HSBC 2003 Annual Report Download - page 214

HSBC HOLDINGS PLC
Report of the Directors (continued)
212
consideration of €1.43 million in cash was paid on
completion.
In May 2003 HSBC Mexico (formerly
GF Bital), a subsidiary of HSBC Holdings, agreed to
acquire, subject to regulatory approval, 49 per cent
of the capital of Seguros Bital, S.A. de C.V.
(‘Seguros Bital’ ) held by ING Insurance
International B.V. for a consideration of
US$148 million. The transaction increased
HSBC Mexico’s interest in Seguros Bital from
51 per cent to 100 per cent.
In September 2003 Elysées Gestion, a subsidiary
of HSBC Holdings, agreed to acquire 49 per cent of
the capital of Elysées Fonds from
Médéric-Prévoyance and URRPIMMEC. The
consideration of €14 million in cash was paid on
completion. The transaction increased Elysées
Gestion’s interest in Elysées Fonds from 51 per cent
to 100 per cent.
In December 2003 HSBC Latin America BV, a
subsidiary of HSBC Holdings, acquired 40 per cent
of the capital of HSBC Salud (Argentina) S.A. from
New York Life Inc. The consideration of
US$30 million was paid in cash on completion. The
transaction increased HSBC Latin America BV’s
interest in HSBC Salud (Argentina) S.A. from 60 per
cent to 100 per cent. The company was subsequently
sold to a third party.
In January 2004 The Hongkong and Shanghai
Banking Corporation Limited, a subsidiary of HSBC
Holdings, exchanged a 50 per cent interest in the
capital of World Finance International Limited for
approximately 7 per cent of Bergesen Worldwide
Limited. Bergesen Worldwide Limited is controlled
by family interests of H Sohmen, a non-executive
Director of HSBC Holdings and The Hongkong and
Shanghai Banking Corporation Limited. The
percentage interest in Bergesen Worldwide Limited
was of an equivalent value to 50 per cent of the
consolidated net asset value of World Finance
International Limited and its subsidiaries as at
31 December 2003, estimated at approximately
US$111 million.
Donations
During the year, HSBC made charitable donations
totalling US$47,374,000. Of this amount,
US$17,069,000 was given for charitable purposes in
the United Kingdom.
Following its acquisition on 28 March 2003 and
until 30 September 2003 to allow time for any
commitments to be honoured, Household
International continued its previous policy of making
political donations in the United States. During that
period donations totalling US$455,270 were made,
comprising US$143,250 to 174 affiliates of the
Democratic Party, US$197,000 to 271 affiliates of
the Republican Party and US$115,020 to 18 non-
affiliated organisations. Since 1 October 2003
Household International has adopted HSBC’s
longstanding policy of not making contributions to
any political party. Save for the donations made by
Household before 1 October 2003 no political
donations were made by HSBC during the year.
At the Annual General Meeting in 2003
shareholders gave authority for HSBC Holdings and
HSBC Bank plc to make EU political donations and
incur EU political expenditure up to a maximum
aggregate sum of £250,000 and £50,000 respectively
over a four-year period as a precautionary measure in
light of the wide definitions in The Political Parties,
Elections and Referendums Act 2000. These
authorities have not been used.
Annual General Meeting
The Annual General Meeting of HSBC Holdings will
be held at the Barbican Hall, Barbican Centre,
London EC2 on Friday 28 May 2004 at 11.00 am.
An informal meeting of shareholders will be
held at Level 28, 1 Queen’s Road Central, Hong
Kong on Tuesday 25 May 2004 at 4.30pm.
A live webcast of the Annual General Meeting
will be available on www.hsbc.com. From shortly
after the conclusion of the Meeting until 30 June
2004 a recording of the proceedings will be available
on www.hsbc.com.
Auditor
KPMG Audit Plc has expressed its willingness to
continue in office. The Group Audit Committee and
the Board recommend that it be reappointed. A
resolution proposing the reappointment of KPMG
Audit Plc as auditor of HSBC Holdings and giving
authority to the Directors to determine its
remuneration will be submitted to the forthcoming
Annual General Meeting.
On behalf of the Board
R G Barber, Secretary 1 March 2004