Explanatory note

regulation 4 sets out the manner in which a listed public company is to ascertain whether an entitled person (as defined in regulation 2) wishes to receive a summary financial statement (“SFS”) in place of the full accounts and reports for the financial year. If such companies have not received an express written notification from the entitled person, they can conduct a relevant consultation under regulation 6 of these Regulations (a procedure similar to that previously set out in regulation 6(3) of the 1993 Regulations). Alternatively, regulation 5 introduces a new procedure of sending entitled persons an advance notice describing what an SFS will contain and enclosing a reply-paid card on which entitled persons can indicate whether they wish to receive full accounts and reports;

regulation 6(2)(b) of the 1993 Regulations (under which a failure by an entitled person to respond to a relevant consultation under that regulation impliedly countermanded any previous notification of a wish to receive full accounts and reports) is not re-enacted in these Regulations;

companies will only have to pay for the postage on cards sent to entitled persons under regulations 5(2) and 6(2)(d) of these Regulations if those persons have addresses in the European Economic Area (regulations 5(3) and 6(3));

when an SFS is sent to an entitled person under the Regulations it will no longer be accompanied by a reply-paid card on which the entitled person can request the full accounts and reports. The SFS will, however, contain a clear statement of the right of entitled persons to obtain a free copy of a company’s full accounts and reports and of how that copy can be obtained, and of how they may elect to receive such accounts and reports rather than SFSs for future years (regulation 7(4) and (5));

the revisions to the law on the content of the full statutory accounts of insurance companies and groups contained in the Companies (1986 Order) (Insurance Companies Accounts) Regulations (Northern Ireland) 1994 (S.R. 1994 No. 428) (and the transitional arrangements contained in those Regulations) are reflected in regulation 10 of, and Schedule 3 to, these Regulations;

listed public companies other than insurance companies may continue to comply with the 1993 Regulations with respect to financial years commencing prior to 10th June 1996 (regulation 11(2)). Special transitional arrangements for insurance companies are contained in Schedule 3; and

the transitional provisions contained in paragraphs 3 and 7 of Schedule 2 to the 1993 Regulations are not re-enacted as they are spent.