Chrysler 2013 Annual Report Download - page 286

285
Fiat S.p.A. Statutory
Financial Statements
at 31 December 2013
On 16 December 2011, the IASB issued amendments to IAS 32 – Financial Instruments: Presentation which clarify application of certain criteria
for offsetting financial assets and liabilities. The amendments apply retrospectively for annual periods beginning on or after 1 January 2014. No
material effect is expected from first time adoption of the standard.
On 29 May 2013, the IASB issued an amendment to IAS 36 – Recoverable Amount Disclosures for Non-Financial Assets, which addresses
disclosures about the recoverable amount of impaired assets, if that amount is based on fair value less costs of disposal. The amendments are
applicable retrospectively for annual periods beginning on or after 1 January 2014. Early adoption is permitted for periods where the entity has
already applied IFRS 13. Application of the new standard is not expected to have any material effect.
On 27 June 2013, the IASB issued narrow-scope amendments to IAS 39 – Financial Instruments: Recognition and Measurement entitled
“Novation of Derivatives and Continuation of Hedge Accounting”. The amendments allow hedge accounting to continue in a situation where
a derivative, which has been designated as a hedging instrument, is novated to effect clearing with a central counterparty as a result of laws
or regulation, if specific conditions are met. Similar relief will be included in IFRS 9 – Financial Instruments. The amendments are effective
retrospectively for annual periods beginning on or after 1 January 2014. No material effect is expected from first time adoption of the standard.
In addition, at the reporting date, the European Union had not yet completed the process for endorsement of the following standards and
amendments:
On 12 November 2009, the IASB issued IFRS 9 – Financial Instruments. The standard was reissued in October 2010 and amended in
November 2013. The standard addresses classification, measurement, recognition and derecognition and hedge accounting for financial
assets and liabilities and replaces parts of IAS 39. The amendments issued in November 2013 removed the mandatory effective date of
1 January 2015. The IASB announced that an effective date will be decided upon when the entire IFRS 9 project is completed.
On 20 May 2013, the IASB issued IFRIC 21 – Levies, an interpretation of IAS 37 – Provisions, Contingent Liabilities and Contingent Assets.
The interpretation provides guidance on recognition of liabilities to pay levies that are not income taxes. IFRIC 21 is applicable for annual
periods beginning on or after 1 January 2014. Early adoption is permitted.
On 12 December 2013, the IASB issued the Annual Improvements to IFRSs 2010–2012 Cycle and Annual Improvements to IFRSs 2011–2013
Cycle.
Risk Management
The risks to which Fiat S.p.A. is exposed, either directly or indirectly through its subsidiaries, are the same as those of its subsidiaries. In addition
to the information provided in Note 27, reference should also be made to the note on Risk Management in the Notes to the Consolidated
Financial Statements.