Jumbo S.A.

Quarterly Report • Sep 30, 2015

ΟΜΙΛΟΣ JUMBO A.E.

JUMBO S.A. GROUP OF COMPANIES

Interim Financial Statements for the period from 1 July to 31 March 2006

It is confirmed that the attached Interim Financial Statements are the ones approved by the Board of Directors of JUMBO S.A. on May 18, 2005 and they have been communicated to the public by being uploaded at the Company's website www.jumbo.gr. Summarized financial information published in the press is intended to give the reader a general view but it does not provide a complete picture of the financial position and the results of the Group and the Company in compliance with International Financial Reporting Standards. It is also noted that for simplification purposes summarized financial information published in the press includes accounts which have been condensed and reclassified.

Evangelos – Apostolos Vakakis President of the Board of Directors and Managing Director JUMBO S.A.

6.1	Results of business sectors as at 31 December 2005 and 2004 21
6.2	Allocation of Assets and Liabilities per business segment as at 31st March 2006 and 30
	June 2005 22
6.3	Information on sales per geographical area 31st March 2006 and 2005 22
6.4	Analysis of assets per geographical area as at 31st March 2006 and 30 June 2005 23
7.	Cost of sales 23
8.	Administration and distribution costs 24
9.	Other operating income and expenses 24
10.	Financial income / expenses 25
11.	Income tax 25
12.	Earnings per share 26
13.	Property plant and equipment 26
14.	Investment property 31
15.	Investments in subsidiaries 32
16.	Other long term receivables 32
17.	Inventories 33
18.	Trade debtors and other trading receivables 33
19.	Other receivables 34
20.	Other current assets 34
21.	Cash and cash equivalents 35
22.	Capital and reserves 35
22.1	Share capital 35
22.2	Other reserves 36
23.	Liabilities for compensation to personnel due for retirement 37
24.	Loan liabilities 39
24.1	Long term loans 39
24.2	Financial leases 40
24.3	Short-term loan liabilities / long term liabilities payable in the subsequent year 41
25.	Other long term liabilities 41
26.	Deferred tax liabilities 42
27.	Provisions 43
28.	Trade and other payables 43
29.	Current tax liabilities 44
30.	Other current liabilities 44
31.	Cash flows from operating activities 45
32.	Analysis of adjustments for transition to and first time adoption of IFRS 46
32.1	Impact of transition adjustments to equity 46
32.2	Impact of transition adjustments to profits 47
33.	Commitments 49
34.	Contingent assets - liabilities 49
35.	Transactions with related parties 50
36.	Events subsequent to the balance sheet date 50

ΟΜΙΛΟΣ JUMBO A.E.Ε.

PROFIT AND LOSS ACCOUNT

FOR THE PERIOD ENDED 31 MARCH 2006 AND 2005

(All amounts are expressed in euros except from shares)

				THE GROUP
	Notes	1/7/2005- 31/03/2006	1/01/2006- 31/03/2006	1/7/2004- 31/03/2005	1/01/2005- 31/03/2005
Turnover		213.830.666	47.004.242	176.056.823	36.587.361
Cost of sales	7	(106.621.311)	(21.818.668)	(90.740.916)	(16.869.427)
Gross profit		107.209.355	25.185.574	85.315.907	19.717.934
Other income	9	2.568.420	1.151.958	1.195.414	290.163
Distribution costs	8	(48.256.485)	(13872424)	(34.249.735)	(9.332.171)
Administrative expenses	8	(8.193.587)	(2.499305)	(10.431.667)	(3.019.956)
Other expenses		(1.951.678)	(740860)	(1.571.485)	(646.962)
Profit before tax, interest and investment results		51.376.025	9.224.943	40.258.434	7.009.008
Finance costs	10	(4.324.952)	(1.190.126)	(5.001.388)	(1.549.528)
Finance income	10	515.903	171.872	470.272	303.263
		(3.809.049)	(1.018.254)	(4.531.116)	(1.246.265)
Profit before taxes		47.566.976	8.206.689	35.727.318	5.762.743
Income tax	11	(13.710.388)	(2.404.923)	(11.803.713)	(2.581.291)
Profits after tax		33.856.588	5.801.766	23.923.605	3.181.452
Attributable to: Shareholders of the parent company Minority interests		33.856.588 -	5.801.766 -	23.923.605 -	3.181.452 -
Basic earnings per share (€/share)
Basic profits per share Average weighted	12	0,70	0.12	0,52	0.07
number of shares		48.674.274	48.674.274	45.619.200	45.619.200
Discontinued operations:		Not applicable

PROFIT AND LOSS ACCOUNT

FOR THE PERIOD ENDED 31 MARCH 2006 AND 2005

(All amounts are expressed in euros except from shares)

			THE COMPANY
	Notes	1/7/2005- 31/03/2006	1/01/2006- 31/03/2006	1/7/2004- 31/03/2005	1/01/2005- 31/03/2005
Turnover Cost of sales	7	202.037.531 (105.814.075)	45.356.255 (22.168.522)	167.127.544 (89.324.159)	35.210.706 (16.998.154)
Gross profit		96.223.456	23.187.733	77.803.385	18.212.552
Other income Distribution costs Administrative expenses Other expenses	9 8 8	2.504.085 (46.120.032) (6.567.394) (1.951.678)	1.088.933 (13.554.223) (2.112.240) (740.860)	1.185.079 (31.958.677) (8.951.207) (1.571.485)	285.997 (8.796.841) (2.777.188) (646.962)
Profit before tax, interest and investment results		44.088.437	7.869.343	36.507.095	6.277.558
Finance costs Finance income	10 10	(3.839.788) 362.588	(1.092.106) 134.287	(4.379.818) 365.002	(1.316.490) 197.993
		(3.477.200)	(957.819)	(4.014.816)	(1.118.497)
Profit before taxes		40.611.237	6.911.524	32.492.279	5.159.061
Income tax	11	(12.877.046)	(2.308.141)	(11.480.701)	(2.600.355)
Profits after tax		27.734.191	4.603.383	21.011.578	2.558.706
Basic earnings per share (€/share)
Basic profits per share Average weighted	12	0,57	0,09	0,46	0,06
number of shares		48.674.274	48.674.274	45.619.200	45.619.200

BALANCE SHEETS

FOR THE PERIOD ENDED 31 MARCH 2006 AND 30 JUNE 2005

(All amounts are expressed in euros unless otherwise stated)

		THE GROUP			THE COMPANY
	Notes	31/3/2006	30/6/2005	31/3/2006	30/6/2005
Assets
Non current
Property, plant and equipment	13	143.321.961	134.705.503	120.112.170	115.277.892
Investment property	14	9.246.882	9.525.941	9.246.882	9.525.941
Investments in subsidiaries	15	-	-	11.329.814	11.074.190
Other long term receivables	16	2.871.381	2.790.536	2.851.273	2.776.095
		155.440.224	147.021.980	143.540.139	138.654.118
Current
Inventories	17	95.522.026	74.648.327	90.629.828	70.297.004
Trade debtors and other	18	17.109.196	18.937.545
trading receivables				19.739.054	19.837.678
Other receivables	19	25.716.139	22.637.240	27.450.523	22.637.240
Other current assets	20	2.457.542	2.576.289	2.457.542	2.576.289
Cash and cash equivalents	21	24.830.294	31.454.561	16.024.480	24.462.426
		165.635.197	150.253.962	156.301.427	139.810.637
Total assets		321.075.421	297.275.942	299.841.566	278.464.755
Equity and Liabilities
Equity attrabutable to the
shareholders of the parent	22
entity
Share capital	22.1	40.411.572	36.495.360	40.411.572	36.495.360
Share premium reserve	22.1	11.098.497	-	11.098.497	-
Translation reserve		207.737	311.254	-	-
Other reserves	22.2	51.969.237	51.978.152	51.969.237	51.978.152
Retained earnings		48.926.829	26.183.466	35.972.285	19.351.320
		152.613.872	114.968.232	139.451.591	107.824.832
Minority interests		-	-	-	-
Total equity		152.613.872	114.968.232	139.451.591	107.824.832
Non-current liabilities
Liabilities for compensation to
personnel due for retirement	23	1.336.552	1.115.924	1.336.552	1.115.924
Long term loan liabilities	24	72.364.888	106.256.930	66.291.475	97.349.879
Other long term liabilities	25	1.254	57.210	1.254	57.210
Deferred tax liabilities	26	3.735.331	3.458.827	3.729.867	3.451.992
Total non-current liabilities		77.438.025	110.888.891	71.359.148	101.975.005
Current liabilities
Provisions	27	323.723	224.297	323.723	224.297
Trade and other payables	28	44.216.934	39.448.458	44.813.335	39.610.225
Current tax liabilities	29	20.946.817	20.108.994	19.832.954	19.246.520
Short-term loan liabilities	24	-	1.193.371	-	-
Long term loan liabilities
payable in the subsequent year	24	16.597.792	834.611	15.731.073	825.627
Other current liabilities	30	8.938.258	9.609.088	8.329.742	8.758.249
Total current liabilities		91.023.524	71.418.819	89.030.827	68.664.918
Total liabilities		168.461.549	182.307.710	160.389.975	170.639.923
Total equity and liabilities		321.075.421	297.275.942	299.841.566	278.464.755

STATEMENT OF CHANGES IN EQUITY

FOR THE PERIOD ENDED 31 MARCH 2006 AND 2005 (All amounts are expressed in euros unless otherwise stated)

(All amounts are expressed in euros unless otherwise stated)
						THE GROUP
	Notes	Share capital	Share premium reserve	Translatio n reserve	Ordinary Reserve	Tax - free reserves	Extraordinar y reserves	reserves Other	Retained earnings	Total Equity
Balance as at 1st July 2005 according to IFRS		36.495.360	0		311.254 5.014.763	5.907.183	41.033.061	23.145	26.381.863	115.166.629
Adjustment due to the provision for contingent liabilities in respect of unaudited tax years									-198.397	-198.397
Restated balance as at 1st July 2005 according to IFRS	11,27	36.495.360	0		311.254 5.014.763	5.907.183	41.033.061	23.145	26.183.466	114.968.232
Set off of defered tax on items transferred directly in equity								4.801		4.801
Trasnlation differences of foreign operations				-103.516						-103.516
Net income recognized in equity		0	0	-103.516	0	0	0	4.801	0	-98.715
Net profit for the period 01/07/2005-31/03/2006									33.856.588	33.856.588
Total recognized income for the period		0	0	0	0	0	0	0	33.856.588	33.856.588
Dividends paid									-11.113.226	-11.113.226
Increase of share capital		3.916.212	11.098.497		0			-13.716		15.000.993
Total changes		3.916.212	11.098.497	0	0	0	0	-13.716	22.743.362	37.744.355
Balance of equity at 31st March 2006 carried forward		40.411.572	11.098.497		207.737 5.014.763	5.907.183	41.033.061	14.230	48.926.829	152.613.872
Balance as at 1st July 2004 according to IFRS		36.495.360	0		69.856 3.566.067	5.764.780	25.066.341	23.145	17.453.684	88.439.233
Adjustment due to the provision for contingent liabilities in respect of unaudited tax years	11,27								-89.413	-89.413
Restated balance as at 1st July according to IFRS		36.495.360	0		69.856 3.566.067	5.764.780	25.066.341	23.145	17.364.271	88.349.820
Exchange differences on translation foreign subsidiaries				-99.259						-99.259
Net profit for the period 01/07/2004 - 31/03/2005									23.923.605	23.923.605
Total recognized income for the period		0	0	-99.259	0	0	0	0	23.923.605	23.824.346
Dividends paid									-7.755.264	-7.755.264
Total changes		0	0	-99.259	0	0	0	0	16.168.341	16.069.082
Balance of equity at 31st March 2005 carried forward		36.495.360	0		-29.403 3.566.067	5.764.780	25.066.341	23.145	33.532.612	104.418.902

STATEMENT OF CHANGES IN EQUITY FOR THE PERIOD ENDED 31 MARCH 2006 AND 2005

(All amounts are expressed in euro unless otherwise stated)

						THE COMPANY
	Notes	Share capital	Share premium reserve	Ordinary Reserve		Tax - free reserves	Extraordinary reserves	reserves Other	Retained earnings	Total Equity
Balance as at 1st July 2005 according to IFRS		36.495.360	0	5.014.763		5.907.183	41.033.061	23.145	19.549.717	108.023.229
Adjustment due to the provision for contingent liabilities in respect of unaudited tax years									-198.397	-198.397
Restated balance as at 1st July 2005 according to IFRS	11,27	36.495.360	0	5.014.763		5.907.183	41.033.061	23.145	19.351.320	107.824.832
Set off of defered tax on items transferred directly in equity								4.801		4.801
Net income recognized in equity		0	0		0	0	0	4.801	0	4.801
Net profit for the period 01/07/2005 - 31/03/2006									27.734.191	27.734.191
Total recognized income for the period		0	0		0	0	0	0	27.734.191	27.734.191
Dividends paid									-11.113.226	-11.113.226
Increase of share capital		3.916.212	11.098.497					-13.716		15.000.993
Total changes		3.916.212	11.098.497		0	0	0	-13.716	16.620.965	31.621.958
Balance of equity at 31st March 2006 carried forward		40.411.572	11.098.497	5.014.763		5.907.183	41.033.061	14.230	35.972.285	139.451.591
Balance as at 1st July 2004 according to IFRS		36.495.360	0	3.566.067		5.764.780	25.066.341	23.145	14.482.847	85.398.540
Adjustment due to the provision for contingent liabilities in respect of unaudited tax years									-89.413	-89.413
Restated balance as at 1st July 2004 according to IFRS	11,27	36.495.360	0	3.566.067		5.764.780	25.066.341	23.145	14.393.434	85.309.127
Net profit for the period 01/07/2004 - 31/03/2005									21.011.578	21.011.578
Total recognized income for the period									21.011.578	21.011.578
Dividends paid									-7.755.264	-7.755.264
Total changes		0	0		0	0	0	0	13.256.314	13.256.314
Balance of equity at 31st March 2005 carried forward		36.495.360	0	3.566.067		5.764.780	25.066.341	23.145	27.649.748	98.565.441

CASH FLOWS STATEMENT

FOR THE PERIOD ENDED 31 MARCH 2006 AND 2005

(All amounts are expressed in euros unless otherwise stated)

		THE GROUP		THE COMPANY
	Notes	31/3/2006	31/3/2005	31/3/2006	31/3/2005
Cash flows from operating activities
Cash flows from operating activities	31	39,768,097	63.186.654	32,384,847	59.305.866
Interest payable		(4.286.244)	(4.970.028)	(3.801.079)	(4.348.458)
Income tax payable		(12.498.111)	(7.958.041)	(11.914.811)	(7.662.855)
Net cash flows from operating activities		22.983.742	50.258.585	16.668.957	47.294.553
Cash flows from investing activities
Acquisition of non current assets		(14.651.497)	(15.795.775)	(10.305.130)	(15.689.240)
Sales of tangible assets		56.171		56.171
Loans granted to affiliated parties				(2.709.133)
Accquisition of subsidiaries				(255.624)
Interest and related income receivable		515.903	470.272	362.588	365.002
Net cash flows from investing activities		(14.079.423)	(15.325.503)	(12.851.128)	(15.324.238)
Cash flows from financing activities
Issuance of common shares		3.916.212		3.916.212
Dividends paid to shareholders		(11.108.611)	(7.743.661)	(11.108.611)	(7.743.661)
Loans received		(335.635)	59.636
Loans paid		(7.243.155)	(773.789)	(4.414.892)	(405.808)
Payments of capital of financial leasing		(653.859)	(449.916)	(648.484)	(449.916)
Net cash flows from financing activities		(15.425.048)	(8.907.730)	(12.255.775)	(8.599.385)
Increase/(decrease) in cash and cash equivalents (net)		(6.520.729)	26.025.352	(8.437.946)	23.370.930
Cash and cash equivalents in the beginning of the period		31.454.561	8.630.244	24.462.426	5.179.571
Exchange difference cash and cash equivalents		(103.538)	213
Cash and cash equivalents at the end of the period		24.830.294	34.655.809	16.024.480	28.550.501
Carrying ammount of band deposits and bank overdrafts		2.355.837	3.043.464	1.569.091	3.043.464
Carrying ammount of cash		22.474.457	31.612.345	14.455.389	25.507.037
Cash and cash equivalents		24.830.294	34.655.809	16.024.480	28.550.501

NOTES TO THE INTERIM FINANCIAL STATEMENTS AS AT 31 MARCH 2006

(All amounts are expressed in euro unless otherwise stated)

1. Description of the company

JUMBO is a trading societe anonyme established according to the laws in Greece. Reference made to the "COMPANY" or "JUMBO S.A." indicates, unless otherwise stated in the text, the Group "JUMBO" and its fully consolidated subsidiary companies. The company's main activity is the retail sale of toys, baby items, season items, decoration items, books and stationery and is classified based on the STAKOD 03 bulletin of the National Statistics Service in Greece (E.S.Y.E.) under the sector "other retail trade of new items in specialized shops" (STAKOD category 525.9). A small part of its activities is the wholesale of toys and similar items to third parties.

The Company was incorporated in 1986 (Government Gazette 3234/26.11.1986) and its duration has been set at thirty (30) years. According to the decision of the Extraordinary General Meeting of the shareholders dated 3/5/2006 which was approved by the decision of the Ministry of Development numbered K2-6817/9.5.2006, the duration of the company was extended to seventy years (70) from the date of its registration in Register of Societes Anonyme. During the 19,5 years of its operation the Company has become one of the largest companies in retail sale. On 31 March 2006 the Group had 38 stores in Greece and 3 in Cyprus.

At 31st of March the Group employed 1.573 as staff of which 1.551 is permanent staff and 22 is extra staff. The average number of staff for the nine-month period was 2.279 people (1.619 as permanent and 660 as extra staff).

Originally the company's registered office was at the Municipality of Glyfada, at 11 Angelou Metaxa street. According the same decision (mentioned above) of the Extraordinary General Meeting of shareholders which was approved by the decision of the Ministry of Development numbered K2- 6817/9.5.2006 the registered office of the company was transferred to the Municipality of Moschato in Attica and specifically at 9 Kyprou street and Ydras, area code 183 46.

The company is registered in the Register of Societes Anonyme of the Ministry of Development, Department of Societes Anonyme and Credit, under No 7650/06/Β/86/04.

The company's distinctive title is "JUMBO" and it has been guaranteed in its articles of incorporation as well as by the department for trademarks of the Ministry of Development as a brand name for JUMBO products and services under number 127218 with protection period after extension until 5/6/2015.

Since 19/7/1997 the Company has been listed on the Stock Exchange and participates in MID 40 index. Based on the stipulations of the new Regulation of the Stock Exchange, the Company fulfills the criterion enabling it to be placed under the category "of high capitalization" and according to article 339 in it, as of 28/11/2005 (date it came to force), the Company's shares are placed under this category. Additionally the Stock Exchange applying the decision made on 24/11/2005 by its Board of Directors regarding the adoption of a model of FTSE Dow Jones Industry Classification Benchmark (ICB), as of 2/1/2006 classified the Company under the sector of financial activity Toys, which includes only the company "JUMBO".

2. Basis of preparation and compilation of the financial statements

2.1 Basis of preparation for the Financial Statements

The interim financial statements of the Group and the Company (henceforth Financial Statements) have been compiled according to the historical cost convention, the going concern principle and they comply with International Financial Reporting Standards (IFRS) as those have been issued by the International Accounting Standards Board (IASB), as well as their interpretations issued by the Standards Interpretation Committee (I.F.R.I.C.) of IASB.

It is the first time that the financial statements have been compiled in accordance with IFRS adopted by the European Union, implementing the IFRS 1 "First time adoption of IFRS", with transition date July 1, 2004 and in particular in accordance with the stipulations of IAS "Presentation of Financial Statements" and IAS 34 "Interim Financial Reporting".

IASB has issued a series of standards referred to as "IFRS Stable Platform 2005". The Group has applied the IFRS Stable Platform 2005 since July 1, 2005 which includes the following standards:

IAS 1	Presentation of Financial Statements
IAS 2	Inventories
IAS 7	Cash Flow Statements
IAS 8	Accounting Policies, Changes in Accounting Estimates and Errors
IAS 10	Events After the Balance Sheet Date
IAS 11	Construction Contracts
IAS 12	Income Taxes
IAS 14	Segment Reporting
IAS 16	Property, Plant and Equipment
IAS 17	Leases
IAS 18	Revenue
IAS 19	Employee Benefits
IAS 20	Accounting for Government Grants and Disclosure of Government Assistance
IAS 21	The Effects of Changes in Foreign Exchange Rates
IAS 23	Borrowing Costs
IAS 24	Related Party Disclosures
IAS 26	Accounting and Reporting by Retirement Benefit Plans
IAS 27	Consolidated and Separate Financial Statements
IAS 28	Investments in Associates
IAS 29	Financial Reporting in Hyperinflationary Economies
IAS 30	Disclosures in the Financial Statements of Banks and Similar Financial Institutions
IAS 31	Interests in Joint Ventures
IAS 32	Financial Instruments: Disclosure and Presentation
IAS 33	Earnings per Share
IAS 34	Interim Financial Reporting
IAS 36	Impairment of Assets
IAS 37	Provisions, Contingent Liabilities and Contingent Assets
IAS 38	Intangible Assets
IAS 39	Financial Instruments: Recognition and Measurement
IAS 40	Investment Property
IAS 41	Agriculture
IFRS 1	First-time Adoption of International Financial Reporting Standards
IFRS 2	Share-based Payment
IFRS 3	Business Combinations
IFRS 4	Insurance Contracts
IFRS 5	Non-current Assets Held for Sale and Discontinued Operations

2.2 Statutory financial statements

The Company keeps its accounting books and prepares its financial statements based on the Greek Commercial Law 2190/1920 "regarding societes anonyme" and applicable taxation laws. Foreign subsidiaries keep their accounting books and prepare their financial statements based on the laws and regulations in the countries where they operate.

In particular:

• The subsidiary JUMBO Trading Ltd operating in Cyprus keeps its accounting books and records and prepares its financial statements in accordance with the laws and regulations in the country where it is established (law regarding companies Ch. 113 of Cyprus) and it has chosen to prepare its financial statements based on International Financial Reporting Standards.
• The newly founded subsidiary JUMBO EC.B which operates in Bulgaria keeps its accounting books and records and prepares financial statements in accordance with the laws and regulations in the country where it is established (Company Law article No 115). JUMBO EC.B is expected to commence activities in 2007.

From July 1, 2005 onwards, the parent Company, according to the law, must prepare its statutory financial statements in compliance with International Financial Reporting Standards adopted by the European Union. However, as it has the right to, it continues to keep its accounting books in compliance with Greek taxation laws. Consequently with regard to the consolidated financial statements, the tax financial statements of the parent company are adjusted and reformed through entries off the books so that they comply with IFRS while the financial statements of the subsidiary are directly incorporated based on IFRS.

Key impacts off the accounting books made on equity as at 1/7/2004 and 30/6/2005 so that they are adjusted based on IFRS are described in note no 32 in the financial statements.

2.3 First time adoption of International Financial Reporting Standards and Interpretations

According to European law 1606/2002 and based on law 3229/2004 (as amended by law 3301/2004), Greek companies the shares of which are listed in any stock exchange (in Greece or abroad) must compile their institutional financial statements (parent and consolidated) from 1 January 2005 onwards in compliance with IFRS.

The Group applied IFRS 1 "First time adoption of IFRS" for compiling its financial statements. According to the stipulations of IFRS 1 "First time adoption of IFRS", a company must implement the IFRSs which will be applicable on the date it prepares the first financial statements for all periods presented as well as for the transition balance sheet, in the preparation of the first financial statements in accordance with IFRS.

Consequently all revised or newly issued Standards applicable on the Group and the fiscal years (2005/2006) ended June 30, 2006 have been used for the preparation of those interim financial statements. Additionally according to IFRS 1 "First time adoption of IFRS" and the above mentioned Greek law the above companies must prepare comparative financial statements in accordance with IFRS for at least one accounting period.

However due to the fact that all Standards and Interpretations which will be applicable on 30 June 2006 are not known as at the date the interim financial statements are compiled, the Group compiled those interim financial statements based on Standards and Interpretations issued and adopted by the European Union as at the date they were compiled and the date they were applied coincided with the period the company's financial statements were issued.

International Accounting Standards Board and International Financial Reporting Interpretations Committee have already issued a number of new accounting standards and interpretations which do not constitute a part of "IFRS Stable Platform 2005". IFRS and IFRIC are compulsory for accounting periods commencing as of January 1, 2006. Regarding interpretations which may apply to the Group, the Group's estimation as to the impact of these new standards and interpretations is as follows:

• IFRIC 4. determines whether an agreement includes a lease

IFRIC 4 is applicable on annual periods commencing as of January 1, 2006. The Group has not decided to adopt IFRIC 4 any sooner. It will adopt IFRIC 4 for the financial statements of 2006 based on the transitional stipulations of IFRIC 4. Consequently the Group will adopt IFRIC 4 based on facts and conditions prevailing on July 1, 2005. The adoption of IFRIC 4 is not expected to change the accounting treatment of any of the Group's current contracts.

• IFRIC 5. Rights to Interests arising from Decommissioning, Restoration and Environmental Rehabilitation Funds

It is not applicable on the Group and it will not affect the Group's financial statements.

3. Segment Reporting

A business segment is a group of assets items and activities providing merchandise, products and services which entail risks and rewards different from the ones of other business sectors. A geographical segment is an area where merchandise, products and services are provided and which is subject to risks and performances different from the ones of other geographical areas.

The Group's main activity is the retail sale of toys, baby items, season items, decoration items, books and stationery. A small part of its activities is the wholesale of toys to third parties. In terms of geography the Group operates through a sales network developed in Cyprus and Greece, whilst in 2007 the operation of the sale network in Bulgaria is expected to commence. Geographical segments (multiple locations) are designated by the location of property items and operating activity.

4. Main accounting principles

The preparation of financial statements in accordance with IFRS requires the use of estimates and judgments for the implementation of accounting principles. Significant assertions by the management for the implementation of accounting principles have been identified where necessary.

The key accounting principles adopted for the preparation of the financial statements are the following:

4.1 Structure of the Group

The companies included in the full consolidation of JUMBO S.A. are the following:

4.2 Consolidation basis

Subsidiary companies are all companies managed and controlled, directly or indirectly, by another company (parent) either through the possession of the majority of shares of the company in which the investment was made, or through its dependency on the know-how provided by the Group. Namely, subsidiary companies are the ones controlled by the parent company. JUMBO S.A. obtains and exercises control through voting rights. The existence of any potential voting rights exercisable upon the preparation of the financial statements is taken into consideration to establish whether the parent company exercises control over the subsidiaries.

Subsidiary companies are fully consolidated based on the purchase method as from the date control over them is obtained and cease to be consolidated as from the date such control no longer exists.

The acquisition of a subsidiary company by the Group is consolidated through the purchase method. The cost value of a subsidiary is the fair value of the assets given, of shares issued and liabilities undertaken as at the date of the exchange, plus any costs directly associated with the transaction. Individual assets items, liabilities and contingent liabilities acquired in a business combination are calculated upon the acquisition at their fair values regardless of the participation rate.

The cost of purchase other than the fair value of the separate items acquired is recorded as goodwill. If total purchase cost is lower than the fair value of separate items acquired the difference is recognized directly to profit and loss account.

In particular for business combinations effected prior to the Group's transition date to IFRS (30 June 2004) the exception in IFRS 1 was used and the purchase method was not applied retrospectively. In the context of the above exception the Company did not re-calculate the cost value of subsidiaries acquired

before the date of transition to IFRS, nor the fair value of acquired assets items and liabilities as at the date of acquisition.

Consequently the negative goodwill recognized as at the transition date was based on the exception of IFRS 1 and due to the fact that based on the previous accounting principles it had been presented as a deduction from equity, the amount of goodwill was offset against profits carried forward of the Group. Intercompany transactions, balances and non realized profits from transactions between the companies of the Group are set off in the consolidated financial statements. Non realized losses are also set off except if the transaction shows indication of impairment of the transferred asset item.

In the financial statements of the parent entity investments in subsidiary companies are evaluated at their cost value which constitutes the fair value of the price reduced by direct expenses related to the investment.

4.3 Functional currency, presentation currency and conversion of foreign currency

Items in financial statements of the companies of the Group are measured based on the currency of the primary economic environment in which the Group operates (operating currency). Consolidated financial statements are presented in euro which is the operating currency and the presentation currency of the parent Company.

Transactions in foreign currency are converted to the operating currency at rates applicable as at the date of transactions. Profit and losses from foreign exchange differences which arise from settling these transactions during the period and from the conversion of monetary items denominated in foreign currency at applicable rates as at the balance sheet date, are recorded in profit or loss account. Foreign exchange differences from non monetary items evaluated at their fair value, are considered a part of fair value and consequently they are recorded as the differences of fair value are.

Activities of the Group abroad in foreign currency (which are an integral part of the parent company's activities) are converted to the operating currency at the rates applicable as at the transactions' date, while assets and liabilities items pertaining to activities abroad, arising during the consolidation, are converted to euro at exchange rates applicable as at the balance sheet date.

Financial statements of companies which are included in the consolidation, which are initially presented in a currency other than the presenting currency of the Group have been converted to euro. Assets items and liabilities have been translated in euro at the closing rate as at the balance sheet date. Income and expenses have been converted to the presenting currency of the Group at the average exchange rate applicable in the relevant period. Any differences arising from that procedure have been debited / (credited) to a reserve of exchange differences in equity.

4.4 Property plant and equipment

Property plant and equipment are disclosed in financial statements at their cost value or deemed cost as that is estimated based on fair values as at transition dates less accumulated depreciation and any impairment. Cost value includes all expenses directly associated with the acquisition of assets.

Subsequent expenses are recorded to increase the book value of tangible assets or as a separate fixed asset only to the extent that those expenses increase future financial benefits expected to flow from the use of the fixed asset and their cost can be reliably estimated. Repair and maintenance costs are recognized in profit or loss as soon as they incur.

The depreciation of other items in tangible assets (other than land which is not depreciated) is calculated based on a straight line basis during their useful life which has been estimated as follows:

Buildings	30 – 35 years
Mechanical equipment	5 - 20 years
Vehicles	5 – 7 years
Other equipment	4 - 10 years
Computers and programs	3 – 5 years

Residual values and useful lives of tangible assets are reviewed as at every balance sheet date. When book values of tangible assets exceed their recoverable value, the difference (impairment) is directly recorded in profit and loss account as an expense.

At the sale of tangible assets, differences between the price received and their book value are recognized profit or loss.

Owner-constructed tangible assets constitute an addition to the cost value of tangible assets in values that include the direct cost for payroll regarding the personnel participating in the construction (respective employer's contribution), cost of consumed material and other general costs.

Right to use tangible assets: Rights to exploit tangible assets allotted in the context of contracts for construction or exploitation of works (counterbalancing benefits) are evaluated at their cost value, fair value as at the date they were allotted less depreciation.

Software: Software licenses are evaluated at cost value less depreciation and any impairment losses.

4.5 Impairment of assets

Assets which are depreciated are tested for impairment if there is any indication that their book value will not be recovered. The recoverable amount is the higher amount between the fair value of the asset (net selling price less costs to sell) and value in use. The loss incurred due to the impairment of assets is recognized by the company if the book value of those items (or of the Cash Generating Units) is higher than its recoverable amount.

Net selling price is considered the amount from the sale of the asset in the context of a bi-lateral transaction which the parties are fully aware of and enter willingly after the subtraction of any additional direct cost for sale of the asset, while value in use is the present value of estimated future cash flows expected to flow in the business from the use of the asset and from its sale at the end of its estimated useful life.

4.6 Financial instruments

A financial instrument is every contract creating a financial asset in one company and a financial liability or a security of a participating nature in another company.

Financial items measured at fair value through the profit or loss

They are financial assets fulfilling any of the requirements below:

• Financial assets held for trading purposes (including derivatives except those which are definite and effective hedging instruments those acquired or created in order to be sold or repurchased and finally those forming part of a portfolio consisting of recognized financial instruments).

• Upon the initial recognition the company designates it as an instrument measured at fair value, recognizing fair value changes changes in the profit and loss account for the year.
• In the balance sheet of the Group transactions and measurement at fair values of derivatives are disclosed in separate accounts in Assets and Liabilities called "Derivative Financial instruments". Changes in fair value of derivatives are recorded in the profit and loss account.

To the date those statements were presented the Group did not hold such financial instruments.

Loans and receivables

They include non derivative financial assets with fixed or specified payments which are not traded in active markets. This category (loans and receivables) does not include:

• Receivables from advance payments for purchase of goods and services,
• Receivables pertaining to taxes which have been imposed by the state,
• Anything not covered in a contract so that it gives the company the right to receive cash or other financial fixed items.

Loans and receivables are included in current assets apart from those with expiration periods longer than 12 months as from the balance sheet date. The latter are included in non current assets.

Held to maturity investments

It includes non derivative financial assets with fixed or specified payments and specific expiration which the Group intends and is able to keep until their expiration. The Group did not hold any investments of this category.

Financial assets available for sale

It includes non derivative financial assets which are either placed directly under this category or they can not be placed under any of the above categories. Subsequently financial assets available for sale are evaluated at their fair value and relevant profits or losses are recorded in a reserve of capital and reserves until those items are sold or impaired.

Upon the sale or the impairment, gains or losses are transferred to the profit or loss account. Impairment losses recognized in profit or loss are not reversed through the profit and loss account

Purchases and sales of investments are recognized as at the date of the transaction which is also the date on which the Group commits to buying or selling the instrument. Investments are initially recognized at their fair value plus expenses directly associated with the transaction, with an exception with regard to expenses directly associated with the transaction, for items measured at their fair value with changes in profit or loss. Investments are set off when the right to cash flows from investments expires or is transferred and the Group has materially transferred all risks and rewards involved in ownership.

4.7 Stocks

As at the balance sheet date stocks are evaluated at the lower of cost and net realizable value. Net realizable value is the estimated sale price in the ordinary course of the company's operations less any relevant sale expenses. The cost of stocks does not include any financial expenses. The cost value of stocks is determined based on average annual weighted price.

4.8 Trade receivables

Most sales of the Group are in retail. Trade debtors are initially recorded at their fair value while any balances beyond ordinary credit limits are measured at unamortized cost according to the method of the effective interest rate, less any provision for impairments. If the unamortized cost or the cost of the financial instrument exceeds current value, this item is evaluated at its recoverable amount namely at the present value of future flows of the asset, which is calculated based on the actual initial interest rate. The relevant loss is transferred directly to the profit or loss for the year. Impairment losses, namely when there is objective evidence that the Group is in no position to collect all the amounts owed based on contract terms, are recognized in profit or loss.

4.9 Cash and cash equivalents

Cash and cash equivalents include cash at bank and in hand as well as short term investments of high liquidation, products in money market and bank deposits. The Group considers time deposits and high liquidation investments with initial expiration shorter than three months to be cash equivalents.

4.10 Share capital

Expenses made for issuance of shares are disclosed after the subtraction of relevant income tax reducing the product of the issuance subtracted from equity. Expenses associated with the issuance of shares for the acquisition of companies are included in the cost value of the company acquired.

4.11 Loans

Loan liabilities are initially recorded at the cost reflecting their fair value reduced by the relevant expenses for contracting the loan. After the initial recognition they are measured at the unamortized cost based on the effective interest rate method. Borrowing costs are recognized as expenses in the period in which they occur.

Loans in foreign currency are measured at the closing rate at the balance sheet date, except for those loans for which the exchange rate regarding the conversion and payment has been specified upon their initiation.

4.12 Convertible bond loans

Based on IAS 32, the liability is set based on the present value of all contracted future cash flows, discounted at a market interest rate in that period for similar loans with no right for conversion. The rest part, if any, is recognized in equity representing the incorporated right for conversion of the liability in equity of the issuer.

After the allocation of the value of the bond, any profits or losses associated with the liability are recognized in the profit or loss, while the value related to equity is recognized as equity instrument.

In case of conversion the difference between the carrying amount of the loan and the share capital increase is recognized in equity and specifically in share premium account.

4.13 Income tax & deferred tax

The period's charge with income tax consists of current taxes and deferred taxes, namely taxes or tax relieves related to financial benefits arising in the period but which have already been allocated or will be allocated by the tax authorities to different periods and provisions regarding finalization of income tax liabilities after relevant tax inspections for uninspected financial years. Income tax is recognized in profit or loss account with the exception of tax pertaining to transactions directly recorded in equity which is also recognized in equity.

Current income tax includes current liabilities or receivables from the tax authorities pertaining to tax payable on taxable income of the period and any additional income tax pertaining to previous years.

Current taxes are calculated according to tax rates and tax laws applied for the accounting periods to which they pertain, based on taxable profit for the year. Changes in current tax items in assets or liabilities are recognized as a part of taxable expenses in the profit and loss account.

Deferred income tax is determined based on the liability method arising from temporary differences between the carrying amount and the tax base for items in assets and liabilities. Deferred income tax is not computed if it derives from the initial recognition of an item in assets or liabilities in transaction, outside a business combination, which when it took place did not affect the accounting nor the tax profit or loss.

Deferred tax assets and liabilities are measured based on the tax rates expected to be applied in the period during which the asset or liability will be settled considering the tax rates (and tax laws) in force up to the balance sheet date. If it is not possible to specify the time of reversal of temporary differences, the tax rate applied is the one being in force in the year subsequent to the balance sheet date.

Deferred tax receivables are recognized to the extent that there will be a future taxable profit for the use of the temporary difference creating the deferred tax receivable.

Deferred income tax is recognized for the temporary differences arising from investments in subsidiary and affiliated undertakings, unless the reversal of temporary differences is controlled by the Group and it is unlikely that temporary differences be reversed in the foreseeable future.

Most changes in deferred tax assets or liabilities are recognized as a part of tax expenses in profit and loss account. Changes in assets or liabilities affecting equity instruments are recognized directly in the Group's equity.

4.14 Liabilities for benefits to personnel retiring or leaving service

Current benefits: Current benefits to personnel (other than benefits due to termination of employment) in cash and in kind are recognized as an expense as soon as they are accrued. Any unpaid amount is recorded as a liability and if the amount paid exceeds the amount of benefits, the company recognizes the exceeding amount as an asset (prepaid expense) only to the extent that the prepayment will result in a reduction of future payments or in a refund.

Benefits after termination of employment or retirement: Benefits after termination of employment include pensions or benefits (life insurance and medical insurance) provided by the company upon retirement as a reward for the employees' services. Consequently they include plans for defined contributions as well as plans for defined benefits. Accrued cost of defined benefit plans is recognized as an expense in the period to which it pertains.

Defined contribution plan

Based on the defined contribution plan the liability of the company (legal or constructive) is limited to the amount that has been agreed to be contributed to the fund managing contributions and providing benefits. Consequently the amount of benefits received by the employee is determined by the amount paid by the company (or the employee as well) and the paid investments of those contributions.

Contribution paid by the company in a plan of defined contributions is recognized either as a liability after the deduction of the contribution paid, or as an expense.

Defined benefit plan

The liability recognized in the balance sheet in connection with defined benefit plan is the present value of the liability for the define benefits less the fair value of assets in the fund (if any) and changes arising from any actuarial gain or loss and past service cost. The specific benefit due is calculated annually by an independent actuarial expert based on the projected unit credit method. For the prepayment the interest rate of long term bonds of the Greek Government is applicable.

Actuarial gains and losses are liabilities regarding the benefit provided by the company and an expense recognized in profit and loss. Amounts deriving from adjustments based on historical data which are above or below the margin of 10% of the accumulated liability are recorded in profit or loss in the expected average insurance period of the participants in the plan. The past service cost is recognized directly in profit or loss unless changes in the plan depend on the remaining years of services of the employees. In that case the past service cost is recognized in profit or loss based on a straight line basis during the maturing period.

Benefits for termination of employment: Benefits due to termination of employment are paid when employees leave the company before retirement. The Group records these benefits when it has a commitment or when it terminates the employment of employees according to a detailed plan for which there is no possibility of retirement, or when it offers these benefits as a motive for voluntary retirement. When these benefits are payable in periods exceeding twelve months from the date of the balance sheet, they must be discounted based on the yield of high quality corporate bonds or government bonds.

4.15 Provisions and contingent liabilities / assets

Provisions are recognized if the Group has current legal or constructive obligations as a result of past events, their liquidation is possible through outflows of resources and the exact amount of the liability can be reliably measured. Provisions are reviewed as at each balance sheet date and they are adjusted so that they reflect the present value of the expense expected to settle the liability.

Contingent liabilities are not recognized in the financial statements but they are disclosed, unless the possibility of outflows of sources which incorporate financial benefits is minimum. Contingent assets are not recognized in the financial statements but they are communicated if the inflow of financial benefits is possible.

4.16 Leases

Company of the Group as a Lessee: Leases of fixed assets during which all risks and rewards associated with the ownership of an asset are transferred to the Group, irrespective of whether the ownership title of that item is finally transferred or not, are designated as financial leases. Those leases are capitalized upon the commencement of the lease at the lower of the fair value of the fixed asset and the present value of minimum lease payments.

Every lease is allocated between the liability and financial expenses so that a fixed interest rate can be achieved for the remaining financial liability. Respective liabilities from leases, net of financial expenses are disclosed in liabilities. The part of the financial expense pertaining to financial leases is recognized in the year's results during the lease. Fixed assets acquired through a financial lease are depreciated in the shortest period between the useful life of fixed assets and the duration of their lease except for cases when the fixed asset is certain to come to the ownership by the Group after the end of the leased period. In those cases the fixed asset is depreciated based on estimates of its useful life.

Leasing agreements based on which the lessor transfers the right for use of an item in assets for an agreed period without transferring the risks and rewards of the owner of the fixed asset are classified as operating leases. Payments made for operating leases (net of any motives offered by the lessor) are recognized in results on a proportionate basis during the lease.

Company of the Group as a lessor: Fixed assets which are leased based on operating leases are included in tangible assets of the balance sheet. They are depreciated during their expected useful life on a basis consistent with similar privately-owned tangible assets. The income from rent (net of any incentives given to the lessees) is recognized on a straight line basis during the period of the lease.

4.17 Recognition of income and expenses

Income: income includes the fair value of goods sold and services provided net of VAT, discounts and returned items. Intercompany income in the Group are fully set off. Income is recognized as follows:

• Sales of goods: sales of goods are recognized when the Group delivers goods to clients, goods are accepted by clients and the collection of the receivable is reasonably secured.

• Income from interest: income from interest is recognized based on time and the effective interest rate. When there is an impairment of receivables, their book value is reduced to the recoverable amount which is the present value of expected future cash flows discounted at the initial effective interest rate. Subsequently interest is calculated at the same interest rate on the impaired (book) value.

• Dividends: dividends are considered income when the right for their collection is established.

Expenses: expenses are recognized in results on an accrued basis. Payments made for operational leases are transferred to results as expenses at the time the lease is used. Expenses from interest are recognized on an accrued basis.

4.18 Distribution of dividends

The distribution of dividends to the shareholders of the parent company is recognized as a liability in the consolidated financial statements as at the date the distribution is approved by the General Meeting of the shareholders.

5. Risk management

5.1 Financial risk policy

The Group's operations expose it to an interest rate risk, credit risk, liquidity risk and foreign exchange risk arising from the financial instruments it possesses. The Group's policy in the risk management to control risks is explained below:

Interest rate risk

The interest rate risk is the risk that the value of financial instruments fluctuate due to changes in the market's interest rates. Income and cash flows from the Group's activities are practically independent from changes in the market's interest rates. The Group, with the exception of cash at bank, does not have any significant assets bearing interest and borrows at floating interest rates. The management constantly monitors fluctuations in interest rates and acts accordingly to minimize the interest rate risk.

Credit risk

The credit risk arises when failure of the contracting parties to pay off their liabilities could reduce the amount of future cash inflows from financial assets as at the balance sheet date. The Group is not exposed to significant credit risk because it sells its products to a large number of clients. Procedures are implemented ensuring that products are wholesale sold to clients with a reliable background and the list of receivables in chronological order is continuously monitored.

Liquidity risk

The liquidity risk is the risk arising when the expiration of assets items and liabilities does not coincide. When expiration dates do not coincide, performance may increase but at the same time the risk of losses increases. The Group applies procedures intended to minimize such losses such as keeping significant cash amounts and other assets items with high liquidity.

Foreign exchange risk

Foreign exchange risk is the risk that the value of financial instruments fluctuate due to changes in foreign exchange. The Group is exposed to foreign exchange risk arising from transactions in foreign currency (dollar, Cypriot pound, yen etc.). The Group's policy is not to carry out any hedging activities because for now it is not necessary to adopt specific systems for foreseeing or avoiding any future foreign exchange losses.

Fair value estimates

The fair values of financial assets items and liabilities of the Group are approximately the same as the amounts disclosed in the balance sheet.

6. Segment Reporting

Primary segment reporting – business segment

The Group's main activity is the retail sale of toys, baby items, season items, decoration items, books and stationery.

6.1 Results of business sectors as at 31 December 2005 and 2004

Results per sector for the first quarter in the current year 2005/2006 are as follows:

1/7/2005-31/03/2006	Retail	Wholesale	Other	Total
Sales to third parties Other operating income non	211.306.503	2.524.163	-	213.830.666
allocated	-	-	2.568.420	2.568.420
Total revenue	211.306.503	2.524.163	2.568.420	216.399.086
Operating profit	50.160.095	599.188	616.742	51.376.025
Net financial results	-	-	(3.809.049)	(3.809.049)
Profit before taxes	50.160.095	599.188	(3.192.307)	47.566.976
Income tax				(13.710.388)
Net profit				33.856.588

Results for every sector for the nine months of the previous year 2004/2005 are as follows:

1/7/2005-31/03/2005
	Retail	Wholesale	Other	Total
Sales to third parties	171.150.212	4.906.613	-	176.056.823
Other operating income non
allocated	-	-	1.195.414	1.195.414
Total revenue	171.150.212	4.906.613	1.195.414	177.252.237
Operating profit	39.502.043	1.132.463	(376.072)	40.258.434
Net financial results
	-	-	(4.531.116)	(4.531.116)
Profit before taxes	39.502.043	1.132.463	(4.907.188)	35.727.318
Income tax				(11.803.713)
Net profit				23.923.605

6.2 Allocation of Assets and Liabilities per business segment as at 31st March 2006 and 30 June 2005

The allocation of consolidated assets and liabilities to business sectors for the period 31/3/2006 and 30/6/2005 is broken down as follows:

31/03/2005
	Retail	Wholesale	Other	Total
Segment assets	271.578.517	6.596.486		278.175.004
Non allocated Assets			42.900.418	42.900.418
Consolidated Assets	271.578.518	6.596.486	42.182.850	321.075.421
Sector liabilities Non allocated Liabilities	52.594.509	655.426		53.249.803
items			267.825.486	267.825.486
Consolidated liabilities				321.075.421
30/6/2005	Retail	Wholesale	Other	Total
Segment assets	231.676.142	15.897.197	-	247.573.339
Non allocated Assets			49.702.603	49.702.603
Consolidated Assets	231.676.142	15.897.197	49.702.603	297.275.942
Sector liabilities	58.107.190	665.489		58.772.679
Non allocated Liabilities items			238.503.263	238.503.263
Consolidated liabilities	58.107.190	665.489	238.503.263	297.275.942

Secondary segment reporting– geographical segment

6.3 Information on sales per geographical area 31st March 2006 and 2005

Sales per geographical area as at 31st March 2006 and 2005 are as follows:

	1/7/2005-31/03/2006	1/7/2004-31/03/2005
Sales to third parties
Greece Attica	84.406.485	69.611.103
Rest of Greece	109.132.047	91.031.830
Eurozone	20.288.576	15.374.652
Third Countries	3.557	39.237
Non allocated operating income	2.568.420	1.195.414
Total	216.399.086	177.252.237

6.4 Analysis of assets per geographical area as at 31st March 2006 and 30 June 2005

The following tables present an analysis of assets items per geographical area as at 31st March 2006 and 30 June 2005:

	1/7/2005-31/03/2006	1/7/2004-30/6/2005
Balance of non current assets
Greece Attica	35.606.388	36.415.095
Rest of Greece	96.603.937	91.164.832
Eurozone	20.520.766	19.442.053
Third Countries	2.709.133	-
Total	155.440.224	147.021.980
Other assets items
Greece Attica	77.675.143	76.541.846
Rest of Greece	72.276.423	63.268.792
Eurozone	15.428.007	10.443.324
Third Countries	255.624	-
Total	165.635.197	150.253.962
Investments
Greece Attica	1.373.861,77	9.150.395
Rest of Greece	10.218.209,55	13.247.677
Eurozone	1.719.307	251.201
Third Countries	2.709.133	-
Total	16.020.511	22.649.273

7. Cost of sales

The Group's income is mostly generated from sale of merchandise (toys, stationery and baby items). Other type of income is included in "other operating income". Cost of sales of the Group is as follows:

	THE GROUP		THE COMPANY
	1/7/2005- 31/03/2006	1/7/2004- 31/03/2005	1/7/2005- 31/03/2006	1/7/2004- 31/03/2005
Stocks of merchandise at the beginning of period	74.646.810	71.941.639	70.297.004	67.099.683
Purchases of merchandise in Greece	52.954.330	48.464.863	52.264.246	47.824.362
Purchases of merchandise from other countries	78.418.568	38.944.177	78.052.410	38.560.718
Purchases of merchandise from the eurozone	8.508.810	4.484.612	8.079.634	4.595.254
Budgeted – prepaid discounts on purchases	(22.067)	(66.868)	(22.067)	(66.868)
Merchandise purchased returned	(1.726.070)	(1.638.396)	(1.613.181)	(1.511.081)
Discounts on purchases	(2.533.058)	(2.108.211)	(2.529.770)	(2.105.843)
Discounts on turnover	(6.788.777)	(6.101.801)	(6.788.777)	(6.101.801)
Helium purchased in the period	1.179	1.429	1.179	1.429
Purchases of other assets	10.044	9.357	10.044	9.357
Stocks of merchandise at year-end	(95.541.639)	(62.270.833)	(90.629.828)	(58.061.999)
Income from own use of stocks/imputed income	(1.306.819)	(919.052)	(1.306.819)	(919.052)
Total	106.621.311	90.740.916	105.814.075	89.324.159

8. Administration and distribution costs

Management and distribution costs are as follows:

	THE GROUP		THE COMPANY
	1/7/2005-	1/7/2004-	1/7/2005-	1/7/2004-
Distribution costs	31/03/2006	31/03/2005	31/03/2006	31/03/2005
Provision for compensation to
personnel due for retirement	109.151	57.754	109.151	57.754
Payroll expenses	23.676.008	15.837.162	22.449.182	14.650.743
Third parties' expenses and fees	169.720	211.814	169.720	211.814
Services received	10.061.844	6.739.558	10.061.844	6.739.558
Taxes and duties	785000	578.029	785.000	578.029
Other various expenses	8.363.509	6.177.683	7.453.882	5.236.059
Depreciation of tangible assets	5.091.253	4.647.735	5.091.253	4.484.720
Total	48.256.485	34.249.735	46.120.032	31.958.677
	THE GROUP		THE COMPANY
	1/7/2005-	1/7/2004-	1/7/2005-	1/7/2004-
Administrative expenses	31/03/2006	31/03/2005	31/03/2006	31/03/2005
Provision for compensation to
personnel due for retirement	72.768	38.503	72.768	38.503
Payroll expenses	3.542.934	5.379.231	3.201.822	5.035.576

Third parties' expenses and fees	792.404	1.356.400	771.079	1.319.774
Services received	1.660.100	1.664.759	1.080.400	1.172.810
Taxes and duties	62.373	45.073	22.760	19.508
Other various expenses	896.334	1.054.487	816.078	852.191
Depreciation of tangible assets	1.166.674	893.214	602.487	512.845
Total	8.193.587	10.431.667	6.567.394	8.951.207

It is noted that the company during the current period the company proceeded with the amendment of certain allocation basis regarding the payroll expenses and in relation to their allocation to distribution costs and administrative expenses. As a consequence administrative expenses were reduced and distribution costs were equivalently increased without having any effect, whatsoever, in the net results of the period.

9. Other operating income and expenses

Other operating income and expenses pertain to income or expenses from the operating activity of the Group. They are broken down as follows:

	THE GROUP		THE COMPANY
Other operating income	1/7/2005- 31/03/2006	1/7/2004- 31/03/2005	1/7/2005- 31/03/2006	1/7/2004- 31/03/2005
Income from related activities	866.580	916.064	859.646	905.729
O.A.E.D. subsidies	99.310	49.282	99.310	49.282
Other income	1.602.530	230.068	1.545.129	230.068
Total	2.568.420	1.195.414	2.504.085	1.185.079
Other operating expenses
Other provisions	19.000	1.800	19.000	1.800
Taxes on property	167.579	221.475	167.579	221.475
Other expenses	1.765.099	1.348.210	1.765.099	1.348.210
Total	1.951.678	1.571.485	1.951.678	1.571.485

Other income mostly pertain to credit exchange differences and profit from collection of insurance compensation. Other provisions represent provisions in the period for doubtful debts and pending trials. Most of other expenses pertain to losses and destruction of uninsured merchandise.

10. Financial income / expenses

The Group's financial results are broken down as follows:

	THE GROUP		THE COMPANY
Financing cost – net	1/7/2005- 31/03/2006	1/7/2004- 31/03/2005	1/7/2005- 31/03/2006	1/7/2004- 31/03/2005
Debit interest
Finance cost of provision for
compensation to personnel due for
retirement	38.709	31.360	38.709	31.360
Bank loans long – term	3.999.853	4.731.670	3.531.886	4.132.887
Financing leases	227.041	185.078	225.179	184.127
Bank loans short – term	12.495	11.605	4	1.638
Commissions for guarantee letters	11.557	8.696	11.557	8.697
Other finance expenses	35.297	32.979	32.453	21.109
	4.324.952	5.001.388	3.839.788	4.379.818
Credit interest
Banks - other	10.764	9236	10.764	9.236
Time deposits	505.139	461.036	351.824	355.766
	515.903	470.272	362.588	365.002
Total	3.809.049	4.531.116	3.477.200	4.014.816

11. Income tax

According to Greek taxation laws, up to 30/6/2005 the tax rate for the Company was 35% while for profits as of 1/7/2005 tax is calculated at the rate of 32%. Consequently income tax for the period 1/7/2005-30/9/2005 was calculated at the rate of 32% on profits of the parent company and 10%, on average, on profits of the subsidiary JUMBO TRADING LTD.

It is noted that the Company has recognized as additional tax expenses for the current and the previous period with provisions which could occur in case of a tax audit of previous uninspected tax years

Provision for income taxes disclosed in the financial statements is broken down as follows:

	THE GROUP		THE COMPANY
	1/7/2005 - 31/03/2006	1/7/2004 - 31/03/2005	1/7/2005 - 31/03/2006	1/7/2004 - 31/03/2005
Income taxes for the period	13.331.133	11.249.585	12.496.444	10.926.081
Adjustments of deferred taxes due to change in tax rate	(295.885)	-	(295.885)	-
Deferred income taxes	577.214	472.390	578.561	472.882
Provisions for contingent tax liabilities from years uninspected by
the tax authorities	97.926	81.738	97.926	81.738
	13.710.388	11.803.713	12.877.046	11.480.701

12. Earnings per share

The analysis of basic profits per share for the Group is as follows:

	THE GROUP		THE COMPANY
	1/7/2005 - 31/03/2006	1/7/2004 - 31/03/2005	1/7/2005 - 31/03/2006	1/7/2004 - 31/03/2005
Profits corresponding to the shareholders of the parent company	33.856.588	23.923.605	27.734.191	21.011.578
Weighted average of number of shares	48.674.274	45.619.200	48.674.274	45.619.200
Basic profits per share (euro per share)	0,70	0,52	0,57	0,46

13. Property plant and equipment

a. Information on property plant and equipment

The Group re-estimated the useful life of fixed assets as at the date of the IFRS first time adoption based on the actual conditions under which fixed assets are used and not based on taxation criteria.

According to Greek taxation laws the Company as at 31/12/2004 adjusted the cost value of its buildings and land. For IFRS purposes that adjustment was reversed because it does not fulfill the requirements imposed by IFRS. Impact from those changes is presented in note 32 in the financial statements.

Based on IFRS 1 the Group had the right to keep previous adjustments if the latter disclosed the cost value of fixed assets which would be estimated according to IFRS. The management of the Group estimates that values as disclosed as at the transition date are not materially far from the cost value which would have been estimated as at 30/6/2004 if IFRS had been adopted.

Based on the previous accounting principles there were formation accounts (expenses for acquisition of assets, notary and other expenses) which were depreciated either in a lump sum or gradually in equal amounts within five years. Based on IFRS and the Company's estimates those items increased the cost value of tangible assets, and their depreciation was re-adjusted based on accounting estimates made on the fixed assets charged (re-adjustment of useful life of tangible assets).

b. Depreciation

Depreciation of tangible assets (other than land which is not depreciated) are calculated based on the fixed method during their useful life which is as follows:

Buildings	30 – 35 years
Mechanical equipment	5 - 20 years
Vehicles	5 – 7 years
Other equipment	4 - 10 years
Computers and software	3 – 5 years

Total impact from the re-adjustment of the useful life has been disclosed in the table of changes in capital and reserves and results. That impact is presented in note no 32 of the financial statements.

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The analysis of the Group's and Company's tangible assets is as follows:

		Buildings and fixtures				Fixed assets				Total of	Total Property
Cost 30/6/2005	27.713.036 Freehold Land -	88.790.337 on buildings - Freehold	607.253 Transportation means	and other equipment 33.859.954 Machinery - funiture	1.471.240 Software	2.292.103 construction under	154.733.924 Total	Leasehold land and buildings 6.227.263	2.599.245 Leased means of transportation	8.826.509 leasehold fixed assets	Equipment 163.560.433 Pland and
Accumulated depreciation		(11.691.238)	(377.721)	(15.319, 773)	(1.087, 301)		(28.476.033)	(314.075)	(64.525)	(378, 903)	(28.854.936)
Net Cost as at 30/6/2005	27.713.036	77.099.099	229.533	18.540.181	383.939	2.292.103	126.257.891	5.913.188	2.534.417	8.447.606	134.705.496
Cost 31/3/2006	33.708.926	92.638.427	657.642	37.060.013	1.524.740	3.662.511	169.252.258	6.227.263	2.624.519	8.851.782	178.104.040
Accumulated depreciation		(14.280.022)	(419.609)	(18.122.162)	(1.268.710)		(34.070.503)	(399.646)	(291.930)	(671.576)	(34.782.079)
Net Cost as at 31/3/2006	33.708.926	78.358.405	238.033	18.937.850	256.031	3.662.511	135,161.755	5.827.617	2.332.589	8.160.206	143.321.961
Accumulated depreciation Cost 30/6/2005	22.388.309 Freehold Land -	یون Freehold 75.136.266 (10.504.201) Buildings and fixtures on buildings-	(287.295) 507.882 Transportation means	funiture and other equipment 31.153.035 (14.082.820) Machinery -	941.158 (694.145) Software	THE COMPANY 2.292.103 construction Fixed assets under	132.418.754 (25.568.461) Total	and buildings 6.227.263 (314.075)	Leasehold land Leased means of leasehold fixed 2.574.236 (59.826) transportation	8.801.499 (373,900) Total of dssets	Equipment 141.220.253 (25.942.361) Total Property Pland and
Net Cost as at 30/6/2005	22.388.309	64.632.066	220.587	17.070.215	247.013	2.292.103	106.850.293	5.913.188	2.514.410	8.427.599	115.277.892

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						THE COMPANY
ts Cost	Freehold Land-	Buildings and fixtures on - senipliud Freehold	Transportation means	funiture and other Machinery - equipment	Software	construction Fixed assets under	Total	and buildings	Leasehold land Leased means of leasehold fixed transportation	Total of assets	Total Property Equipment Pland and
Balance as at 30/6/2005	22.388.309	75.136.266	507.882	31.153.035	941.158	2.292.103	132.418.754	6.227.263	2.574.236	8.801.499	141.220.253
		86.298.639
- Additions	4.543.307	3,853,936	86.263	3.181.403	20.162	3.202.627	14.887.698		o		14.887.698
Decreases - transfers	$\circ$	(19.957)	(41.61)	(31.426)	$\circ$	(4.582.568)	(4.675.568)	o	o		(4.675.568)
Balance as at 31/3/2006 - Exchange differences	26.931.616	78.970.245	552.528	34.303.012	961.320	912.162	142.630.884	6.227.263	2.574.236	8.801.499	151.432.383
Depreciation
Balance as at 30/6/2005	۰	(10.504.201)	(287.295)	(14.082.820)	(694.145)	0	(25.568.461)	(314.075)	(59.826)	(373.900)	(25.942.361)
- Additions										(305, 153)	(5.439.759)
Decreases - transfers	$\circ$	33.946 (2.320.347)	10.923 (43.374)	(2.675.317) 17.038	(95.568)	o	(5.134.606) 41.907	(85.571)	(219.582)		1.907
- Exchange differences
Balance as at 31/3/2006	0	(12.790.602)	(319.74)	(16.741.099)	(789.713)	0	(30.641.160)	(399.646)	(279.408)	(679.053)	(31.320.213)

c. Encumbrances on fixed assets

There are no encumbrances on the parent company's fixed assets while for the subsidiary company Jumbo Τrading LTD there are the following mortgages and prenotation of mortgage:

	31/03/2006	31/03/2006
	£	€
Bank of Cyprus:
Building in Lemessos	1.500.000	2.616.888
Building in Lakatameia	2.000.000	3.489.184
	3.500.000	6.106.072
Emporiki Bank:
Building in Lakatameia	1.900.000	3.314.724

14. Investment property

As at the transition date the Group designated as investments in real estate buildings and land or part of them which could be evaluated separately and constituted a main part of the building or land under exploitation. The Group evaluates those investments at cost less any impairment losses.

Summary information regarding those investments is as follows:

Location of asset	Description – operation of asset	Income from rents
		1/7/2005 - 31/03/2006	1/7/2004 - 31/03/2005
Thessaloniki port	An area (parking space for 198 vehicles) 198 θέσεων)
	on the first floor of a building, ground floor in the
	same building of 6.422,17 sq. m. area	53.631	51.826
Nea Efkarpia	Retail Shop	205.218	198.719
Total		258.849	250.545

None of the subsidiary had any investment properties until 31/3/2006

Net cost of those investments is analyzed as follows:

	THE GROUP
	Investments in buildings
Cost value as at 30/6/2004	11.162.372
Accumulated depreciation	(1.264.352)
Balance as at 30/6/2004	9.898.020
Cost value as at 30/6/2005	11.162.372
Accumulated depreciation	(1.636.431)
Balance as at 30/6/2005	9.525.941
Cost value as at 31/3/2006	11.162.372
Accumulated depreciation	(1.915.490)
Balance as at 31/3/2005	9.246.882

Movements in the account for the period are as follows:

	THE GROUP
	Investments in buildings
Cost
Balance as at 1/7/2004	11.162.372
Balance as at 30/6/2005	11.162.372
Additions	0
Balance as at 31/12/2005	11.162.372
Depreciation
Balance as at 1/7/2004	(1.264.352)
- additions	(372.079)
Balance as at 30/6/2005	(1.636.431)
- additions	(279.059)
Balance as at 31/3/2006	(1.915.490)

Fair values are not materially different from the ones disclosed in the Company's books regarding those assets.

15. Investments in subsidiaries

The balance in the account of the parent company is broken down as follows:

Company	Head offices	Participation rate	Amount of participation
JUMBO TRADING	Avraam Antoniou 9- 2330 Kato
LTD	Lakatamia Nicosia - Cyprus	100%	11.074.190
JUMBO EC.B	Sofia, Yanko Sakuzon avenue 9A Bulgaria	100%	255.624
			11.329.814

On 1.9.2005 the Company established the subsidiary company "JUMBO EC.B" in Sofia, Bulgaria, operation of which is expected to commence in 2007. During November 2005 the company increased its share capital which was covered by 100% by the parent company JUMBO S.A.

"JUMBO EC.B" has been included in the consolidated financial statements for the first time from the date of its incorporation. It is included in the consolidated financial statements of the current period through the purchase method. The values of subsidiary companies are disclosed in the financial statements of the parent company at cost value.

In the consolidated financial statements of the Group those balances have been set off.

16. Other long term receivables

The balance of the account is broken down as follows:

	THE GROUP			THE COMPANY
	31/03/2006	30/6/2005	31/03/2006	30/6/2005
Guarantees	2.871.381	2.790.536	2.851.273	2.776.095
Total	2.871.381	2.790.536	2.851.273	2.776.095

The amount of long term receivables from subsidiary companies refers to loan from the parent company to the subsidiary JUMBO EC.B in Bulgaria, with the purpose of advance payments to acquire fixed assets the repayment of which will commence after the financial exercise of 2007. The loan is measured according to the stipulations of IAS 39 "Financial instruments: recognition and measurement" at fair value.

The entire amount of the account pertains to long term guarantees as well as receivables from long term penal clauses which will be collected after the end of the subsequent year. The fair value of those receivables is not materially different from the one disclosed in the financial statements and it is revaluated on an annual basis.

17. Inventories

Analysis of stocks is as follows:

	THE GROUP		THE COMPANY
	31/03/2006	30/6/2005	31/03/2006	30/6/2005
Merchandise	101.272.026	74.802.816	96.379.828	70.297.004
Other	-	-	-	-
Total	101.272.026	74.802.816	96.379.828	70.297.004
Less: provision for evaluation at net realizable value	5.750.000	154.488	5.750.000	-
Total net realizable value	95.522.026	74.648.327	90.629.828	70.297.004

18. Trade debtors and other trading receivables

The company has set a number of criteria to provide credit to clients which generally depend on the size of the client and an estimation of relevant financial information. As at every balance sheet date all overdue or doubtful debts are evaluated so that it is decided whether it is necessary or not to make a relevant provision for doubtful debts. Any deletion of trade debtors' balances is charged to the existing provision for doubtful debts. Credit risk arising from trade debtors and checks receivable is limited given that it is certain they will be collected and they are appropriately liquidated.

Breakdown of trade debtors and other trade receivables is as follows:

	THE GROUP		THE COMPANY
	31/03/2006	30/6/2005	31/03/2006	30/6/2005
Trade debtors	1.246.021	1.646.926	4.045.997	2.724.511
Notes receivable	56.460	49.267	56.460	49.267
Cheques receivable	3.188.696	2.098.438	2.923.392	1.825.385
Less: provisions for impairment	(126.686)	(109.601)	(31.500)	(14.000)
Net trade receivables	4.364.491	3.685.030	6.994.349	4.585.163
Advance payments for purchases of
stocks	12.744.705	15.252.515	12.744.705	15.252.515
Total	17.109.196	18.937.545	19.739.054	19.837.678

Analysis of provisions is as follows:

	THE GROUP	THE COMPANY
Balance as at 1 July 2004	-	-
Provision made 1/7/2004-30/6/2005	109.601	14.000
Balance as at 30 June 2005	109.601	14.000
Additional provisions for the period	17.500	17.500
Exchange differences	(415)	-
Balance as at 31 March 2005	126.686	31.500

19. Other receivables

Other receivables are broken down as follows:

	THE GROUP			THE COMPANY
	31/03/2006	30/6/2005	31/03/2006	30/6/2005
Sundry debtors Amounts due from subsidiaries	15.210.838	13.378.307	14.491.713	13.378.307
(short-term)	-	-	2.709.133	-
Receivables from the Greek State	9.347.840	8.698.780	9.347.840	8.698.780
Other receivables	1.157.461	560.153	901.837	560.153
Net receivables	25.716.139	22.637.240	27.450.523	22.637.240

As shown in the above table the total amount of other receivables includes receivables of the Group: a) from sundry debtors pertaining mostly to receivables of the parent company from advance payments

for leases for newly-built stores. b) Amounts due from subsidiaries originally consisted of loans originating from the parent company towards the subsidiary JUMBO EC.B in Bulgaria for the provision of down payments to acquire fixed assets. The repayment of the loan was scheduled after 30/6/2007. The loan was measured according to the provisions of IAS 39 "Financial instruments: Recognition and Measurement". According to the decision of the Company's management these specific amounts will constitute part of the total increase of the share capital of the subsidiary JUMBO EC.B which will be effectuated during the next financial exercise.

c) from amounts owed to the parent company by the Greek State in connection with advance payment of income tax for the current year, taxes withheld and the VAT account debit balance

d) from other receivables deriving from advances to accounts for debtors (such as custom clearers), cash facilities to personnel, insurance compensation etc.

20. Other current assets

Other current assets pertain to the following:

	THE GROUP			THE COMPANY
	31/03/2006	30/6/2005	31/03/2006	30/6/2005
Prepaid expenses	2.409.941	2.350.488	2.409.941	2.350.488
Discounts on purchases	47.601	225.801	47.601	225.801
Total	2.457.542	2.576.289	2.457.542	2.576.289

Other current assets mostly pertain to expenses of subsequent years such as insurance fees, packing material etc.

21. Cash and cash equivalents

	THE GROUP		THE COMPANY
	31/03/2006	30/6/2005	31/03/2006	30/6/2005
Cash in hand	2.911.346	2.234.480	2.892.233	2.205.558
Balance of open accounts of banks	2.355.837	1.626.271	1.569.091	1.626.271
Sight and time deposits	19.563.111	27.593.810	11.563.156	20.630.597
Total	24.830.294	31.454.561	16.024.480	24.462.426

Sight deposits pertain to short term investments of high liquidity. The interest rate for time deposits was 2,33% – 2,340% while for sight deposits it was 0,15%.

22. Capital and reserves

22.1 Share capital

	Number of shares	Nominal share value	Value of ordinary shares	Share premium	Total
Balance as at 1st July 2004	45.619.200	0,8	36.495.360	-	36.495.360
Issue of new shares Balance as at 30th June 2005	- 45.619.200	- 0,8	- 36.495.360	- -	- 36.495.360
Issue of new shares Balance as at 31st March 2005	4.895.265 50.514.465	0,8 0,8	3.916.212 40.411.572	11.098.497 11.098.497	15.014.709 51.510.069

On 11/10/2005 the company proceeded with the increase of its share capital by € 3.916.212, through the issue of 4.895.265 new, common, registered shares with nominal value of € 0,8 each, due to the conversion of 2.719.596 convertible bonds, from the convertible bond loan dated 11.10.2000. The share capital of the company after the issue of new shares amounts to €40.411.572 divided into 50.514.465 registered shares with nominal value 0,80 each. The conversion of the convertible bond loan resulted in a difference of € 11.098.497 which is included in the balance sheet in the share premium account. The approval by the Board of Directors regarding the share capital increase is dated on 12/10/2005. In total relative expenses regarding the issue of € 67.742 were deducted from equity.

The Board of Directors of the Athens Stock Exchange approved the introduction for trading of the Company's new common registered shares 4.895.265. The trade date of these shares was settled on 3rd November 2005. The new shares were delivered to the beneficiaries (previous bond holders) of the company.

22.2 Other reserves

The analysis of other reserves is as follows:

	Legal	Tax free	Extraordinary	Special	Other
	reserve	reserves	reserves	reserves	reserves	Total
Balance as at 1 July 2004	3.566.067	5.764.780	25.066.341	14.229	8.916	34.420.333
Movement in the period	1.448.696	142.403	15.966.720	-	-	17.557.819
Balance as at 30 June 2005	5.014.763	5.907.183	41.033.061	14.229	8.916	51.978.152
Changes in the period	-	-	-	-	(8.916)	(8.916)
March 2006 Balance as at 31st	5.014.763	5.907.183	41.033.061	14.229	-	51.969.237
			THE CO	MPANY
	Legal	Tax free	Extraordinary	Special	Other
	reserve	reserves	reserves	reserves	reserves	Total
Balance as at 1 July 2004	3.566.067	5.764.780	25.066.341	14.229	8.916	34.420.333
Changes in the period	1.448.696	142.403	15.966.720	-	-	17.557.819
Balance as at 30 June 2005	5.014.763	5.907.183	41.033.061	14.229	8.916	51.978.152
Changes in the period	-	-	-	-	(8.916)	(8.916)
March 2005 Balance as at 31st	5.014.763	5.907.183	41.033.061	14.229	-	51.969.237

It is noted that extraordinary reserves have been fully taxed and are free for capitalization (distribution) further to a relevant decision by the Shareholders' General Meeting.

23. Liabilities for compensation to personnel due for retirement

Accounts in tables below are calculated based on financial and actuarial assertions and they are set based on the Projected Unit Credit Method. According to that method, benefits corresponding to full years of service as at the evaluation date are treated separately from expected benefits in the year subsequent to the evaluation date (future service). The calculations take into account the amounts for compensation for retirement required by law 2112/20 and information regarding active employees in June in 2004 and 2005.

To perform the calculations we had to make assumptions regarding information affecting the results of the evaluation such as the discount interest rate and future increase of salaries and wages. Those assumptions were made in accordance with IAS 19 and further to the agreement of the company's management. That liability as at 31/3/2006 is broken down as follows:

THE GROUP	THE COMPANY
948.102	948.102
379.891	379.891
(212.069)	(212.069)
1.115.924	1.115.924
220.628	220.628
	-
1.336.552	1.336.552
	-

As at 30/6/2005 the liability is broken down as follows:

Present value of non financed liabilities	1.318.425
Fair value of plan assets	-
	1.318.425
Non recognized actuarial profits / (losses)	(202.501)
Non recognized cost of years of service	-
Net liability recognized in the balance sheet	1.115.924
Amounts recognized in the profit and loss account
Cost of current employment	178.513
Interest on liability	41.813
Recognition of actuarial loss / (gains)	-
Recognition of past service cost	-
Ordinary expense in the profit and loss account	220.326
Cost of additional benefits	159.565
Other expense / (income)	-
Total expense in the profit and loss account	379.891
Changes in net liability recognized in the balance sheet
Net liability at the beginning of the year	948.102
Employer's contribution	-
Benefits paid by the employer	(212.069)
Total expense recognized in the profit and loss account	379.891
Net liability at year end	1.115.924
Change in the present value of the liability
Current value of the liability at the beginning of the year	948.102
Cost of current employment	178.513
Cost of interest	41.813
Employees contribution	-
Benefits paid by the employer	(212.069)
Expenses	-
Additional payments or expenses /(income)	159.565
Cost of years of services for the period	-
Actuarial loss / (profit)	202.501
Current value of liability at year end	1.318.425

Respective charges in the profit and loss account and the balance sheet as at 31/3/2006 and 31/3/2005 are broken down as follows:

Account for use in the period	1/7/2004 - 31/03/2006	1/7/2004 - 31/03/2005
Cost of current employment	181.919	96.257
Interest on liability	38.709	31.360
Recognition of actuarial loss / (profit)	-	-
Ordinary expense in the profit and loss account	220.628	127.617
Cost of additional benefits	-	-
Total expense in the profit and loss account	220.628	127.617

Key actuarial assertions used are as follows:

	31/03/2006	30/6/2005
Discount interest rate	4,0%	4,0%
Inflation	2,5%	2,5%
Increase in salaries and wages	3,5%	3,5%

Regarding subsidiary companies no relevant provision has been made charging net equity and results because, considering the number of employees, their salaries and years of service, there is no material impact on the Group.

Current payroll costs of the Group and the Company are analysed as follows:

	THE GROUP		THE COMPANY
	31/03/2006	31/03/2005	31/03/2006	31/03/2005
Salaries, wages and allowances
social security contributions	26.664.544	20.849.849	25.096.605	19.319.775
Termination of service expenses	269.517	157.302	269.517	157.302
Other employee costs	284.881	209.242	284.881	209.242
Provision for compensation to
personnel due to retirement	181.919	96.257	181.919	96.257
Total	27.400.861	21.312.650	25.832.922	19.782.576

The total of the above expenses has been allocated to distribution costs and administrative expenses in the profit and loss account.

For the year 2005/2006 the Annual General Meeting of the shareholders which took place on 7/12/2005 unanimously pre-approved gross fees of € 480.130 for five (5) members of the Board of Directors which are not under an employment service contract with the Company. Gross fees paid to these members for the period 1/7/2005 to 31/3/2006 were € € 379.285 while for the period 1/7/2004 to 31/3/2005 were € € 286.836. Gross fees paid to members of the Board of Directors of the Company in the year 2004/2005 amounted to 377.520 euro in total and were finally approved by the Annual General Meeting of the shareholders. The above fees have been included in administrative expenses in the profit and loss account for the year 2004/2005.

Other members of the B.O.D. and specifically the Financial Director and the Vice President have an employment contract and they are paid salaries which are included in the Company's administrative expenses. Total salaries in the period 1/7/2005 – 31/3/2006 for the above persons amounted to € 163.911, with minimum salary € 6.620 and maximum salary € 7.320 compared to last periods amounts which were € 155.000

Regarding the subsidiary Jumbo Trading Ltd the members of the B.O.D. which are under employment contracts with the company received for services rendered during the period 1/7/2005 – 31/3/2006 € 229.672 (i.e. CYP 131.763) while in the previous period received € 265.280 (i.e. CYP 153.782) Total fees of the members of the board of directors in the year 2004/2005 were € 409.597 (234.711 Λ.Κ.) which have been included in administrative expenses under profit and loss account 2004/2005.

No loans whatsoever have been granted to members of the B.O.D. or other executives of the Group (nor their families).

24. Loan liabilities

Long term loan liabilities of the Group are broken down as follows:

	THE GROUP		THE COMPANY
	31/03/2006	30/6/2005	31/03/2006	30/6/2005
Bond loan convertible to shares	-	14.839.802	-	14.839.802
Bond loan non convertible to shares	-	14.748.629	-	14.748.629
Syndicated loan	60.084.304	60.888.576	60.084.304	60.888.576
Other bank loans	6.073.413	8.896.570	-	-
Liabilities from financial leases	6.207.171	6.883.353	6.207.171	6.872.872
Total	72.364.888	106.256.930	66.291.475	97.349.879

24.1 Long term loans

Bond loan convertible to shares

The Company, further to the decision on 11.05.2000 of the Extraordinary General Meeting of its shareholders, has issued a convertible bond loan, not listed on the Stock Exchange, of nominal value € 11.765.106,38, with a 4-year duration, in the context of which 2.764.800 bonds of nominal value and sale price € 4,25 each were issued and given to beneficiary shareholders. The terms of the convertible loan were modified following the General Meetings of the shareholders dated 14/11/2002 and 17/12/2003 in combination with the relevant General Meetings of the Bond holders dated 31/3/2003 and 26/5/2004

According to terms applicable as at 11.10.2005, 17 bond holders, who hold 2.719.596 bonds in total, submitted to the Representative of the bonded loan "Geniki Bank of Greece S.A." which has legally replaced "Societe Generale" applications – statements for converting their bonds to registered shares of the Company, attaching the original copies of their bonds. Statements and titles of the bonds were presented to the members of the Board of Directors. Therefore on the anniversary of the loan on 11/10/2005 the Company converted the largest part of the loan to shares since only 107 bonds were not converted.

According to IAS 32 that specific loan is a compound financial instrument. The Company implemented retrospectively the provisions of IAS 32 and measured it according to the provisions in that IAS (note 4.12) transferring the remaining balance (free of tax) from the difference between the nominal value of the loan and its present value in account "other reserves". Upon the conversion of the loan there was a difference between the nominal increase of the share capital and the carrying amount of the loan as it was measured according to the IAS 32 and IAS 39, was recognized as equity instrument in the share premium account.

The movement of the loan at the conversion date was as follows:

Carrying amount of the loan before conversion	15.068.735
Increase of share capital	(3.916.212)
Deferred tax recognized directly in equity	(4.801)
Expenses and offsetting of remaining other reserves	(49.225)
Final share premium account	11.098.497

Bond loan non convertible to shares

According to the decision of the company shareholders' General Meeting on 17/12/2003 along with the decision of its board of directors on 9/2/2004 a common bond loan amounting to € 45.000.000 was issued. Administrators of the loan was "EFG Telesis Finance Investment Services SA" and "BNP Paribas". The representative who is also authorized for the repayment of the bond holders was the bank "EFG Eurobank Ergasias S.A.".

The parent company which is the issuer, issued up to 31/3/2006 the first series of bonds amounting to € 15.000.000. Based on the loan contract on 12/2/2004 for the period that the Company does not issue a second series of bonds amounting to € 30.000.000 it is charged with an inactivity commission at the rate of 0,4% annually on the value of non issued bonds. It is evaluated at the effective interest rate method. On 31/3/2006 the actual quarterly interest rate was 1,207%.

Syndicated loan

On 13/2/2004 and 24/5/2004 the contracts regarding extension, amendment and re-issuance of the syndicated loan amounting to € 60.000.000 were signed with bank coordinator "BNP Paribas". Its duration was set at five years from 13/2/2004 to 13/2/2009 payable in two installments of which the first amounting to € 20.000.000 in 48 months and the second of € 40.000.000 in 60 months.

The loan is evaluated at the actual interest rate method. On 31/3/2006 the actual annual interest rate was 6,091%.

For the syndicated loan as well as for the bond loan non convertible to shares loan apart from the basic contractual interest rate there is also a margin which is determined based on the following indices on a consolidated basis:

• Net loan liabilities / capital and reserves
• Profits before taxes, interest and depreciation /net interest payable
• Net loan liabilities / profits before taxes, interest and depreciation

The actual interest rate is calculated based on cash flows of loans according to the terms in the contracts in order that interest is allocated to the duration of the loan.

Expiration of long term loans are broken down as follows:

	THE GROUP		THE COMPANY
	31/03/2006	30/6/2005	31/03/2006	30/6/2005
From 1 to 2 years	35.749.769	2.220.752	34.916.435	-
From 2 to 5 years	42.556.203	93.714.998	40.056.203	90.477.007
After 5 years	3.573.413	4.579.248	-	-
	81.879.385	100.514.998	74.972.638	90.477.007

24.2 Financial leases

The Group has signed a financial leasing contract for a building in Pilaia Thessaloniki which is used as a shop as well as for transportation equipment, analysis of which is presented in note 13. In detail liabilities from financial leasing are broken down as follows:

		THE GROUP		THE COMPANY
	31/03/2006	30/6/2005	31/03/2006	30/6/2005
Up to 1 year	1.152.077	1.115.739	1.131.386	1.105.476
From 1 to 5 years	5.277.330	5.454.451	5.258.283	5.444.188
After 5 years	1.820.394	2.391.321	1.820.395	2.389.611
	8.249.801	8.961.511	8.210.064	8.939.275
Future debits of financial leases	(1.166.506)	(1.243.547)	(1.160.154)	(1.240.776)
Present value of liabilities of financial leases	7.083.295	7.717.964	7.049.910	7.698.499

	THE GROUP			THE COMPANY
The current value of liabilities of financial leases is:	31/03/2006	30/6/2005	31/03/2006	30/6/2005
Up to 1 year	876.124	834.611	842.739	825.627
From 1 to 5 years	4.492.595	4.649.709	4.492.595	4.640.726
After 5 years	1.714.576	2.233.644	1.714.576	2.232.146
	7.083.295	7.717.964	7.049.910	7.698.499

24.3 Short-term loan liabilities / long term liabilities payable in the subsequent year

The Group's current loan liabilities are broken down as follows:

	THE GROUP			THE COMPANY
	31/03/2006	30/6/2005	31/03/2006	30/6/2005
Bond loan convertible to shares Bond loan non convertible to	-	-	-	-
shares	14.888.334	-	14.888.334
Bank loans payable in the subsequent year	833.334	1.141.421	-	-
Overdrafts	-	51.950	-	-
Liabilities from financial leases payable in the subsequent year	876.124	834.611	842.739	825.627
Total	16.597.792	2.027.982	15.731.073	825.627

As mentioned above the bonded loan convertible to shares was paid on its first anniversary on 11/10/2005 through conversion of bonds and increase of share capital (note 24.1).Average weighted interest rates are broken down as follows:

	31/03/2006	30/6/2005
Long term bank loans	5,642%	5,823%
Short term bank loans	5,500%	5,750%
Financial leases	4,505%	4,127%

25. Other long term liabilities

Analysis is as follows:

	THE GROUP		THE COMPANY
	31/03/2006	30/6/2005	31/03/2006	30/6/2005
Cheques long - term
Opening balance	56.000	100.000	56.000	100.000
Additions	56.000	312.000	56.000	312.000
Reductions	(112.000)	(356.000)	(112.000)	(356.000)
Closing balance	-	56.000	-	56.000
Guarantees obtained
Opening balance	1.210	7.348	1.210	7.348
Additions	44	423	44	423
Reductions	-	(6.561)	-	(6.561)
Closing balance	1.254	1.210	1.254	1.210
Total	1.254	57.210	1.254	57.210

26. Deferred tax liabilities

Deferred tax liabilities as deriving from temporary tax differences are as follows:

	THE GROUP
	31/03/2006		30/6/2005
	Asset	Liability	Asset	Liability
Non current assets
Tangible assets	1.386.359	5.559.934	1.515.210	5.392.623
Tangible assets from financial leases	217.297	555.431	130.865	380.450
Reserves
Offsetting of deferred tax from bond loan conversion	0	547	0	4.801
Long term liabilities
Benefits to employees	3.289	8.852
Long term loans	563.421	0	539.022	0
Liabilities from financial leases	1.176.246	957.179	1.129.626	995.676
Offsetting	(10.428.554)	(10.428.554)	(10.058.289)	(10.058.289)
Total	(7.081.942)	(3.346.611)	(6.743.565)	(3.284.739)
Deferred tax liability		3.735.331		3.458.827

For the company the respective accounts are broken down as follows:

	THE COMPANY
	31/03/2006		30/6/2005
	Asset	Liability	Asset	Liability
Non current assets
Tangible assets	1.386.359	5.554.470	1.515.210	5.385.788
Tangible assets from financial leases	217.297	555.431	130.865	380.450
Reserves
Offsetting of deferred tax from bond loan conversion	-	547	-	4.801
Long term liabilities
Benefits to employees	3.289	8.852	-	-
Long term loans	563.421	-	539.022	-
Liabilities from financial leases	1.176.246	957.179	1.129.626	995.676
Offsetting	(10.423.090)	(10.423.090)	(10.065.124)	(10.065.124)
Total	(7.076.478)	(3.284.739)	(6.750.401)	(3.298.409)
Deferred tax liability		3.729.867		3.451.992

27. Provisions

Provisions regarding the Group and the Company are recognized if there are current legal or constructive obligations resulting from past events, with the possibility that they can be settled through outflows of resources and the liability can be reliably estimated.

Other provisions pertain to tax provisions for contingent tax liabilities from years uninspected by the tax authorities and to pending law cases which it is unlikely that the Company will win. Regarding the provisions for contigent tax liabilities the Company readjusted Analysis is as follows:

	THE GROUP		THE COMPANY
	Provisions for contingent tax liabilities from years uninspected by the tax authorities	Provisions for pending law cases	Provisions for contingent tax liabilities from years uninspected by the tax authorities	Provisions for pending law cases
Balance as at 1 July 2004 Additional provisions for the	89.413	24.100	89.413	24.100
period	108.984	1.800	108.984	1.800
Used provisions for the period	-	-	-	-
Balance as at 30 June 2005	198.397	25.900	198.397	25.900
Additional provisions for the period	97.926	1.500	97.926	1.500
Used provisions for the period	-	-	-	-
Balances as at 31 March 2005	296.323	27.400	296.323	27.400

28. Trade and other payables

The balance of the account is broken down as follows:

	THE GROUP		THE COMPANY
	31/03/2006	30/6/2005	31/03/2006	30/6/2005
Suppliers	5.841.726	7.559.109	7.119.239	7.844.903
Bills payable & promissory notes	1.682.086	2.644.217	1.682.086	2.644.217
Cheques payable	34.864.953	28.434.248	34.183.841	28.310.222
Advances from trade debtors	1.828.169	810.884	1.828.169	810.883
Total	44.216.934	39.448.458	44.813.335	39.610.225

29. Current tax liabilities

Analysis of tax liabilities is as follows:

	THE GROUP		THE COMPANY
	31/03/2006	30/6/2005	31/03/2006	30/6/2005
Expense for tax corresponding to the period	13.331.133	16.724.124	12.496.444	16.268.736
Liabilities from taxes	7.615.684	3.384.870	7.336.510	2.977.784
Total	20.946.817	20.108.994	19.832.954	19.246.520

Expenses for tax pertaining to the period include deferred tax.

30. Other current liabilities

Other current liabilities are broken down as follows:

		THE GROUP		THE COMPANY
	31/03/2006	30/6/2005	31/03/2006	30/6/2005
Suppliers of fixed assets	987.587	3.502.631	987.587	3.502.631
Salaries payable to personnel	992.634	816.646	992.634	816.646
Sundry creditors	3.622.711	2.510.388	3.412.296	2.376.743
Social security funds	736.007	935.750	718.255	868.730
Interest coupons payable	39.818	58.201	39.818	58.201
Dividends payable	142.865	138.249	142.865	138.249
Accrued expenses	2.336.827	1.564.527	1.956.478	914.353
Other liabilities	79.809	82.696	79.809	82.696
Total	8.938.258	9.609.088	8.329.742	8.758.249

31. Cash flows from operating activities

	THE GROUP		THE COMPANY
	31/3/2006	31/3/2005	31/3/2006	31/3/2005
Cash flows from operating activities
Net profit for the period	33.856.588	23.923.605	27.734.191	21.011.578
Adjustments for:
Income taxes	13.612.461	11.721.975	12.779.120	11.398.963
Depreciation of non current assets	6.257.927	5.540.950	5.693.740	4.997.565
Pension liability provisions (net)	181.919	96.257	181.919	96.257
Other provisions	116.926	83.538	116.926	83.538
Interest and related income	(515.903)	[470.272]	[362.588]	(365.002)
Interest and related expenses	4.324.952	5.001.388	3.839.788	4.379.818
Operating profit before change in working capital	57.834.870	45.897.441	49.983.096	41.602.717
Change in working capital
increase/(decrease) in inventories	[20.873.699]	9.691.096	(20.332.824)	9.037.684
Increase/(decrease) in trade and other receivables	(1.268.051)	(776.629)	[2.023.026]	(100.425)
increase/(decrease) in other non current assets	118.747	(1.380.409)	118.747	(1.380.409)
Increse/(decrease) in trade payables	4.037.075	9.823.659	4.714.032	10.214.803
Other	[80.845]	(68.504)	(75.178)	(68.504)
	(18.066.773)	17.289.213	(17.598.249)	17.703.149
Cash flows from operating activities	39.768.097	63.186.654	32.384.847	59.305.866

32. Analysis of adjustments for transition to and first time adoption of IFRS

The group's adjustments practically pertain to the parent company given that the subsidiary company had implemented IAS on a previous date.

32.1 Impact of transition adjustments to equity

	THE GROUP		THE COMPANY
	01-Jul-04	30-Jun-05	31-Mar-05	01-Jul-04	30-Jun-05	31-Mar-05
Total equity as it was previously reported according to the Greek GAAP	75.391.012	99.659.317	112.138.168	72.350.319	92.516.601	105.964.401
Adiustments for the transition to IFRSs
Effect from derecognition of formation and set up expenses in
the balance sheet and transfer of the carrying ammount and	[339.474]	(105.632)	(214.530)	(339.474)	(105.632)	(214.530)
accumulated depreciation in retained earnings
Effect from the change in depreciation coefficients and the	8.342.712	9.982.921	9.534.774	8.342.712	9.982.921	9.534.774
depreciable value of use of fixed assets
Effect from the recognition of capitalised expenses in the cost
of fixed assets. Transfer of depreciation in retained earnings	2.837.317	3.543.120	3.407.390	2.837.317	3.543.120	3.407.390
due to the change in depreciation coefficients.
Derecognition of revaluation of property according to Law
2065/92 at 31/12/2004		[2.589.708]	(2.589.708)		[2.589.708]	[2.589.708]
Derecognition of depreciation on revaluation of property
according to Law 2065/92 at 31/12/2004		228.094	219.321		228.094	219.321
Effect of recognition of expenses in the cost of leased assets	15.248	15.248	15.248	15.248	15.248	15.248
Transfer of recognition of dividends payable at the time of their
approval by the general meeting of the shareholders	7.755.264	11.113.226		7.755.264	11.113.226
Effect from the transfer of leasing costs as a reduction of the
liability	484.123	1.314.183	1.118.166	484.123	1.314.183	1.118.166
Effect from the recognition of leasing finance charges		(226.287)	(172.079)		[226.287]	(172.079)
Recognition of accrued interests regarding finance leases	[4.096]	[22.988]	[16.144]	[4.096]	[22.988]	(16.144)
Recognition of depreciation of leased assets	(160.308)	(373.900)	(311.366)	(160.308)	(373.900)	[311.366]
Long term loans measurment - calculation of interest
according to the effective interest rate method	(109.543)	(386.456)	(294.184)	(109.543)	(386.456)	(294.184)
Effect from measurement of convertible bonds loan facility	[2.648.855]	[3.180.545]	[3.127.193]	[2.648.855]	(3.180.545)	[3.127.193]
Reversal of depreciation of capitalised expenses related to
the measurement of long term loan facilitiy	95.120	190.773	166.592	95.120	190.773	166,592
Trasnfer of expenses to the loan facility	610.267	610.267	610.267	610.267	610.267	610.267
Bad debts provision		(14.000)	$\circ$		(14.000)
Trasnlation differences of foreign operations		684	2.705
Defered tax recognition	(2.875.727)	(3.451.992)	[3.348.609]	[2.875.727]	(3.451.992)	[3.348.609]
Income tax for the period			(11.249.093)			(10.926.081)
Provisions for contingent tax liabilities from years uninspected
by the tax authorities	[89.4]3]	(198.397)	(171.151)	[89.4]3]	(198.397)	(171.151)
Recognition of exchanges differences	18.375	2.128	23.420	18.375	2.128	23.420
Recognition of employee retirement provisions	(948.102)	(1.074.111)	(1.065.265)	(948.102)	(1.074.111)	(1.065.265)
Finance costs for employee retirement provisions		(41.813)	(10.453)		(41.813)	(10.453)
Taxes on property			(221.475)			(221.475)
Other provisions	[24.100]	(25.900)	[25.900]	(24.100)	(25.900)	(25.900)
Total adjustments	12.958.808	15.308.915	(7.719.267)	12.958.808	15.308.231	(7.398.960)
Equity according to International Financial Reporting Standards	88.349.820	114.968.232	104.418.902	85.309.127	107.824.832	98.565.441

32.2 Impact of transition adjustments to profits

	THE GROUP			THE COMPANY
	01-Jul-04	30-Jun-05	31-Mar-05	$01 - Ju - 04$	30-Jun-05	31-Mar-05
Results as it was previously reported according to the Greek GAAP		48.941.724	34 425 299		44.575.272	31.217.375
Adjustments for the transition to IFRSs
Effect from derecognition of formation and set up expenses in
the balance sheet and transfer of the carrying ammount and		233.842	124.944		233.842	124.944
accumulated depreciation in results
Effect from the change in depreciation coefficients and the		1,640,209	1.192.062		1.640.209	1.192.062
depreciable value of use of fixed assets
Effect from the recognition of capitalised expenses in the cost
of fixed assets. Transfer of depreciation in results due to the		705.802	570.073		705.802	570.073
change in depreciation coefficients.
Derecognition of depreciation on revaluation of property		35.092	26.319		35.092	26.319
according to Law 2065/92 at 31/12/2004
Effect from the transfer of leasing costs as a reduction of the		830,060	634.043		830,060	634.043
liability
Effect from the recognition of leasing finance charges		(226.287)	(172.079)		[226.287]	(172.079)
Recognition of accrued interests regarding finance leases		(18.891)	(12.048)		(18.891)	(12.048)
Recognition of depreciation of leased assets		(213.592)	(151.058)		(213.592)	(151.058)
Long term loans measurment - calculation of interest		(276.912)	(184.641)		(276.912)	(184.641)
according to the effective interest rate method
Effect from measurement of convertible bonds loan facility		(531.690)	(478.338)		(531.690)	(478.338)
Reversal of depreciation of capitalised expenses related to		95.653	71.473		95.653	71.473
the measurement of long term loan facilitiy
Μεταφορά εξόδων σε προΐον δανείου
Bad debts provision		(14.000)			(14.000)
Trasnlation differences of foreign operations		(43.818)	27.115
Defered tax recognition		(576.265)	[472.882]		(576.265)	(472.882)
Income tax for the period		(16.153.793)	(11.249.093)		(15.692.471)	(10.926.081)
Provisions for contingent tax liabilities from years uninspected		(108.984)	(81.738)	÷,	(108.984)	(81.738)
by the tax authorities
Recognition of exchanges differences		(16.247)	5.045		(16.247)	5.045
Recognition of employee retirement provisions		(126.009)	(117.163)		(126.009)	(117.163)
Finance costs for employee retirement provisions		(41.813)	(10.453)		(41.813)	(10.453)
Taxes on property			(221.475)			[221.475]
Other provisions		(1.800)	(1.800)		(1.800)	(1.800)
Total adjustments		(14.809.443)	(10.501.694)		(14.304.303)	(10.205.797)
Results according to International Financial Reporting		34.132.281	23.923.605		30.270.969	21.011.578
Standards

Impact from adjustments in property plant and equipment

The group re-estimated the useful life of its tangible assets upon the transition to IFRS. This re-estimation resulted in a cumulative profit which as at 30/6/2004 amounted to € 8.342.712 and was added to profit carried forward, broken down as follows:

Re-adjustment of depreciation for furniture and fixtures due to re-estimation of useful life	2.464.773
Re-adjustment of depreciation of machinery due to re-estimation of useful life	1.497.451
Re-adjustment of depreciation of buildings due to re-estimation of useful life	4.380.488
	8.342.712

According to the same standard the company recognized as cost to the property plant and equipment formation expenses which, according to the previous accounting principles, were not considered as cost of tangible assets. Their accumulated depreciation was readjusted according to the useful life of buildings. Other formation expenses which did not fulfill the recognition criteria were transferred to profit and loss carried forward as at the transition date. Breakdown as at 30/6/2004 is as follows:

	Accumulated
	Cost value	depreciation	Balance
Transfer of formation expenses to results	1.949.313	1.609.839	339.474
Transfer of accumulated amortization of formation expenses
accounts due to their recording in intangible assets			3.113.889
Calculation of value adjustments based on useful life			(276.572)
			2.837.317

Finally at the year ended as at 30/6/2005 the parent company should reverse the readjustment of its buildings and land made in accordance with law 2065/92 because it is not an item to be recognized in the financial statements according to IFRS. Total amount reversed as at 30/6/2005 amounts to € 2.589.708 while depreciation of the readjustment amounts to € 228.093

Impact from the evaluation of the bond loan convertible to shares

The group could not apply the exception provided by IFRS 1 in connection with compound financial instruments as at the transition date given that the balance of the loan at that date had not been paid off or converted. So the Group applied the standard retrospectively and separated the balance of the long term liability from the part pertaining to equity. As at the transition date the terms of the loan in force as at that date were used, while the measurement of the loan incorporated all cash flows which were provided for by the relevant contracts from the beginning to the end of the loan. The negative impact on the company's equity amounts to € 2.648.855 and is broken down as follows:

Recognition of accumulated financial cost according to IFRS	2.990.237
Proportion of net equity – transfer to the reserves of the group	(13.717)
Reversal of recognized accumulated financial cost of the company according to previous
accounting principles	(327.665)
	2.648.855

Impact from recognition of cost of compensation to personnel due for retirement

The group recognized total cost for compensation to personnel due for retirement for the first time, based on actuarial assertions of IAS 19. The accumulated cost charged to net equity as at 30/6/2004 amounts to € 948.102.

Impact from recognition of financial leases

In accordance with IFRS the group separated operating and financial leases and recognized the latter in the financial statements in compliance with IAS 17. The recognition of financial leases resulted in the recognition of non current assets in the balance sheet and the recognition of the financial liability in liabilities due to the separation of financial cost and the capital of the leasing. Further to the above the impact on the company's net equity as at 30/6/2004 and 30/6/2005 was the following:

	30/6/2004
Benefit from transfer of capital to net equity as at 30/6/2004	484.123
Reversal of leases charged to result and transfer due to pay-off of capital	830.060
Total impact on net equity from the recognition and pay-off of installments of capital as at
30/6/2005	1.314.183

The accumulated impact of depreciation of non current assets charged to net equity of the company as at 30/6/2004 and 30/6/2005 amounted to € 160.308 and 373.900 respectively.

Provision for contingent liabilities

During the current period the Company restated net equity by charging a provision for contingent tax audits for unaudited years by tax authorities, as at 30/6/2005 as well as the relevant results for the period ended 31/3/2006 and 31/3/2005 (notes 11 and 27). The amount of € 89.413 for 30/6/2004 and € 198.397 for 30/6/2005 adjusted the company's equity.

33. Commitments

Commitments mostly pertain to operating leases of transportation equipment which expire on different dates. Minimum payable rent in the future based on operational lease contracts which can not be rescinded are analysed as follows:

	THE GROUP		THE COMPANY
	31/03/2006	30/6/2005	31/03/2006	30/6/2005
Up to 1 year	113.322	60.395	3.927	3.973
From 1 to 5 years	179.848	232.963	1.636	4.582
After 5 years	22.276	102.999	-	-
	315.445	396.357	5.563	8.555

34. Contingent assets - liabilities

The tax returns of the parent company for the years ended as at 30/6/2004, 30/6/2005 and nine months for the period 01/07/2005-31/3/2006 and of the subsidiary company operating in Cyprus from the year 2001 to 31/12/2005 have not been inspected by the tax authorities. Consequently it is possible that additional taxes and increments be imposed when the tax authorities inspect and finalize them. The outcome of the tax inspection can not be predicted at this point and therefore no relevant provision has been made in the financial statements. However the Company has conducted a provision for contingent tax liabilities which could occur from relevant tax inspection (note 27).

The subsidiary company JUMBO TRADING LTD which operates in Cyprus prepares its financial statements in compliance with IFRS and consequently it charges its results with relevant provisions for unispected tax years, whenever necessary. It is noted that the due to the fact that the Cypriot tax authorities operate in a different fashion, consequently tax calculations are conducted differently enabling companies to conduct more precisely tax provisions.

The subsidiary company established in Bulgaria in the first semester of the current year has not commenced its activities yet and therefore there is no case of uninspected tax year.

35. Transactions with related parties

The Company participates at the rate of 100% in the share capital of the companies JUMBO TRADING LTD and JUMBO EC.B LTD.

In the years presented only the Cypriot company JUMBO TRADING LTD has operating activities, while the second one which is registered in Sofia, Bulgaria, has not any trading activities yet.

The following transactions were carried out with the affiliated undertakings:

Sales/ (purchases) of merchandise

	31/03/2006	31/03/2005
Sales of JUMBO SA to JUMBO TRADING LTD	8.495.440	6.445.373
Purchases by JUMBO SA from JUMBO TRADING LTD	441.350	592.967
	8.936.790	7.038.340

Net balance arising from transactions with the subsidiary companies

	31/03/2006	31/03/2005
Amounts owed to JUMBO SA from JUMBO TRADING LTD	3.640.729	2.656.786
Amounts owed by JUMBO SA to JUMBO TRADING LTD	80.314	149.625
	3.721.043	2.806.411
Amounts owed to JUMBO SA by JUMBO EC.D LTD	2.709.133	-
Amounts owed by JUMBO SA to JUMBO EC.D LTD	-	-
	2.709.133	-

The above transactions and balances have been set off from the consolidated financial statements of the Group. Additionally the terms of the transactions with the above related parties are equal to the ones applicable for transactions on a purely trading basis (upon substantiation of terms). Further to the above disclosed transactions and balances as well as any other which is included to other notes which are imposed by other IASs, there are no other transactions with other related parties.

36. Events subsequent to the balance sheet date

According to the decision dated 03.05.2006 of the Extraordinary General Meeting of the shareholders of the company, which was approved by the decision Κ2-6817/09.05.2006 of the ministry of development:

• a) the company's registered office was transferred from the municipality of Glyfada to the municipality of Moschato in Attica and specifically at 9 Kyprou st & Ydras, Postal code 183 46 where the central offices are located
• b) The original 30 year duration of the company was extended to 70 years
• c) The share capital of the company was increased by € 44.452.729,20 with the following capitalization of reserves:
• a. Extraordinary reserves (€ 41.033.060,66)
• b. Part from the share premium account (€ 3.419.668,54).

An amount of € 30.308.679 participated in the above increase after readjusting the nominal value, from €0,80 to 1,40, of the existing 50.514.465 ordinary shares, while an amount of € 14.144.050,20 participated after issuing and distributing new ordinary shares with nominal value of € 1,40 each. The total share capital of the company after the increase amounts to € 84.864.301.20 divided into 60.617.358 ordinary shares with nominal value of € 1,40 each