The annual audited financial report shall report the financial position of the insurer as of the end of the most recently ended calendar year and the results of its operations, cash flows, and changes in capital and surplus for the year then ended in conformity with statutory accounting practices prescribed, or otherwise permitted, by the department of insurance of the state of domicile. The annual audited financial report shall include the following: Report of independent certified public accountant; Balance sheet reporting admitted assets, liabilities, capital, and surplus; Statement of operations; Statement of cash flow; Statement of changes in capital and surplus; and Notes to financial statements, which shall: Be those required by the appropriate NAIC Annual Statement Instructions and the NAIC Accounting Practices and Procedures Manual; and Include a reconciliation of differences, if any, between the audited statutory financial statements and the annual statement filed with the Commissioner, with a written description of the nature of these differences. Form. Except as provided in §C(2) of this regulation, the financial statements included in the audited financial report shall: Be prepared in a form and using language and groupings substantially the same as the relevant sections of the annual statement of the insurer filed with the Commissioner; and Be comparative, presenting the amounts as of December 31 of the most recently ended year, and the amounts as of the immediately preceding December 31. In the first year in which an insurer is required to file an audited financial report, the comparative data may be omitted.