HSBC 2005 Annual Report Download - page 320

HSBC HOLDINGS PLC
Notes on the Financial Statements (continued)
318
The fair value of financial assets accepted as collateral that have been sold or repledged is US$97,113 million. HSBC
is obliged to return equivalent securities.
These transactions are conducted under terms that are usual and customary to standard stock borrowing and lending
activities.
36 Minority interests
2005 2004
US$m US$m
Minority interests attributable to holders of ordinary shares in subsidiaries .................................. 3,618 2,957
Preference shares issued by subsidiaries ........................................................................................ 2,176 10,718
Total minority interests .................................................................................................................. 5,794 13,675
Preference shares issued by subsidiaries
2005 2004
US$m US$m
US$575m 6.36% non-cumulative preferred stock, Series B1 ................................................ 559 –
US$518m Floating rate non-cumulative preferred stock, Series F2 ....................................... 518 –
US$374m Floating rate non-cumulative preferred stock, Series G2 ...................................... 374 –
CAD175m Non-cumulative redeemable class 1 preferred shares, Series C3 .......................... 150 –
CAD175m Non-cumulative redeemable class 1 preferred shares, Series D3 .......................... 150 –
US$150m Depositary shares each representing 25% interest in a share of
adjustable rate cumulative preferred stock, Series D4 .......................................... 150 150
US$150m Cumulative preferred stock5 ................................................................................. 150 150
US$125m Dutch auction rate transferable securities preferred stock, Series A and B6......... 125 125
CAD125m
Non-cumulative redeemable class 1 preferred shares,
Series A redeemed in 2005 ................................................................................... –104
US$75m Cumulative preferred stock .................................................................................. –75
€1,400m 5.3687% non-cumulative Step-up Perpetual Preferred Securities ........................ –1,908
£700m 5.844% non-cumulative Step-up Perpetual Preferred Securities .......................... –1,354
US$1,350m 9.547% non-cumulative Step-up Perpetual Preferred Securities, Series 1 ........... –1,338
US$1,250m 4.61% non-cumulative Step-up Perpetual Preferred Securities ............................ –1,250
€750m 5.13% non-cumulative Step-up Perpetual Preferred Securities ............................ –1,025
£500m 8.208% non-cumulative Step-up Perpetual Preferred Securities .......................... –958
US$900m 10.176% non-cumulative Step-up Perpetual Preferred Securities, Series 2 ......... –889
€600m 8.03% non-cumulative Step-up Perpetual Preferred Securities ............................ –812
£300m 5.862% non-cumulative Step-up Perpetual Preferred Securities .......................... –580
2,176 10,718
From 1 January 2005, the Step-up Perpetual Preferred Securities are classified as financial liabilities under IAS 32
and are included in Subordinated liabilities.
1The series B preferred stock is redeemable, at the option of HSBC Finance Corporation, in whole or part, from 24 June 2010 at par.
2The Series F and Series G preferred stock are redeemable at par, at the option of HSBC USA Inc., in whole or part, on any dividend
payment date on or after 7 April 2010 and at any time from 1 January 2011, respectively.
3The Series C and Series D preferred stock are redeemable at a declining premium above par, at the option of HSBC Bank Canada, in
whole or part, from 30 June 2010 and 31 December 2010, respectively.
4The preferred stock has been redeemable, at the option of HSBC USA Inc., in whole or part, from 1 July 1999 at par.
5The preferred stock is redeemable, at the option of HSBC USA Inc., in whole or part, at any time on or after 1 October 2007 at par.
6The preferred stock of each series is redeemable, at the option of HSBC USA Inc., in whole or part, on any dividend payment date at
par.
All redemptions are subject to the prior consent of the Financial Services Authority and, where relevant, the local
banking regulator.
37 Called up share capital
Authorised
The authorised ordinary share capital of HSBC Holdings at 31 December 2005 and 2004 was US$7,500 million
divided into 15,000 million ordinary shares of US$0.50 each.
At 31 December 2005 and 2004, the authorised preference share capital of HSBC Holdings was 10 million non-
cumulative preference shares of £0.01 each, 10 million non-cumulative preference shares of US$0.01 each, and