Tiscali 2014 Annual Report Download - page 87

Annual financial report as at 31 December 2014
Date
File Name
Status
Page
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Annual Report as at 31
December 2014
87
investee and has the ability to affect these returns through its power over the investee. An investor
controls an investee if and only if the investor has all of the following elements at the same time: (a)
power over the investee; (b) exposure, or rights, to variable returns from its involvement with the
investee; and (c) the ability to use its power over the investee to affect the amount of the investor's
returns. The accounting treatment and consolidation procedures are by contrast unchanged with
respect to that currently envisaged by IAS 27. IFRS 10 did not have any impact on the consolidation of
the investments held by the Group.
IFRS 11 – Joint arrangements and IAS 28 (2011) – Investments in associates and joint ventures
IFRS 11 supersedes IAS 31 - Interests in joint ventures - and SIC-13 Jointly Controlled Entities - Non-
monetary Contributions by Venturers and eliminates the option of recognising the jointly controlled
companies using the proportionate consolidation method. Jointly controlled companies that comply
with the definition of a joint venture must be carried at equity.
Following the introduction of the new IFRS 10 and 12, IAS 28 was renamed Investments in associates
and joint ventures and describes the application of the shareholders’ equity method for investments in
jointly-controlled companies, in addition to associates.
There are no significant impacts on the Group’s consolidated financial statements following the
application of these amendments.
IFRS 12 - Disclosure on interests in other entities
IFRS 12 indicates the disclosure requirements for interests in subsidiaries, joint-control arrangements,
associated companies and structured entities. The requirements of IFRS 12 are more complete with
respect to the previous disclosure requirements for subsidiaries, for example in the case where an
entity exercises control with less than the majority of the voting rights. The Group does not hold
interests in subsidiary companies in which significant minority interests are present, furthermore it
does not hold interests in non-consolidated structured entities. The information required by IFRS 12 is
presented in the explanatory notes.
Amendments to IFRS 10, IFRS 12 and IAS 27 - Investment entities
These amendments - which must be applied retrospectively - apply to a particular class of business
that qualifies as investment entities pursuant to IFRS 10 - Consolidated Financial Statements. This
exception to the consolidation requires that an investment entity must evaluate the performance of its
subsidiaries on a fair value basis through the income statement. These amendments did not impact
the Group since no entity belonging to the Group qualifies as an investment entity pursuant to IFRS
10.
Amendments to IAS 32 – Offsetting financial assets and liabilities
These amendments, which apply retrospectively, clarify the meaning of “currently has a legally
enforceable right to set off the recognised amounts” and the offsetting criteria in the case of settlement
systems (such as centralised clearing houses) which apply mechanisms for non-simultaneous gross
settlements.
These amendments did not have any impact on the Group's consolidated financial statements.
Amendments to IAS 36 - Supplementary information on the recoverable value of the non-
financial assets.
These amendments remove the consequences unintentionally introduced by IFRS 13 on the
disclosure requirements set by IAS 36. In addition, these amendments require disclosure of the
recoverable amount of any assets or CGU for which, during the period, an impairment loss has been