168 Chap. 3 CONSOLIDATED FINANCIAL STATEMENTS AUDITOR'S REPORT We have audited the consolidated financial statements prepared by the AMB Generali Holding AG, Aachen, comprising the balance sheet, the income statement, the statement of changes in equity, the cash flow statement and the notes to the consolidated financial statements, together with the group management report of AMB Generali Holding AG, Aachen, for the business year from January 1 to December 31, 2007. The preparation of the consolidated financial statements and the group man- agement report is in accordance with the IFRSs, as adopted by the EU, and the additional require- ments of the German Commercial Law pursuant to § 315a Abs. 1 HGB (Handelsgesetzbuch: German Commercial Code)and supplementary provisions of the articles of incorporation are the responsibility of the Company's Board of Managing Directors. Our responsibility is to express an opinion on the consolidated financial statements and the group management report based on our audit. We conducted our audit of the consolidated financial statements in accordance with § 317 HGB and German generally accepted standards for the audit of financial statements prom- ulgated by the Institut der Wirtschaftsprüfer in Deutschland (IDW) (Institute of Public Auditors in Germany). Those standards require that we plan and perform the audit such that misstatements materially affecting the presentation of the net assets, financial position and results of operations in the consolidated financial statements in accordance with the applicable financial reporting frame- work and in the group management report are detected with reasonable assurance. Knowledge of the business activities and the economic and legal environment of the Group and expectations as to possible misstatements are taken into account in the determination of audit procedures. The effectiveness of the accounting-related internal control system and the evidence supporting the disclosures in the consolidated financial statements and the group management report are exam- ined primarily on a test basis within the framework of the audit. The audit includes assessing the consolidated financial statements of those entities included in consolidation, the determination of the entities to be included in consolidation, the accounting and consolidation principles used and significant estimates made by the Company's Board of Managing Directors, as well as evaluating the overall presentation of the consolidated financial statements and the group management report. We believe that our audit provides a reasonable basis for our opinion. Our audit has not led to any reservations. In our opinion based on the findings of our audit the consolidated financial statements comply with the IFRS as adopted by the EU, and the additional requirements of German Commercial Law pursuant to § 315a Abs. 1 HGB and supplementary provisions of the articles of incorporation and give a true and fair view of the net assets, financial position and results of operations of the Group in accordance with these requirements. The group management report is consistent with the con- solidated financial statements and as a whole provides a suitable view of the Group's position and suitably presents the opportunities and risks of future development. Düsseldorf, February 25, 2008 PricewaterhouseCoopers Aktiengesellschaft Wirtschaftsprüfungsgesellschaft Alexander Hofmann ppa. Christian Sack Wirtschaftsprüfer Wirtschaftsprüfer German Public Auditor German Public Auditor Auditor's Report* * Voluntary translation. It should be noted that only the German auditor's report, which is based on the audit of the German version of the company's consolidated financial statements, is authoritative.