Chrysler 2014 Annual Report Download - page 151

2014 | ANNUAL REPORT 149
Reclassifications
Certain prior year amounts have been reclassified to conform to the current year presentation.
New standards and amendments effective from January 1, 2014
The following new standards and amendments that are applicable from January 1, 2014 were adopted by the Group
for the purpose of the preparation of the Consolidated financial statements.
IFRS 11 - Joint arrangements
The Group adopted IFRS 11, as amended as of January 1, 2014. The adoption of this standard required the
reclassification of investments previously classified as jointly controlled entities under IAS 31 - Interests in joint
ventures, as either “joint operations” (if the Group has rights to the assets, and obligations for the liabilities, relating to
an arrangement) or “joint ventures” (if the Group has rights only to the net assets of an arrangement). The classification
focuses on the rights and obligations of the arrangements, as well as their legal form. Under the new standard, joint
ventures are accounted for under the equity method while joint operations are accounted for by recognizing the
Group’s share of assets, liabilities, revenues and expenses (these interests would have previously been accounted for
using the equity method under IAS 31).
As a result of the IFRS 11 retrospective application, the Group’s interest in Sevel S.p.A., a joint arrangement with
PSA-Peugeot and the Group’s interests in Fiat India Automobiles Limited, a joint arrangement with Tata Motor, were
classified as joint operations. Therefore, the Group recognized its share of assets, liabilities, revenues and expenses
instead of recognizing its interest in the net assets of the entities under the equity method. The Group’s interests in
joint arrangements which were classified as jointly controlled entities under IAS 31 and have been reclassified as Joint
ventures under IFRS 11 continue to be accounted for using the equity method. The reclassification of these interests
had no impact on these Interim Consolidated Financial Statements.
The impacts of the adoption of IFRS 11 on comparative amounts are set out below:
For the Year Ended December 31, 2013 For the Year Ended December 31, 2012
Amounts as
originally
reported IFRS 11
Amounts as
adjusted
Amounts as
originally
reported IFRS 11
Amounts as
adjusted
(€ million)
Items of Consolidated income statement
impacted by IFRS 11
Net revenues 86,816 (192) 86,624 83,957 (192) 83,765
Cost of sales 74,570 (244) 74,326 71,701 (228) 71,473
Selling, general and administrative costs 6,689 13 6,702 6,763 12 6,775
Research and development costs 2,231 5 2,236 1,850 8 1,858
Other income/(expenses) 68 9 77 (102) 34 (68)
Result from investments 97 (13) 84 107 (20) 87
EBIT 2,972 30 3,002 3,404 30 3,434
Net financial income/(expenses) (1,964) (23) (1,987) (1,885) (25) (1,910)
Tax (income)/expenses (943) 7 (936) 623 5 628
Net profit 1,951 — 1,951 896 — 896
Net profit attributable to
Owners of the parent 904 — 904 44 — 44
Non-controlling interests 1,047 — 1,047 852 — 852
Basic and diluted earnings per share
Basic earnings per ordinary share 0.744 — 0.744 0.036 — 0.036
Diluted earnings per ordinary share 0.736 — 0.736 0.036 — 0.036