Fairstar Heavy Transport N.V. ("Fairstar") on 19 July 2012 through a press release notified the market of its commitment regarding a third new build vessel.
As this commitment originated in 2011 Fairstar subsequently published an addendum to its 2011 annual accounts on its own website and on the Oslo Stock Exchange 's newsweb and deposited this with the AFM register. In the Fairstar shareholder meeting of 29 August 2012, the Chairman notified the shareholders in Fairstar that the company's auditor KPMG had commenced additional audit work regarding the 2011 Fairstar annual accounts and that KPMG had advised users should no longer rely on its audit opinion until its additional audit work had been completed. The minutes of this meeting were published on the Fairstar website.
Today Fairstar received a report from KPMG in which KPMG concludes that KPMG concurs with Fairstar's current view that (i) a commit¬ment to invest an amount of USD 111 million with respect to the construction of the Fathom vessel existed as at 31 December 2011; (ii) this commitment should have been disclosed in the 2011 financial statements; and (iii) due to its materiality, the investment commitment of USD 111 million should also have been disclosed in the 2011 management board report of Fairstar.
As the 2011 financial statements have not been adopted by a meeting of shareholders, a new annual report will now be drawn up by Fairstar, audited and presented for adoption to the meeting of shareholders and be published on the company's website and registered with the AFM.