Barclays 2015 Annual Report Download - page 341

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43 Financial risks, liquidity and capital management
To improve transparency and ease of reference, by concentrating related information in one place, and to reduce duplication, disclosures required
under IFRS relating to financial risks and capital resources have been included within the Risk management and governance section as follows:
 Credit risk, on pages 144 to 170
 Market risk, on pages 171 to 180
 Capital risk, on pages 181 to 186
 Liquidity risk, on pages 187 to 204.
44 Non-current assets held for sale and associated liabilities
Accounting for non-current assets held for sale and associated liabilities
The Group applies IFRS 5 Non-current Assets Held for Sale and Discontinued Operations.
Non-current assets (or disposal groups) are classified as held for sale when their carrying amount is to be recovered principally through a sale
transaction rather than continuing use. In order to be classified as held for sale, the asset must be available for immediate sale in its present
condition subject only to terms that are usual and customary and the sale must be highly probable. Non-current assets (or disposal groups) held
for sale are measured at the lower of carrying amount and fair value less cost to sell.
Assets classified as held for sale
Portugal
2015
£m
BVP
2015
£m
Italy
2015
£m
Other
2015
£m
Total
2015
£m
Total
2014
£m
Available for sale financial investments 7 1,220 – 3 1,230 162
Loans and advances to customers 3,407 – 2,091 15 5,513 14,943
Property, plant and equipment 42 – – 86 128 92
Deferred tax assets – 22 – – 22 291
Other assets 28 756 27 104 915 557
Total 3,484 1,998 2,118 208 7,808 16,045
Balance of impairment unallocated under IFRS 5 (180) (22) (242) – (444) (471)
Total agreed to consolidated balance sheet 3,304 1,976 1,876 208 7,364 15,574
Liabilities classified as held for sale
Portugal
2015
£m
BVP
2015
£m
Italy
2015
£m
Other
2015
£m
Total
2015
£m
Total
2014
£m
Deposits from banks – – – – – (4,313)
Customer accounts (1,826) – (2,174) – (4,000) (6,827)
Repurchase agreements and other similar secured borrowing – – – – – (77)
Other liabilities (37) (1,858) (66) (36) (1,997) (1,898)
Total (1,863) (1,858) (2,240) (36) (5,997) (13,115)
Sale of the Portuguese business
The disposal group includes all assets and liabilities of the Portuguese Retail Banking, Wealth and Investment Management businesses and part of
the Portuguese Corporate banking business. This sale is part of the divestment of the Non-Core segment of the Group.
The Portuguese disposal was announced on 2 September 2015 and the sale is due to complete in Q116. A loss of £180m has been recognised in the
income statement within (loss)/profit on disposal of subsidiaries, associates and joint ventures.
Sale of Barclays Vida Y Pensiones
The disposal group includes all assets and liabilities of Barclays Vida Y Pensiones (BVP), a company offering life insurance, pension products and
services in Spain, Portugal and Italy. BVP was classified as held for sale in the first half of 2015 and is expected to be sold in the first half of 2016. A
loss of £22m has been recognised in the income statement within (loss)/profit on disposal of subsidiaries, associates and joint ventures.
Sale of the Italian business
The disposal group includes the assets and liabilities of the Italian Retail Banking business including mortgages. This sale is part of the divestment of
the Non-Core segment of the Group.
The Italian disposal was announced on 3 December 2015 and the sale is expected to complete in the first half of 2016. A loss of £258m has been
recognised in the income statement within (loss)/profit on disposal of subsidiaries, associates and joint ventures.
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