HELSINKI EXCHANGES RELEASE July 2, 2004
Aldata Solution Oyj cautioned for incomplete disclosure
The Disciplinary Board of the Helsinki Exchanges has cautioned Aldata
Solution Oyj for breaching the requirement for the disclosure of
sufficient and correct information and for disclosure without undue
delay.
The management of Aldata had mainly been changed. The new Group
management had deemed it necessary to develop and intensify the
business monitoring systems. On 28 January 2004, Aldata disclosed a
material change to previous estimates on the result for the financial
year 2003. The change concerned write-downs on receivables and
investments, nonrecurring expenses, additional provisions and the
stricter principles applied to booking credit losses.
The Disciplinary Board noted that the information provided by the
company concerning its profit development and outlook in the end of
2003 failed to meet the requirement for sufficient and correct
information. Some of the nonrecurring items leading to a profit
warning were such that the company should have taken action earlier.
Aldata’s monitoring, reporting and decision-making systems have not
been at the level required from a listed company in all respects, nor
complied with the needs based on the Group structure. Investors must
be able to trust that the financial administration of a listed company
functions in any circumstances, also when there are changes in the
management. In addition, when publishing the 2003 financial statements
bulletin, Aldata failed to simultaneously publish its cash flow
statement.
According to the rules of the Helsinki Exchanges, the obligation to
provide information is designed to ensure that all parties operating
in the market simultaneously have at their disposal sufficient and
correct information on the issuer of listed securities and the listed
security, in order that the value of shares and other listed
securities may be determined in a well-founded manner. Information
submitted by the issuer shall form the basis for the formation of an
assessment on a listed security by the investor. If, during the review
period, the result of a listed company or its balance sheet or
financial position deviate materially from the well-grounded estimate
of the development of such matters which an investor is justified in
making, the listed company must publish this information. The rules of
the Helsinki Exchanges stipulate that matters subject to the
obligation to provide information must be published without undue
delay. In addition, the financial statement bulletin of a listed
company must include a cash flow statement for the financial year.
The decision of the Disciplinary Board is based on the Rules of
Helsinki Stock Exchange A4.111, A4.121, A 4.122, A4.124 and A5.223 as
well as A5.431.
HELSINKI EXCHANGES
For further information and comments, please contact:
Janne Seppänen, Head of Surveillance Finland, tel. +358 9 6166 7382
The Disciplinary Board handles the most serious violations of rules on
the Helsinki Exchanges and cases of a precedent nature. Its members
are legal and financial experts independent of the Helsinki Exchanges.
The Chairman of the Disciplinary Board is Mr. Mikko Tulokas, Supreme
Court Justice. Background information about the Board and its members
and the rules of the Disciplinary Board are available on the Helsinki
Exchanges' homepage www.hex.com.