Report of the independent auditors
for the year ended 31 March 2007 TO THE MEMBERS OF PEBBLE BED MODULAR REACTOR (PTY) LIMITED
We have audited the annual financial statements of Pebble Bed Modular Reactor (Pty) Limited, which comprise the balance sheet at 31 March 2007, and the income statement, the statement of changes in equity and cash flow statement for the year then ended, and the notes to the financial statements, which include a summary of significant accounting policies and other explanatory notes, and the directors’ report as set out within this website.
DIRECTORS’ RESPONSIBILITY FOR THE FINANCIAL STATEMENTS
The company’s directors are responsible for the preparation and fair presentation of these financial statements in accordance with International Financial Reporting Standards and in the manner required by the Companies Act of South Africa. This responsibility includes: designing, implementing and maintaining internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error; selecting and applying appropriate accounting policies; and making accounting estimates that are reasonable in the circumstances.
AUDITOR’S RESPONSIBILITY
Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with International Standards on Auditing. Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance whether the financial statements are free from material misstatement. The audit was also planned and preformed to obtain reasonable assurance that our duties in terms of sections 27 and 28 of the Public Audit Act, 25 of 2004, have been complied with.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgement, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.
AUDIT OPINION
In our opinion, the financial statements present fairly, in all material respects, the financial position of the company at 31 March 2007 and the results of its operations and cash flows for the year then ended in accordance with International Financial Reporting Standards and in the manner required by the Public Finance Management Act, 1999 (Act No 1 of 1999) and the Companies Act of South Africa.
KPMG Inc.
Registered Auditor
AH Jaffer
Chartered Accountant (SA)
Registered Auditor
Director
24 May 2007
KPMG Crescent
85 Empire Road
Parktown, 2193
Private Bag X9
Parkview, 2122
