Barclays 2008 Annual Report Download - page 223

3
Financial statements
20 Investments in associates and joint ventures
Share of net assets
Associates Joint ventures Total
2008 2007 2008 2007 2008 2007
£m £m £m £m £m £m
At beginning of year 90 74 287 154 377 228
Share of results before tax 25 35 (6) 10 19 45
Share of tax (3) (2) (2) (1) (5) (3)
Share of post-tax results 22 33 (8) 914 42
New investments 6727 833 15
Acquisitions 62 56 1150 63 206
Disposals (20) (47) (117) (72) (137) (119)
Exchange and other adjustments 15 (33) (24) 38 (9) 5
At end of year 175 90 166 287 341 377
Goodwill included above:
Associates Joint ventures Total
2008 2007 2008 2007 2008 2007
£m £m £m £m £m £m
Cost
At beginning of year – 127 40 27 41
Disposals –(1) –(16) –(17)
Exchange and other adjustments ––4343
At end of year – –31 27 31 27
The Group has investments in two associates listed on the Johannesburg Stock Exchange. The fair value of the Group’s investment in Ambit Properties
Limited is £51m (2007: £42m) and in Pinnacle Point Group Limited, acquired during 2008, is £60m.
Acquisitions of joint ventures and associates
During the year the Group made additional investments in associates and joint ventures for aggregate cash consideration of £96m (2007: £221m),
including new associates and joint ventures amounting to £63m (2007: £206m) primarily relating to Pinnacle Point Group Limited.
Summarised financial information for the Group’s associates and joint ventures is set out below:
2008 2007
Joint Joint
Associates ventures Associates ventures
£m £m £m £m
Property, plant and equipment 788 104 588 632
Financial investments 124 – 239 8
Loans to banks and customers 271 2,883 516 2,372
Other assets 1,343 418 1,387 314
Total assets 2,526 3,405 2,730 3,326
Deposits from banks and customers 1,376 2,207 1,515 2,189
Other liabilities 985 890 902 458
Shareholders’ equity 165 308 313 679
Total liabilities 2,526 3,405 2,730 3,326
Net income 859 357 528 340
Operating expenses (732) (364) (404) (292)
Profit/(loss) before tax 127 (7) 124 48
Profit/(loss) after tax 52 (11) 104 40
The amounts included above, which include the entire assets, liabilities and net income of the investees, not just the Group’s share, are based on accounts
made up to 31st December 2008 with the exception of certain undertakings for which the amounts are based on accounts made up to dates not earlier
than three months before the balance sheet date.
Associates and joint ventures in 2008 includes £1,651m (2007: £1,728m) of assets, £1,525m (2007: £1,537m) of liabilities and £9m (2007: £18m) of
profit after tax in associates and joint ventures within the Absa Group.
The Group’s share of commitments and contingencies of its associates and joint ventures is £nil (2007: £6m).
Barclays PLC Annual Report 2008 221