90
2013
Annual Report
26
At a meeting held on 6 March 2012, the cabinet of the Basque Government-Eusko Jaurlaritza agreed to
authorise the addition of the investment held by the public entities Ente Vasco de la Energía and Euskal Irrati
Telebista Herri Erakundea in the share capital of Euskaltel, S.A. to the business asset portfolio of the General
Administration of the Autonomous Community of Euskadi. Consequently, as of that date, the shares held by
both companies became fully owned by the Basque Government-Eusko Jaurlaritza, with the General
Administration of the Autonomous Community of Euskadi assuming the legal relations, rights and obligations of
the aforementioned public entities with the Company.
In December 2012 the Company increased its share capital by Euros 54,413 thousand by issuing 906,890 shares
of Euros 60 par value each, with a share premium of Euros 13,587 thousand. After the shareholders renounced
their preferential right to subscription, International Cable, B.V. subscribed and fully paid the aforementioned
share capital increase with share premium.
In addition, International Cable, B.V. closed individual agreements for the sale-purchase of the Company's
shares with different shareholders, as a result of which, International Cable, B.V. held a 48.10% interest in the
Company at 31 December 2012.
13.2.
Share premium
In accordance with prevailing legislation, the share premium is a freely-distributable reserve, provided that
equity exceeds share capital.
13.3.
Reserves and prior years’ profit and loss
Details of this caption are as follows:
The legal reserve has been appropriated in compliance with article 274 of the Spanish Companies Act, which
requires that companies transfer 10% of profits for the year to a legal reserve until this reserve reaches an
amount equal to 20% of share capital. Until the legal reserve exceeds the above limit, it may only be applied to
offset losses if no other reserves are available.
13.4.
Profit for the year
The proposed distribution of 2013 profit and reserves of the Company to be submitted to the shareholders for
approval at their annual general meeting, and the approved distribution of 2012 profits, are as follows:
2013
2012
Legal reserve
27,524
22,714
Voluntary reserves
65,437
65,437
Prior years' losses
(51,183)
(94,477)
Total
41,778
(6,326)
2013
2012
Basis of allocation
Profit for the year
50,092
48,104
Total
50,092
48,104
Distribution
Legal reserve
5,009
4,810
Offset of prior years' losses
45,083
43,294
Total
50,092
48,104
