(1) A subsidiary enterprise is not required to be included in the consolidated financial statements if
1. significant and continuing restrictions impair, in sustained fashion, the exercise of the rights enjoyed by the parent enterprise with regard to the assets or the business management of said enterprise,
2. it is not possible to obtain the information required to draw up the consolidated financial statements without incurring disproportionately high costs or suffering inappropriate delays,
3. the shares of the subsidiary enterprise are being held exclusively for purposes of an onward sale.
(2) A subsidiary enterprise is not required to be included in the consolidated financial statements if it is immaterial for the obligation to present accurately the group’s assets, liabilities, financial position and profit or loss in keeping with its actual circumstances. Where several subsidiary enterprises meet the pre-requisite set out in sentence 1, these enterprises are to be included in the consolidated financial statements if, taken together, they are not immaterial.
(3) The reasons for applying subsections (1) and (2) are to be provided in the notes to the consolidated financial statements.