BT 1997 Annual Report Download - page 54

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NOTES TO THE FINANCIAL STATEMENTS
54
Other reserves
Share Capital Profit
premium redemption Other and loss
account reserve reserves account Total
19. Reserves £m £m £m £m £m
Group
Balances at 1 April 1996 531 750 27 9,797 11,105
Premium on allotment of ordinary shares 144 – – – 144
Transfer from reserves for the financial year – – – (1,433) (1,433)
Goodwill, on acquisition of subsidiary and associated
undertakings, written off (a) – – – (199) (199)
Goodwill, previously written off to reserves,
taken back to profit and loss account (a) –––55
Currency movements arising on consolidation of foreign
subsidiary and associated undertakings (b) – – – (76) (76)
Other movements – – – (19) (19)
Balances at 31 March 1997 675 750 27 8,075 9,527
Company
Balances at 1 April 1996 531 750 – 11,194 12,475
Premium on allotment of ordinary shares 144 – – – 144
Transfer from reserves for the financial year (c) – – – (2,035) (2,035)
Currency movements arising on investments in
subsidiary and associated undertakings (b) – – – (155) (155)
Balances at 31 March 1997 675 750 – 9,004 10,429
(a) Aggregate goodwill in respect of acquisitions in the current and earlier years of £2,671m (1996 – £2,477m) has been written
off against the group’s reserves. The goodwill written off in the year mainly arose in connection with the acquisition of shares
not already owned in BT Telecomunicaciones SA and the acquisition of Rijnhaave Groep BV.
(b) The currency movements for the group and the company included net gains, in respect of currency borrowings, of £29m.
(c) The profit for the financial year, dealt with in the profit and loss account of the company and after taking into account
dividends from subsidiary undertakings, was £1,475m (1996 – £2,339m). As permitted by Section 230 of the Companies Act
1985, no profit and loss account of the company is presented.