BMW 2014 Annual Report Download - page 110

110
90 GROUP FINANCIAL STATEMENTS
90 Income Statements
90 Statement of
Comprehensive Income
92 Balance Sheets
94 Cash Flow Statements
96 Group Statement of Changes in
Equity
98 Notes
98 Accounting Principles and
Policies
116 Notes to the Income Statement
123 Notes to the Statement
of Comprehensive Income
124
Notes to the Balance Sheet
149 Other Disclosures
165 Segment Information
In November 2009 the IASB issued IFRS 9 (Financial
Instruments) as part of a project to revise the accounting
for financial instruments. This Standard marks the
first
of three phases of the IASB project to replace the
existing IAS 39 (Financial Instruments: Recognition and
Measurement). The first phase deals initially only with
financial assets. IFRS 9 amends the recognition and
measurement requirements for financial assets, includ-
ing various hybrid contracts.
Financial assets are measured at either amortised cost
or fair value. IFRS 9 harmonises the various rules con-
tained in IAS 39 and reduces the number of valuation
categories for financial instruments on the assets side
of the balance sheet.
The new categorisation is based partly on the entity’s
business model and partly on the contractual cash flow
characteristics.
In October 2010, additional rules for financial liabilities
were added to IFRS 9. The requirements for financial
liabilities contained in IAS 39 remain unchanged with
the exception of new requirements relating to the
measurement of an entity’s own credit risk at fair value.
A package of amendments to IFRS 9 was announced
on
19 November 2013. On the one hand, the amend-
ments overhaul the requirements for hedge accounting
by introducing a new hedge accounting model. They
also enable entities to change the accounting for
lia-
bilities they have elected to measure at fair value, before
applying any other requirement in IFRS 9, such that fair
value changes due to changes in “own credit risk” would
not require to be recognised in profit or loss. The man-
datory effective date of 1 January 2015 was removed and
a new application date of 1 January 2018 set. The impact
of adoption of the Standard on the Group Financial
Statements is currently being assessed.
In May 2014 the IASB issued IFRS 15 (Revenue from
Contracts with Customers) together with the Financial
Accounting Standards Board. The objective of the new
Standard is to assimilate all the various existing require-
ments and Interpretations relating to revenue recogni-
tion (IAS 11 Construction Contracts, IAS 18 Revenue,
IFRIC 13 Customer Loyalty Programmes, IFRIC 15 Agree-
ments for the Construction of Real Estate, IFRIC 18
Transfers of Assets from Customers, SIC-31 Revenue –
Barter Transactions involving Advertising Services) in a
single Standard. The new Standard also stipulates
uni-
form revenue recognition principles for all sectors and
all categories.
Standard / Interpretation Date of Date of Date of Expected impact
issue by IASB mandatory mandatory on BMW Group
application application
IASB EU
IAS 1 Presentation of Financial Statements
(Initiative to Improve Disclosure Require-
ments – Amendments to IAS 1)
18. 12. 2014 1. 1. 2016 No Significant in principle
IAS 16 /
IAS 38
Clarification of Acceptable Methods of
Depreciation and Amortisation
(Amendments to IAS 16 and IAS 38)
12. 5. 2014 1. 1. 2016 No
Insignificant
IAS 16 /
IAS 41
Agriculture: Bearer Plants
(Amendments to IAS 16 and IAS 41)
30. 6. 2014 1. 1. 2016 No None
IAS 19 Employment Benefits:
Employee Contributions (Amendments to
IAS 19)
21. 11. 2013 1. 7. 2014 1. 2. 20151
Insignificant
IAS 27 Equity Method in Separate Financial
Statements (Amendments to IAS 27)
12. 8. 2014 1. 1. 2016 No None
IFRIC 21 Levies 20. 5. 2013 1. 1. 2014 17. 6. 20142 Insignificant
Annual Improvements to IFRS 2010 – 2012 12. 12. 2013 1. 7. 2014 1. 2. 20151 Insignificant
Annual Improvements to IFRS 2011 – 2013 12. 12. 2013 1. 7. 2014 1. 1. 2015 Insignificant
Annual Improvements to IFRS 2 012 – 2014 25. 9. 2014 1. 1. 2016 No Insignificant
1 Mandatory application in annual periods beginning on or after 1 February 2015.
2 Mandatory application in annual periods beginning on or after 17 June 2014.