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To the Shareholders of
Bank of Sharjah P.J.S.C.
Sharjah
United Arab Emirates
Report on the consolidated financial statements
We have audited the accompanying
consolidated financial statements of Bank of Sharjah P.J.S.C. and its
subsidiaries (together referred to as the “Bank”), which comprise the
consolidated statement of financial position as at 31 December 2010, and the
consolidated income statement, consolidated statement of comprehensive income,
consolidated statement of changes in equity and consolidated statement of cash
flows for the year then ended, and a summary of significant accounting policies
and other explanatory information.
Management’s responsibility for the consolidated financial statements
Management of the Bank is responsible
for the preparation and fair presentation of these consolidated financial
statements in accordance with International Financial Reporting Standards, and
for such internal control as management determines is necessary to enable the
preparation of the consolidated financial statements that are free from material
misstatements, whether due to fraud or error.
Auditor’s responsibility
Our responsibility is to express an
opinion on these consolidated financial statements based on our audit. We
conducted our audit in accordance with International Standards on Auditing.
Those standards require that we comply with ethical requirements and plan and
perform the audit to obtain reasonable assurance whether the consolidated
financial statements are free from material misstatement.
An audit involves performing
procedures to obtain audit evidence about the amounts and disclosures in the
consolidated financial statements. The procedures selected depend on the
auditor’s judgment, including the assessment of the risks of material
misstatement of the consolidated financial statements, whether due to fraud or
error. In making those risk assessments, the auditor considers internal control
relevant to the Bank’s preparation and fair presentation of the consolidated
financial statements in order to design audit procedures that are appropriate in
the circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the Bank’s internal control. An audit also includes evaluating
the appropriateness of accounting policies used and the reasonableness of
accounting estimates made by management, as well as evaluating the overall
presentation of the consolidated financial statements.
We believe that the audit evidence we
have obtained is sufficient and appropriate to provide a basis for our audit
opinion.
Opinion
In our opinion, the consolidated
financial statements present fairly in all material respects, the financial
position of Bank of Sharjah P.J.S.C. and its subsidiaries (the “Bank”) as at 31
December 2010 and its financial performance and its cash flows for the year then
ended in accordance with International Financial Reporting Standards.
As disclosed in Note 21 to the
consolidated financial statements, the Board of Directors amended their
recommendation regarding the proposed cash dividends and accordingly, the
previously issued consolidated financial statements on 29 January 2011 were
recalled.
Report on other legal and
regulatory requirements
Also, in our opinion, proper books of
account are maintained by the Bank, and the information included in the Board of
Directors’ report relating to the consolidated financial statements is in
agreement with the books of account. We have obtained all the information and
explanations which we considered necessary for the purpose of our audit.
According to the information available to us, there were no contraventions
during the year of the U.A.E. Federal Commercial Companies Law No. (8) of 1984
(as amended), or the Articles of Association of the Bank which might have a
material effect on the financial position of the Bank or its financial
performance.
Deloitte & Touche (M.E.)
Saba Y. Sindaha
Registration Number 410
24 February 2011 |