,459.26
LIABILITIES /
RECEIVABLES
GR
SARANTIS
SA
VENTUR
ES A.E
ZETA
COSMETIC
S
ZETA AE SAR.
BELGRAD
E
SAR.BULGAR
IA L.T.D
SAR
SAREAST
SAR.SKOPJ
E L.T.D
SAR.
ROMANIA
K.
THEODORIDI
S SA
SAR. CZECH SAR.
POLSKA
SAR
UKRAIN
E
ZETA FIN
LTD
SAR
HUNGARY
SAR.
RUSSIA
OTO TOP
BULGARIA
ELMIPLANT
ROMANIA
TOTAL
GR SARANTIS SA - 1,580,143.
65
- 401,303.82 60,821.75 - - 59,350.13 110,295.92 55,927.21 985,410.12 1,156,88
9.60
590,309.5
8
1,970,000.00 569,321.36 1,380,970.75 32.25 8,920,776
.14
VENTURES ΑΕ 200.00 200.00
ZETA AE 300.00 - - 18,386.37 18,686.37
ZETA FIN 11,708,104.
56
27,858.00 11,735,96
2.56
K. THEODORIDIS
SA
80.54 50,694.52 - 417,537.18 468,312.2
4
SAR.POLSKA 9,027.80 133,093.75 48,197.73 161,900.65 285,882.67 - 4,601.23 5,259.50 647,963.3
3
SAR CZECH - 1,700.01 1,700.01
SAR BELGRADE 138,353.25 - 24,656.22 163,009.4
7
SAR ROMANIA
SAR BULGARIA 173,849.08 - - - 173,849.0
8
VENUS SA 134,506.97 134,506.9
7
GR SAR. CYPRUS
LTD
2,728,080.5
6
3,000,000.00 84,215.00 5,160,70
1.85
860,000.00 11,832,99
7.41
SAR TURKEY 84,528.82 - 84,528.82
WALDEK 450.00 450.00
ELMIPLANT - 1,446,727.5
0
- 1,446,727
.50
SAR HUNGARY - - - 1,305.72 25,589.7
5
26,895.47
TOTAL 14,842,524.
61
1,580,143.
65
27,858.00 535,810.79 193,915.50 3,048,197.73 84,215.00 84,006.35 1,769,618.5
9
55,927.21 1,272,598.51 6,343,18
1.20
590,309.5
8
1,988,836.37 1,435,622.60 1,386,230.25 417,537.18 32.25 35,656,56
5.37

The following table presents the most important transactions between the company and its related parties as these are defined by IAS 24.:

RELATED PARTIES TRANSACTIONS TABLE GROUP COMPANY
a) Proceeds 0 11,548,637.15
b) Expenses 0 373,650.10
c) Receivables 0 8,920,776.14
d) Liabilities 0 14,842,524.61
e) Board members and key management personnel remuneration and other
benefits
433,796.64 433,796.64
f) Amounts from board members and key management personnel 0 0.00
g) Amounts due to board members and key management personnel 0 0.00

5.17 Sector and geographic breakdown tables

Α. Analysis per Sector of Activity

Analysis of Consolidated Sales

H1 '08 Consolidated Turnover Breakdown per Business Activity
SBU Turnover (€ mil.) H1 2008 % H1 2007
Fragrances & Cosmetics 55.65 8.49% 51.29
% of Total 44.26% 43.42%
Own 39.30 13.93% 34.49
% of SBU 70.62% 67.24%
Distributed 16.35 -2.69% 16.80
% of SBU 29.38% 32.76%
Household Products 52.48 11.79% 46.95
% of Total 41.74% 39.74%
Own 49.74 12.07% 44.39
% of SBU 94.78% 94.55%
Distributed 2.74 6.99% 2.56
% of SBU 5.22% 5.45%
Health & Care Products 7.70 -21.32% 9.78
% of Total 6.12% 8.28%
Selective 6.73 -3.12% 6.95
% of Total 5.35% 5.88%
Oto Top 3.18 0.19% 3.17
% of Total 2.53% 2.68%
Total Turnover 125.74 6.42% 118.15
H1 '08 Consolidated EBIT Breakdown per Business Activity
SBU EBIT (€ mil.) H1 2008 % H1 2007
Fragrances & Cosmetics 8.12 0.77% 8.06
% of EBIT 43.57% 41.61%
Margin 14.59% 15.71%
Own 6.55 -0.87% 6.61
% of EBIT 35.15% 34.12%
Margin 16.67% 19.16%
distributed 1.57 8.27% 1.45
% of EBIT 8.43% 7.49%
Margin 9.60% 8.63%
Household Products 4.82 17.95% 4.09
% of EBIT 25.88% 21.11%
Margin 9.19% 8.71%
Own 4.76 20.22% 3.96
% of EBIT 25.56% 20.46%
Margin 9.58% 8.93%
distributed 0.06 -52.65% 0.13
% of EBIT 0.32% 0.66%
Margin 2.20% 4.98%
Health & Care Products 1.03 -32.99% 1.53
% of EBIT 5.51% 7.91%
Margin 13.33% 15.65%
Selective 0.02 4.40% 0.01
% of EBIT 0.08% 0.08%
Margin 0.23% 0.21%
Oto Top 0.03 -85.22% 0.184
% of EBIT 0.15% 0.95%
Margin 0.86% 5.81%
Income from EL JV 4.62 0.65% 4.59
% of EBIT 24.81% 23.72%
Income from K.P.Marinopoulos SA 0.00 0.90
% of EBIT 0.00% 4.64%
Sub total EBIT 18.64 -3.77% 19.37
New Countries Restructuring Cost -2.61
Total EBIT 18.64 11.24% 16.75
Margin 14.82% 14.18%

Consolidated EBIT Breakdown

Β. Analysis per Country of Activity

Analysis of Consolidated Sales

H1 '08 Consolidated Turnover Breakdown per Geographic Market
Country Turnover (€ mil.) H1 '08 % H1 '07
Greece 58.83 2.21% 57.56
% of Total Sales 46.79% 48.72%
Poland 28.99 11.10% 26.09
Romania 20.46 14.04% 17.94
Bulgaria 7.27 17.68% 6.18
Serbia 5.12 17.84% 4.34
Czech Republic 2.67 20.32% 2.22
FYROM 0.95 12.19% 0.85
Hungary 0.93 29.52% 0.72
Old Counties Subtotal 66.39 13.80% 58.34
% of Total Sales 52.80% 49.38%
Ukraine 0.05 0.27
Turkey 0.35 1.31
Russia 0.11 0.67
New Countries Subtotal 0.51 2.24
% of Total Sales 0.41% 1.90%
Total Sales 125.74 6.42% 118.15

Consolidated EBIT Breakdown

H1 '08 Consolidated EBIT Breakdown per Geographic Market
Country EBIT (€ mil.) H1 '08 % H1 '07
Greece 13.05 -9.34% 14.39
% of Total EBIT 70.00% 85.89%
Poland 1.01 -5.31% 1.07
Romania 2.59 28.79% 2.01
Bulgaria 0.86 48.90% 0.58
Serbia 1.29 7.98% 1.20
Czech Republic -0.09 0.09
FYROM 0.24 42.87% 0.17
Hungary -0.32 -0.14
Old Countries Subtotal 5.59 12.36% 4.98
Greece & Old Countries 18.64 -3.77% 19.37
Ukraine 0.00 -0.33
Turkey 0.00 -1.06
Russia 0.00 -1.23
New Countries Restructuring Cost 0.00 -2.61
Total EBIT 18.64 11.24% 16.75

Marousi, August 29 2008 The Board of Directors

THE BoD CHAIRMAN THE VICE-CHAIRMAN THE FINANCE DIRECTOR & BoD MEMBER THE ACCOUNTANT DIRECTOR GRIGORIS SARANTIS KYRIAKOS SARANTIS KONSTANTINOS ROZAKEAS VASILIOS D. MEINTANIS ID No. Χ 080619/03 ID No. Ρ 539590/95 ID No. Ρ 534498/94 ID No. ΑΒ 656347/06

5. FINANCIAL INFORMATION

$SAR$ $NTIS$
G RIGORIS SARANTIS SA.
NONYM OUS INDUSTRIAL& CO MMERC AL COM PANY OF COSMETICS, CLOTHING, HOUSEHO ID & PHARM ACEUTICALPRO DUCTS
REGISTRATO N No.1308306B 8627 D aa and information for the periof from 1 January 2008 til 30 of June 2008
According tothe decision6/448/11.10.2007 of the Board of Directors of the Graek Capital Market Commission!
he blbwing data,anking fom the Compay's fhancialstdement,aimatgiving generalinformation dout the fhancial contitonand resuls of GR. SARANTISS.A. and its Goup Wetheeforerecommend to the reader, beforeany action of investmen
htemd add es:
Amroval date of Financial Statements:
www.sarantis.gr
29/72008
DANNSV.KAL GGDR OP OUL OS - A.M.S. OE A. 107 41
GRO UP STR UCTURE
Auditor:
Auditor's Company.
Auditor's Opinion
$\begin{array}{l} \text{BATE R TLY IEL } \text{AB AE} \,. \ \text{BQUAL F IID} \end{array}$
CO MP ANY CO UNTRY DIRECT
PARTC PATION
PERCENTAGE
INDIRECT
PA RTCIPATION
PERCENTAGE
TOTAL UNAUDITED
TAX YEARS
BALANCE SHEET
(Amountsareexpressed in Euro)
FULL CONSO UDATION METHOD G REECE 8.6 000 88.66 2005-2007
ASSETS THE GROUP THE COMPANY
0101-30/06/2008 01/01-31/12/2007 0101-30/06/2008 0101-3112 2007
GR SARANTISCYPRU SLIMTED
BRIARDALE SERVICESS.A
SARANTIS BULG ARA L.TD
C YPR US
ISLE OF MAN
BULGARIA
100.00%
0.00%
000
10000
10000
100.009
100.00
1999-2007
Sef- used targible assets
hves mert popety
htargibleassets
42735,622.23 42687,361.7 36,8937729 37,206293.75 SARAN TS ROMANIA SA
ELMPLANT
SARANTISDISTRIBUTION S.C
ROMAN A $0.00%$
$0.00%$
$0.00%$
$10000$
$10000$
$10000$
$100.00$
$100.00$
$100.00$
$\begin{array}{r} 133.4807 \ 2008 - 2007 \ 2007 \ 2008 - 2007 \end{array}$
Other ron current assets
hyentories
7043740.42
27007216.01
43398463.96
4953.86
24994, 947.
000
87067.83
8.54290695
19.79038926
0.00
79940.38
58477,804.91
20997,323.74
SARAN TS LT.D BELGRADE SERBIA
SKOP E
0.00% 10000 100.00
Tadereceivables
Otter current as sets
89023653.63
36999801.35
73688,460.0
59366,900.5
55,70665677
17,28257425
42216518.00
41906396.7
SARANTISPO LSKA S.A
SARANTISCZECH REPUBLIC sro
PO LAND
CZECH REPUBLIC
2006-2007
2005-2007
Non current assets fors ab
TO TALASSETS
246208497.6 245008.135. ان
188,303,3680
200884277.44 VENU SS.A
ZETA AE
LUXEMBOURG $0.00\%$ 0.00%
0.00%
0.00%
$100000$ $100000$ $100000$ $100.00$
$100.00$
$100.00$
$100.00$
2005-2007
EQUITYAN DLIABILITES ZETAFIN LTD C YPR US 0.00% 10000 100.00 2002-2007
Sharecapital
Otter Netequity
Equity attributabletotheequityholders of he company (a)
Mirorily Irlenest(b)
59060447.60
52089748.86
111150196.46
6821.08
59060,447.6
42,507,85375
101,568,281.3
-140,435.6
8,0604476
$6,2143010$
$64,2747492$
59060447.60
4750988.08
63811436.28
VALDECK LIMTED
SAREAST
SARAN IS RUSSIA
ZETA CO SMETICS LTD
SARANTS ANADO L S.A
C YPR US
C YPR US
$\begin{array}{c} 0.00\% \ 0.00\% \ 0.00\% \ 0.00\% \ 0.00\% \ \end{array}$ $100000$
$100000$
$100000$
$100000$
0000
$100.009100.009100.009100.009100.00999.989$ 2008-2007
2008-2007
2008-2007
2002-2007
2006-2007
TO TALEQUITY (d = (d+(b) 111 157, 017.54 101427.845 64.2747492 63811436.28 SARAN TS HUNG ARYKET C YPR US
HUNG ARY
0.00% 10000 100.00 2006-2007
Longtem borrowings 58750,000.00 78811,510. 57,5000000 77.50000.00 SARANTIS UKRAINE SA UKRAINE 100.00% 000 100.009 2006-2007
Provisions/Other long-term liabilities
Short-lerm borrowings
5242913.13
10011945.60
9100, 167.95
2401, 450.00
4,26331588
8,00000000
8183142.28
51389698.88
PR OPORTIONAL CONSO UDATION METHO D 000
Other shortterm labities
Liabilies réalingtononcurrentassets held for sale
TO TALLIABILITIES
61046621.34
135051480.07
53267, 162.0
143580.289.9
54,26530296
124.02861884
137.072841.16 K. THEODO RIDISA.E.
O TO TO PEO OD
G REECE
BULGARIA
50.00%
0.00%
2550 60.009
25.50%
2006-2007
1999-2007
TO TALEQUITY AND LIABILITES 246208497.61 245008, 135.72 188,30336805 200884277.4 EQ UITY METHOD
ELCA COSMETICS LTD
C YPR US 0.00% 4900 49.00 2001-2007
ESTEE LAUDER HELLASSA
ESTEEL AUDER BULGARIA
G REECE
BULGARIA
$0.00\%$
$0.00\%$
4900
4900
$49.00%$
$49.00%$
$2007$
$2001 - 2007$
DATAFROM THE STATEM BN TOF CHANG ES N EQUITY FOR THE PERIOD
(Amountsareexpressed in Euro)
01/01-30/08/2008 01/01-3008/2007
THE COMPANY
01/01-30/06/2008 07/01-30/062007
IMCO SMETICSSA ROMAN A 0.00% 4900 49.00% 2001-2007
Totalegily, beginning of the period (01012008 and 101427.845.74 80408.959. 63.81143628 53069379.00
01/01/2007respedively)
Prdit/ (loss) afer taxfor the period
15322590.18 11973,768.3
92377,728.1
6.8007970 7554039.39 DATA FROM CASH FLOW STATEMENT
h crease /(decrease) of share captal 116750435.92 70, 61 2 2 3 3 3 4 60623418.3 (Amountsareexpressed in Euro) THE GROUP
01013006-200
$1.01 - 30.062007$ THE CO MPANY
30062008
$\alpha$
0101-30.06-2007
Didendspad
Puchase ofownshares
$-6519699.80$
926,241.42
$-4959, 102.2$
$-3772.88.3$
388888.8.8
1821756
$-4959102.20$
$-1,540793.43$
CASH R.OWS FROM OPERATN G ACTVITIES
Profitsbeforetaxes
19,61519153 16,447,04180 8695.138 9,511,80133
Ne incometransferreddirectly b equty
Consolidations methodinfluence due to change
Notequity,end of the period 30/06/2008 and 30/06/2007
espectively)
0.00 288,043. 001 Pus/minus adjustnertsfor:
Result from sale of affliatedcompany
$^{001}_{001}$ $\begin{array}{c} 0.00 \ 0.00 \end{array}$ 1154.116.0 000000000000000000000000000000000000
1.098.20158
11157.017.54 81832.316.27 64.27474921 50350696.48 Depredation offixedasset 1.92078862 1.752.07555
DATAFROM INCOMESTATEMENT
(Amountsareexpressed in Euro)
Foreignex changed fferences
Income from investment adivites
Interestandother related expenses
25978500
7,38713846
1.9819250
8,071,32601
2.557.487.00
$-334,402.8$
$-2044,282.0$
2047.051
$-124,00465$
$-3,428,24511$
2.459.82667
0101-30/06/2008 01/01-30/06/2007 01/04-30/06/2008
125736376.17 118145,805.12 69,57506692
THE GROUP THE COMPANY
01/0430062007 0101-30/06/2008 0101-30/06/2007 0104-30/06/2008 01/0430062007
63763709.91 66744263.84 63164743.47 36103355.25 32922895.57
Creditin brests
longtermeamings
TotalTurnover Pusminus adustment for charges in working capital accounts of
accounts related to operating activities:
Gross proft /(loss) 65233225.23 59739,519.7 36, 1928 107 32119277.10 33344762.69 31535572.23 18010332.62 17,077,686.17
Gross proft /(loss) bebre bx firancial and investment es ults
Gross proft /(loss) bebre bx
Taxincome
Deferred tax
18637, 177.31
19615, 191.5
3453674.37
838926.98
16754.052. 11,3967311
12,5835896
1,8871412
9184776.92
9131093.70
8374778.1
8695138.9
8689797.24
9511,801.33
1884984.98
72777.02
3937,596.42
4272370.59
126633.52
903763.03
4774840.76
5793488.57
Decrease/(horease) in hvenbries
Decrease/(horease) in receivables
(Decrease) / horease hilabities (dherthan to banks)
Less :
-4,08186495
16,44487680
3,4726956
$-4, 775, 07420$
$-2, 747, 62569$
6,689,27455
4.426, 1206
5.60, 13864,
$-20$ 10,808.
$-2, 516, 07048$
11,085,95018
13,048,51490
Profit/ (loss) afer tax 15322590.18 4400,485.91
72,787.55
11,973,768.34
9,79268535 2337679.66
36328.02
6757,086.02
1055414.8
838926.9
6800797.0
7554039.38 3241974.04 1149967.28
36317.49
4607208.80
Interestandother relatedexpenses, paid $-1, 20617607$ $-1,728,69371$ $-1271,302.1$ $-1,630,9278$
Alocaed b:
Company'sshareholders
0.00
15321,156.65
$0.00$
12608,236.48
$000$
9.79248124
$0.00$
7,129406.13
$0.00$
$0.0800797.06$
$0.00$
7554039.33
$0.00$
324 1974.04
$0.00$
4607208.80
Tax Paid $-2.01561700$
$-4.40485744$
$-2.146.8600$
000
8.031.71029
$-851.103.0$
$-7.272.704.8$
4 18,70700
5,909,43428
hterestsshareholders
Afer taxearrings per share (in Euro)
Grossproft /(loss) bebre bx financial andinvestment esuits
anddepredation
1433.53 $-634,468.12$
03305
20411 $-372320.11$
$01869$
0.1 0.20 0.08 0.12 Tdalinflows/ (outfows) from operating adivites (a)
20557.986.99 18506.128.12 12,35038370 10064840.8 9528894.25 9782998.82 4506757.63 5333195.69 CASH FLOWS FROM N VESTMENTAC TVITIES
Recepts of secrities sales
ADDITO NALINFORM ATION Aquistion /Dipposal of subsidaries, associates, pint ventures and
dher in vestment
Aquistion of targble and intargible assets
$-2.899781$
$-3,6684363$
4 63 5316
1, 113, 11965
$-10.0778$
$-2365,425.$
1.387.8410
$-629,6203$
Revenues from sale of targible and intargible assets 4,087,10707 1,073,45271 374,852 1,009,87694
Unaudtedtax years for the company GR. SARANTS S.A. are 2006ard 2007.
The unaudited taxy ears for the group are membred in the N des
Interestreceived
Divident sreceived
34351600
51922800
001
210,38160
1,511,53291
000
$2,28,7$
495,000.0
0 1
3,51760
1,551,29326
000
2 No fied charges laveb enregisteed on the property of the company Net inflows/ (outfows) from investment advites (b) $-1,57856142$ 6,295,75073 841,959. 3,322,98987
3 DISCLOSERS AND RELATED PARTIES TABLE CASH R.OWS FROM FINANCIAL ACTIVITIES
al Poceeds THE GROUP
000
THE COMPANY
11548.637.15
Proceed sfrom share captalingease
Proceed sfrom bans garted/assumed
Loanpayments
001
8, \$000000
20, \$950440
000
1,760,77900
000
.00,000
.00,000-
000
000000000000000000000000000000000000
b) Expenses
c) Receivables
${}^{000}_{000}$
000
373,65010
8,920,77614
Expenses of shae captaling ease 001 000 $^{\circ}$ 000
,
e) Payables
e) Boad membersan dke ymanagement pe son relremun eraton
an dother berefts
4379664 14842.52461
438.79664
Dividendspad
Paymentofown sharespurchase
$-6.61750535$
000
$-4.87.25472$
$-3.772.82626$
$-65$ $7.506.3$
0 0
$-4.877.25472$
$-3.772.82626$
Amount from to adm entiers and ley management personne
gi Amaints dueto board members and key m an agement perso m e
000 000 Net inflows/ (outfows) from financial activties (c) 18,907,00976 $-6.889.30198$ $-185T, 505.3$ $-8,650,08098$
Net increase/ decrease in cash and cash equivalents for heperiod $(3+(b))$ +(c)
4 The number of the employees in the group and the company's THE GROUP
0101-3006/2008 01/01-3006/2007
THE COM PANY
0101-30/06/2008 01/01-30062007
Cashandcashequivalents beginning of heperiod $-24.89042861$
43,16527260
18.27484399
7.488.15904
14,264,427.66
21.702.98670
$-24948.280.32$
$29256.89.2$
4306.568.92
582,34317
4,481,46838
5.063.8155
Saaredemployees
Wageemployees
$\frac{1405}{234}$ 1,159
355
$^{48}_{115}$ $^{54}_{10}$ Cashandcashequivalents endof the period
Total empty es 1,514
5 Investment in fixed assets made in 1st semester of 2008 THE GROUP
3,66843630
Π THE COM PANY
2,385,42533
6 The FhancialStatementsof hecomparyhavebeen posidin heintenet adtresswww.saranti.grand in the registermantained by heMinistryof Devebpment, Dept. d'Anonymous
7. The compary hadnosenbus Itigouscasesduing 2008 Provisionsfor
.
8 Provisions for unaudtedtaxy ents forthe Company and the Grapamount to 1.08.18346: 11.00.11646 respectively,
9 The company KP. MAR NO POULOS S.A., that used to be completed with the maturity method in the formation in b
10. Thecompary ELMPLANT that was a quied by the Group's Romanians utsidiary, SARANTIS ROMANIAS.A., during the forth quarter of 2007, is consolidated during this period, wheeas it was not consolidated during the same period
Maous, 2907/2008
THE PRESIDENT OF THE BO ARD OF DIRECTORS
G RIGORIS P.SARAN TS
ID.No. X08061903
THE VICE PRESIDENT& MANAGING DIRECTOR
KIRIAKOS P. SARANTS
I.D.No.P 539590/95
THE FINANCIALD REC TO R
KONSTANTINOS P.R OZAKEAS
THE MANAGER OF THEAC COUNTING DPT.
VASSILIO SD. MENTANIS
1.D.NoAB 656347/06

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