Do issuers in the Prime Standard who choose the Quarterly Financial Report to meet their obligations according to Sect. 53 BörsO FWB, have to transmit their (condensed) individual or consolidated Financial Statements?

If the issuer has to prepare consolidated Financial Statements, the requirement set forth in the BörsO FWB is adequately met by exclusively transmitting the condensed consolidated Statements accompanied by the other components of the Quarterly Financial Report. In these cases, the “individual Quarterly Financial Report” does not need to be transmitted for meeting the obligations of the BörsO FWB.

Only the issuer is in the position to assess whether they are under the obligation to prepare consolidated Financial Statements; by no means, this assessment can be made by FWB. The same applies to the question if and, if so, from what date on there has been a modification entered into regarding the kind of Statements to be prepared.

The decision whether they are under the obligation to prepare consolidated Financial Statements, is taken by the issuer according to the legal regulations applicable. Therefore, in case of an issuer with registered office in Germany, the question regarding the possible requirement of group accounting is answered pursuant to Sect. 290 et seq. of the German Commercial Code (HGB).

Which accounting principles have to be observed when preparing such Financial Statements in the context of a Quarterly Financial Report?

The condensed Financial Statements have to be prepared in compliance with the same accounting principles as the Annual Financial Statements.

Does the BörsO FWB provide exemption options from the Quarterly Statement preparation requirements pursuant to Sect. 53 BörsO FWB?

Pursuant to Sect. 53 Paragraph 7 BörsO FWB, the Management Board may exempt issuers having their registered office in a state outside the European Union or outside of another member state to the Treaty on the European Economic Area from the obligation to prepare a Quarterly Statement in compliance with the requirements of Sect. 53 BörsO FWB. In any case, an exemption will be granted exclusively if and to the extent that the issuer is subject to or submits to equal regulations of a third country. For the ”Quarterly Statement” or Quarterly Financial Report prepared in compliance with the third country regulations, the explanations regarding language, time limit and kind of transmission apply accordingly.

Does the Frankfurter Wertpapierbörse assist Prime Standard issuers with meeting their time limits relating to the Quarterly Statement pursuant to Sect. 53 BörsO FWB?

Prior to the expiration of respective time limits, FWB will remind Prime Standard issuers of Statements still waiting to be transmitted by means of so-called “reminder mails”. The first reminder mail will be sent about two weeks, a second one about three days prior to the time limit’s expiration. While the first mail is not yet directed to the individual case, the second reminder mail is tailored to the issuer in question and specifically to the Statements still missing.

What are the sanctions resulting from a violation of Sect. 53 BörsO FWB?

A violation of the obligations from Sect. 53 BörsO FWB may be punished by a reprimand or an administrative fine (Sect. 22 Paragraph 2 Clause 2 of the German Exchange Act (BörsG)).