Barclays 2010 Annual Report Download - page 240

Notes to the financial statements
For the year ended 31st December 2010 continued
35 Acquisition of subsidiaries
Acquisition % Acquired
Goodwill/
(Gain on sale)
£m Date
Standard Life Bank PLC 100% (100) 1st January 2010
Citibank International PLC – Italian credit card business 100% (29) 31st March 2010
Tricorona 86% 13 26th July 2010
None of these acquisitions were individually material. Details of the net assets acquired and the consideration paid are set out in aggregate below.
The operating results of these acquisitions have been included from the dates acquired and, since acquisition, have contributed £142m to consolidated
income and £86m to consolidated profit before tax.
Carrying
Value pre-
Acquisition
£m
Fair Value
Adjustmentsa
£m
Fair Values
£m
Assets
Cash and balances at central banks 1,358 – 1,358
Financial assets designated at fair value held on own account 195 – 195
Derivative financial instruments 145 76 221
Loans and advances to banks 165 – 165
Loans and advances to customers 7,709 (96) 7,613
Other assets 83 10 93
Total assets 9,655 (10) 9,645
Liabilities
Deposits from banks (80) – (80)
Customer accounts (5,853) – (5,853)
Derivative financial instruments (104) (11) (115)
Debt securities in issue (2,782) 64 (2,718)
Subordinated liabilities (279) 53 (226)
Other liabilities (16) (36) (52)
Total liabilities (9,114) 70 (9,044)
Net assets acquired 541 60 601
Group share of assets acquired 535 53 588
Total consideration paid in cash 472
Goodwill 13
Gain on acquisitions 129
Acquisition related costs of £7m have been included in operating expenses.
Cashflows in respect of acquisitions
The aggregate net inflow of cash from the acquisition of the above Group entities was as follows:
2010
£m
Cash consideration on acquisitions (472)
Cash and cash equivalent acquired 1,358
Cash inflow on acquisition 886
Note
a. Fair value adjustments include revaluations and accounting policy re-alignments.
238 Barclays PLC Annual Report 2010 www.barclays.com/annualreport10