Atividades 1223

By means of a diagnosis, the Company’s management evaluated the effects of the adoption of the IFRS on the opening balance sheet (date of initial adoption January 1, 2011) and on the financial statements of the year ended December 31, 2012 and did not identify significant effects from the adoption of the IFRS in comparison with the US GAAP for the year ended December 31, 2012 and opening balance (January 1, 2011) and on the quarterly information as of September 30, 2013.

In order to present the results of this diagnosis, the tables below detail the presentation of the quarterly information in accordance with the accounting practice currently adopted (IFRS) in comparison with the accounting practices previously adopted (US GAAP the Company does not have any assets that are just used in the franchise business. Accordingly, except for the accounts receivables, assets presented in the Consolidated Balance Sheets are used in the restaurant operating business.

The Company also manages its business concerning each of the brands it operates. Own-stores operations conducted by the Company provided the following figures per brand for the nine and three months ended September 30, 2013:

 

Below we provide the segment information and its reconciliation to the Company´s income statement for the nine and three months ended September 30, 2013:

 

NOTE 14 – FIRST-TIME ADOPTION OF IFRS – TRANSITIONAL BASIS

14.1 - Consolidated quarterly information

As discussed at note 2, until the year ended December 31, 2012, the Company disclosed its consolidated financial statements under the United States Generally Accepted Accounting Principles (US GAAP). In the year started January 1, 2013, the Company’s management decided to change its accounting practices and adopt the International Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board (IASB) and, consequently, the consolidated Quarterly Information are being presented for the first time in accordance with the IFRS. Accordingly, the Company adopted the IFRS 1 in the preparation of these Consolidated Quarterly Financial Information at the transition date of January 1, 2011, and prepared its opening balance sheet pursuant to the IFRS on that date applying relevant mandatory exceptions and certain optional exemptions referring to the complete retrospective application of IFRS Standards, with its first reporting referring to the quarter ended September 30, 2012, in comparison with the information as of December 31