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78 Notes to the Consolidated Financial Statements Summary
Amendments to IFRS 7 – Disclosures – Offsetting financial assets and financial liabilities
The amendments introduce new disclosures in respect of offsetting financial assets and financial liabilities.
Those new disclosures are required for all recognised financial instruments that are set off in accordance
with IAS 32, Financial instruments: Presentation and those that are subject to an enforceable master
netting arrangement or similar agreement that covers similar financial instruments and transactions,
irrespective of whether the financial instruments are set off in accordance with IAS 32.
3. Revenue
2013 2012
CNY million CNY million
Sale of goods and provision of services 238,948 220,084
Rental income 77 114
239,025 220,198
4. Other (income)/operating expenses, net
2013 2012
CNY million CNY million
Expense on factoring 550 762
Government grants (465) (750)
Net gain on disposal of property, plant and equipment,
and intangible assets (985) (719)
Others 177 (679)
(723) (1,386)
Government grants
During the year ended December 31, 2013, the Group received unconditional government grants of
CNY307 million (2012: CNY588 million) in respect of its contributions to the development of research
and innovation in the People’s Republic of China (the “PRC”). These grants were directly recognised as
other income.
During the year ended December 31, 2013, the Group received government grants of CNY686 million
(2012: CNY523 million) which were conditional upon completion of certain research and development
projects. These grants were initially recognised in the consolidated statement of financial position as
deferred government grants and amortised through the consolidated statement of profit or loss on a
systematic basis in the same periods in which the related research and development expenses are incurred.
During the year ended December 31, 2013, conditional government grants of CNY158 million (2012:
CNY162 million) were recognised in profit or loss.