Digia Plc is the parent company of the Digia Group. It is domiciled in Helsinki and its registered office is at Valimotie 21, 00380 Helsinki. Digia Plc’s active subsidiaries are Digia Finland Ltd (with the wholly owned subsidiaries Digia Financial Software Oy, Digia Service Oy and OOO Digia RUS Ltd.), Digia Sweden Ab, Digia USA, Inc. and Digia Norway AS. The Digia Plc subsidiary Sunrise Resources Oy (100%) merged into Digia Finland Oy on 31 March 2011.
The parent company’s financial statements have been prepared in accordance with Finnish Accounting Standards (FAS). The financial statement is based on original acquisition costs. Book values based on original costs have been reduced to correspond to fair value as necessary.
Since 1 June 2005, the parent company has operated as the Group’s administrative company and charged the Group companies for services rendered.
The Group’s pension schemes are arranged through a pension insurance company. Pension premiums and expenses allocated to the financial period are based on confirmations received from the insurance company. Pension expenses are recognised as expenses for the year in which they arise.
Leasing payments are recognised as annual expenses.
Extraordinary income and expenses include substantial non-recurring income and expenses not associated with actual business operations. In the fiscal year 2010, Group contributions received were recognised as extraordinary items.
Fixed assets are recognised in the balance sheet at immediate cost less planned depreciation and amortisation.
The economic lives underlying planned depreciation and amortisation are as follows:
|Intangible rights||5 years|
|Other long-term expenses||5 years|
|Buildings and structures||25 years|
|Machinery and equipment||3–8 years|
Purchases of fixed assets with an economic life of less than three years are recognised as annual expenses.