Notes to the 2024 Financial Statements

Scope of application and financial statement information required from small undertakings and micro-undertakings (PMA 1:1 §)

The financial statements have been prepared in accordance with the Government Decree on the information presented in the financial statements of a small undertaking and micro-undertaking (PMA).

Accounting policies adopted (PMA 3:1 §)

The valuation and accrual principles and methods applied to non-current and current assets.

Valuation of tangible assets

“Other tangible assets” in the Foundation’s ordinary activities have not been depreciated. “Office machinery and equipment” have been entered into the balance sheet at their acquisition cost minus planned depreciation. Planned depreciation uses the reducing balance method of depreciation at 25%.

Valuation of inventories

Inventories have been valued at their acquisition cost or at their probable sale price, whichever is lower.

Valuation of investment assets

Investments have been valued at their acquisition cost or at their market value, whichever is lower. The Foundation owns 12.9 per cent of the share capital of Koy Pasilankatu 2. Based on these estimates, there is no need to make any changes to the valuation of Pasilankatu 2’s share capital in the 2024 financial statements.

Expense allocation principles

The expenses allocated to each activity comprise the activity’s own specific expenses and a proportion of the Foundation’s general expenses. The proportion of general expenses allocated to an activity has been calculated as accurately as possible using the matching principle.

Donations and collections

Donations, bequests and income from collections are mainly recognised as income on an accrual basis when they have been conclusively received by the Foundation. They are recognised as income in accordance with the prudence principle.

Scope and accounting principles of the consolidated financial statements

The consolidated financial statements include the subsidiary Baltic Sea Services Oy, which is domiciled in Helsinki. This subsidiary is wholly owned by the parent company. At 31 December 2024, the subsidiary’s capital and reserves amounted to EUR -246,259.57, which includes a loss of EUR 128,080.67 for the financial year 2024. The subsidiary has been fully integrated into the consolidated income statement in the “Maritime cultural activities” category under ordinary activities.

The consolidated financial statements have been prepared using the acquisition cost method. Intra-Group transactions, mutual receivables and mutual liabilities have been eliminated.

The associated company Yhteinen Perintö Oy, which is domiciled in Helsinki, has not been integrated into the consolidated financial statements, as the company is not material to the Group’s results and financial position. The Foundation has a holding of 49 per cent. At 31 December 2024, the associated company’s capital and reserves amounted to EUR -362,503.19, which includes a loss of EUR -163,609.73 for the financial year 2024.

Notes about Group personnel

The Foundation’s business activities

The Foundation’s publishing activities are taxable business activities. Its administrative services were also taxable activities in 2024.

The Foundation’s investment and financing activities

The Foundation’s marine environment projects

Notes on assets in the consolidated balance sheet

Inventories

Investments

The Foundation’s receivables from Group companies and associated companies

Loan receivables within the Group

The Foundation has granted its subsidiary Baltic Sea Services Oy a long-term subordinated loan of EUR 270,000 as defined in Chapter 12:1 of the Companies Act. The loan note for a capital loan of EUR 250,000 was signed on 1 May 2022 and replaced the earlier note agreed on by the parties in 2021. The loan is due to be repaid in full on 31 December 2026. The interest rate on the loan is the base rate confirmed by the Bank of Finland, but no less than 0%. EUR 150,000.00 of the subordinated loan was written down during the 2023 financial year, and an additional loan of EUR 20,000.00 was granted on 13 June 2024. The capital loan matures on 31 December 2030 and has the same interest rate as the previous capital loan.

A capital loan may be repaid and interest paid only to the extent to which the company’s unrestricted equity and all capital loans at the time of payment exceed the amount of the loss as shown either in the company’s approved balance sheet for the financial year last ended or for a later balance sheet.

In the 2022 financial year, the interest was 0%.
For the 2023 financial year, the interest for the period from 1 January to 30 June was 2.50% and from 1 July to 31 December 3.75%.
For the 2024 financial year, the interest for the period from 1 January to 30 June was 4.25% and from 1 July to 31 December 3.75%.
The accrued interest receivable of EUR 18,127.74 has not been recognised.

In addition to the subordinated loan, the Foundation granted a long-term loan to Baltic Sea Services Oy. This long-term loan amounted to EUR 56,417.48 on 31 December 2024. The loan was drawn in 2022.

Loan receivables from associated companies

The Foundation has granted its associated company Yhteinen Perintö Oy a long-term capital loan of EUR 58,452.50 as per Chapter 12, Section 1 of the Limited Liability Companies Act. EUR 40,000 of the loan was drawn in 2021. The subordinated loan was written down in the 2023 financial year. An additional loan of EUR 18,425.50 was granted during the 2024 financial year. The capital loan receivable was written down on 31 December 2024.

Yhteinen Perintö Oy’s EUR 40,000.00 loan matures on 1 January 2026, and the EUR 18,425.50 loan matures on 30 April 2029. The interest rate on the loan is 1%.

A capital loan may be repaid and interest paid only to the extent to which the company’s non-restricted equity and all capital loans at the time of payment exceed the amount of the loss as shown either in the company’s approved balance sheet for the financial year last ended or for a later balance sheet.

The accrued interest receivable of EUR 1,783.97 for the financial years 2021–2024 has not been recognised.

Notes on liabilities in the consolidated balance sheet

Changes in capital and reserves

The Foundation has one fund that is subject to special conditions as to its use: the Clean Sea II Fund. The purpose of this fund is to promote a clean Baltic Sea, so as to enhance its natural value and utility.

The Foundation’s liabilities and guarantees

The Foundation’s pro bono support

During the financial year, the Foundation has received pro bono support that is not included in the figures presented in the financial statements.

Related parties

The Foundation’s related parties include the CEO and the members of the Board of Directors, their partners, children, parents and siblings, and any organisations in which the aforementioned exert control. The Foundation’s auditors are also related parties.

Only material and exceptional related-party events have been reported as related-party transactions.

The Foundation has not provided any monetary loans or grants to related parties. No guarantees or collateral have been given or pledged on behalf of related parties. All transactions between related parties take place at fair value and on market terms in the best interests of the Foundation.

Members of the Board of Directors and the Foundation’s management

A breakdown of contract-based related-party transactions by category