Finnair Plc will publish its first financial statements prepared according to International Financial Reporting Standards (IFRS) for the financial year ending 31 December 2005. An interim report covering the January-March quarter of the current year will be prepared in accordance with IFRS recognition and valuation principles and will be published on 12 May 2005.

Finnair has published both annual and quarterly comparative data on the Group's income statement, balance sheet, cash flow calculation and key figures as well as segment-specific key figures and new accounting principles according to IFRS reporting standards. The essential changes caused by the new reporting standards are indicated in the table below.

For Finnair the most significant changes arising from the introduction of IFRS compared with Finnish Accounting Standards (FAS) were an improvement in the result for 2004 and a reduction in shareholders' equity.

The most important contributing factor to the result improvement is the effect on income from the Finnair Pension Fund's investment activity on IFRS pension expenses in 2004.

The most significant factors reducing the shareholders' equity of the balance sheet at 1 January 2004 are an increase in pension liabilities due to the lower discount interest rate of IFRS accounting principles, a change in aircraft maintenance capitalisation and periodisation as well as the interpretation of ground equipment finance leasing agreements and the leases of some buildings as balance sheet items according to IFRS.

	2004 IFRS		2004 FAS
	31 Dec 04		31 Dec 04
Earnings per share, EUR	0.3		0.14
Equity per share, EUR	6.98		7.29
Equity ratio, %	39.2		42.7
Adjusted gearing, %	103.4		95.5
Total assets, EUR million	1,478		1,506

Detailed data:

Transition to IFRS (PDF 429 kb)