HSBC 2005 Annual Report Download - page 116

HSBC HOLDINGS PLC
Financial Review (continued)
114
Notes
(i) Average balances are based on daily averages for the principal areas of HSBC’s banking activities with monthly or less frequent
averages used elsewhere.
(ii) In 2004 ‘Loans accounted for on a non-accrual basis’ and ‘Loans on which interest has been accrued but suspended’ were included in
‘Loans and advances to banks’ and ‘Loans and advances to customers’. Interest income on such loans was included in the
consolidated income statement to the extent to which it had been received.
(iii)Balances and transactions with fellow subsidiaries are reported gross in the principal commercial banking and consumer finance
entities within ‘Other interest-earning assets’ and ‘Other interest-bearing liabilities’ as appropriate and the elimination entries are
included within ‘Other operations’ in those two categories.
(iv) Other than as noted in (iii) above, ‘Other operations’ comprise the operations of the principal commercial banking and consumer
finance entities outside their domestic markets and all other banking operations.
(v) In 2004 non-equity minority interests were included within shareholders’ equity and other non interest-bearing liabilities and the
related coupon payments were included within ‘Profit attributable to minority interests’.