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Consolidation scope
The consolidated financial statements of Mondial Assistance
Group comprise the annual accounts of Elmonda and
its subsidiaries, which are prepared in accordance with
the accounting and valuation principles of the Mondial
Assistance Group. Consolidated subsidiaries are listed
further in the notes to the consolidated financial statements.
Due to legal requirements in France in the year 2004, two new
insurance companies for assistance activities were founded:
Fragonard Assurance S.A. and FS2A S.A. The new companies
will take over the insurance business from Mondial Assistance
France S.A. and France Secours International Assistance.
The holding company Sacnas Développement S.A., France,
merged with Sacnas International S.A., France. Elucydée
S.A., France, was sold on June 30th, 2004.
Elvia Travel Insurance International N.V., Netherlands,
incorporated a new branch in the United Kingdom.
On Mauritius Island, the operation of Mascareignes Services
Assistance has been closed down and is in liquidation.
In Argentina, the company Mercosul Argentina SA ceased its
operations at the end of the year.
In Germany, Mondial Assistance Holding Deutschland,
Munich and Mondial Service GmbH, Wiesbaden merged into
Mondial Assistance Germany GmbH, Munich.
Consolidation principles
Subsidiaries have been recorded according to the full
consolidation method when subject to the majority control of
the Mondial Assistance Group. All intra-group transactions and
balances have been eliminated.
Interests in joint ventures are recognised by including the
accounts using the proportionate consolidation basis, i.e. by
including in the accounts under the appropriate financial
statement headings the Group's proportion of the joint venture
revenues, costs, assets and liabilities.
Equity investments in which the Mondial Assistance Group
owns at least 20% of the voting rights are accounted for using
the equity method, except for investments in which the
Mondial Assistance Group is not able to exercise significant
influence, in which case, the cost method is used.
Investments in which the company owns less than 20%, are
accounted for under the cost method.
The equity and net income attributable to minority shareholders'
interests are disclosed separately in the balance sheet and
income statement respectively.
The purchase method of accounting is used for acquired
businesses. Companies acquired or disposed of during the
year are included in the consolidated financial statements from
the date of acquisition or to the date of disposal respectively.
Notes to the consolidated financial statements of
Mondial Assistance Group