This excerpt taken from the TOT 20-F filed Apr 20, 2006.
Information concerning the first-time application of IFRS
Pursuant to IFRS 1 First-time adoption of International Financial Reporting Standards, the Group has chosen to apply the following exemptions:
The other exemptions included in IFRS 1 First Time Adoption have not been applied at the transition date to the IFRS or did not have any material impact on the consolidated financial statements.
IAS 32 Financial Instruments: Disclosure and Presentation and IAS 39 Financial Instruments: Recognition and Measurements have been applied as from January 1, 2004. The Group has decided on an early application in 2004 of IFRS 6 Exploration for and Evaluation of Mineral Resources. This standard is compatible with previously used methods to record exploration and production costs (see Note 1 paragraph G Oil and gas exploration and producing properties).
Description of the effects of the transition to IFRS on the net equity and the results of the Group were provided for in the 2004 Annual Report, and in the 2004 quarterly summarized financial statements which were published in May 2005. This information is presented in Note 33.
The transition balance sheet as of January 1, 2004 included in Note 33 differs from that published in May 2005 on the following items. Financial instruments were presented as a deduction of the non-current financial debt, while
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS(Continued)
(Amounts in millions of euros, M except for per share amount, or where otherwise indicated)
they are now recorded separately in the balance sheet either under Hedging instruments of non-current financial debt on the asset side or Non-current financial debt on the liability side. Similarly, current financial instruments are recorded on either asset or liability accounts Current financial instruments depending on whether it is an asset or a liability.
The financial data for financial years 2004 and 2003 were presented in the Annual Report for financial year 2004 under French GAAP.