HSBC 2006 Annual Report Download - page 362

HSBC HOLDINGS PLC
Notes on the Financial Statements (continued)
Note 20
360
20 Interests in associates and joint ventures
Principal associates of HSBC
At 31 December 2006 At 31 December 2005
Carrying
amount
Fair
value
Carrying
amount
Fair
value
US$m US$m US$m US$m
Listed
Bank of Communications Co., Limited ........................ 2,710 11,065 2,480 4,143
Ping An Insurance (Group) Company of
China, Limited .......................................................... 2,037 6,825 1,837 2,274
The Saudi British Bank Limited ................................... 978 4,700 772 8,800
5,725 22,590 5,089 15,217
At 31 December 2006
Country of
incorporation
HSBC’s
interest in
equity capital
Issued
equity
capital
Listed
Bank of Communications Co., Limited ............................................................... PRC1 19.90% RMB45,804m
Ping An Insurance (Group) Company of China, Limited.................................... PRC119.90% RMB6,195m
The Saudi British Bank Limited .......................................................................... Saudi Arabia 40.00% SR3,750m
Unlisted
Barrowgate Limited2,3........................................................................................... Hong Kong 24.64% –
British Arab Commercial Bank Limited ............................................................. England 46.51% US$81m
£32m fully paid
£5m nil paid
Erisa S.A. ............................................................................................................. France 49.99% €115m
Financiera Independencia S.A. de C.V. .............................................................. Mexico 19.90% MXP64m
Industrial Bank Company Limited3,4 ................................................................... PRC115.98% RMB3,999m
Wells Fargo HSBC Trade Bank, N.A5 ................................................................ United States 20.00% –
AEA Investors (Cayman) I LP6,7
HSBC PE European No. 2 LP7,8
Montagu III LP7,8
Ortigas & Company LP9
Private Equity Portfolio (Investment) LP Inc7,8
1 People’s Republic of China.
2 Issued equity capital is less than HK$1 million.
3 Investment held through Hang Seng Bank Limited, a 62.14 per cent owned subsidiary of HSBC.
4 Industrial Bank Company Limited listed on the Shanghai Stock Exchange on 5 February 2007.
5 Issued equity capital is less than US$1 million.
6 Venture Capital Limited partnership. Address of principal place of business is c/o Walkers SPV Limited, Walker House, 87 Mary Street,
PO Box 908GT, George Town, Grand Cayman, Cayman Islands.
7 Limited partnership where the group owns more than 50 per cent but does not have control due to the limitations within these types
of entities.
8 Limited partnership. Address of principal place of business is 68 Upper Thames Street, London EC4V 3PE.
9 Limited partnership. Address of principal place of business is 9/F Ortigas Building, Ortigas Avenue, Pasig City, Philippines.
All the above investments in associates are owned by subsidiaries of HSBC Holdings. On 6 February 2006, HSBC
disposed of its 21.16 per cent shareholding in the Cyprus Popular Bank Limited (trading as Laiki Group).
HSBC had US$4,747 million (2005: US$4,317 million) of investments in associates and joint ventures listed in Hong
Kong.
For the year ended 31 December 2006, HSBC’s share of associates and joint ventures tax on profit was
US$279 million (2005: US$225 million), which is included within share of profit in associates and joint ventures in
the income statement.