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Notes to the
consolidated
financial
statements
56
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2V) Newly issued IFRS not yet adopted
There are a number of IFRS issued as of the date of issuance of these financial statements but which have not yet been adopted,
which are listed below. Except as otherwise indicated, CEMEX expects to adopt these IFRS when they become effective.
• During 2011 and 2012, the IASB issued IFRS 9, Financial instruments: classication and measurement (“IFRS 9”), which as
issued, reflects the first part of Phase 1 of the IASB’s project to replace IAS 39. In subsequent phases, the IASB will address
impairment methodology, derecognition and hedge accounting. IFRS 9 requires an entity to recognize a financial asset or
a financial liability in its statement of financial position when, and only when, the entity becomes party to the contractual
provisions of the instrument. At initial recognition, an entity shall measure a financial asset or financial liability at its fair
value plus or minus, in the case of a financial asset or financial liability not at fair value through profit or loss, transaction
costs that are directly attributable to the acquisition or issue of the financial asset or financial liability. IFRS 9 is effective for
annual periods beginning on or after January 1, 2015, with early adoption permitted. CEMEX does not consider that current
IFRS 9 will have a significant effect on the classification and measurement of CEMEX’s financial assets and financial liabilities.
Nonetheless, CEMEX will evaluate the impact and will quantify the effect together with the other phases, when issued, to
make a comprehensive analysis.
• In May 2011, the IASB issued IFRS 10, Consolidated nancial statements (“IFRS 10”), effective beginning January 1, 2013.
IFRS 10 establishes principles for the presentation and preparation of consolidated financial statements when an entity
controls one or more other entities and replaces the consolidation requirements in SIC 12, Consolidation — Special Purpose
Entities and IAS 27. IFRS 10 builds on existing principles by identifying the concept of control as the determining factor
in whether an entity should be included within the consolidated financial statements of the parent company. An investor
controls an investee when it is exposed, or has rights, to variable returns from its involvement with the investee and has the
ability to affect those returns through its power over the investee. This standard also provides additional guidance to assist
in the determination of control where this is dicult to assess. CEMEX does not expect the application of IFRS 10 to have a
significant impact on its consolidated financial statements.
• In May 2011, the IASB issued IFRS 11, Joint arrangements (“IFRS 11”), effective beginning January 1, 2013. IFRS 11 addresses
inconsistencies in the reporting of joint arrangements by requiring an entity to classify the type of joint arrangement in
which it is involved by assessing its rights and obligations arising from the arrangement, as: a) joint operations, in which
the parties that have joint control of the arrangement have rights to the assets and obligations for the liabilities relating
to the arrangement; or b) joint ventures, in which the parties that have joint control of the arrangement have rights to the
net assets of the arrangement. The equity method should be applied as the single method to account for interests in joint
ventures. Meanwhile, joint operators should account for their interests in joint operations line-by-line considering their share
in the assets, liabilities, revenues and expenses of the arrangement. In conjunction with the issuance of IFRS 11, IAS 28
was amended. CEMEX does not expect the application of IFRS 11 to have a significant impact on its consolidated financial
statements.
• In May 2011, the IASB issued IFRS 12, Disclosure of interests in other entities (“IFRS 12”), effective beginning January 1,
2013, which is a new and comprehensive standard on disclosure requirements for all forms of interests in other entities,
including subsidiaries, joint arrangements, associates and unconsolidated structured entities. IFRS 12 will require an entity
to disclose information that enables users of financial statements to evaluate: a) the nature of, and risks associated with,
its interests in other entities; and b) the effects of those interests on its financial position, financial performance and cash
flows. CEMEX would modify its current disclosures regarding interest in other entities as required by IFRS 12, if applicable.
Nonetheless, CEMEX does not expect the application of IFRS 12 to have a significant impact on its consolidated financial
statements.