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[email protected] www.sse.com Annual Report 2011 Follow the latest news from SSE on Twitter at: www.twitter.com/sse Registered in Scotland No. 117119 STOCK CODE 008235 Contents Financial statements 78 Independent auditors’ report Overview 79 Consolidated income statement 80 Statement of comprehensive income 01 Introduction 81 Balance sheets 02 The energy sector in Great Britain 82 Statement of changes in equity 05 The energy sector in Ireland 84 Cash flow statements 06 SSE – a balanced range of 86 Notes on the financial statements energy businesses 86 1. Significant accounting policies 08 Chairman and Chief Executive 95 2. Reclassification of comparative Questions and answers The stunning photograph amounts used on the cover of this year’s 96 3. Segmental information Strategy 99 4. Other operating income and expense Annual Report was taken at 10 Why invest in SSE? 100 5. Exceptional items and certain SSE’s Drumderg wind farm in remeasurements Perthshire by award-winning Group performance 101 6.