ING Direct 2015 Annual Report Download - page 224

Contents
Who we are
Report of the
Management
Board
Corporate
Governance
Consolidated
annual accounts
Parent company
annual accounts
Other
information
Additional
information
Basis of presentation
The parent company accounts of ING Bank N.V. are prepared in accordance with the financial reporting requirements included in Part
9 of Book 2, of the Dutch Civil Code. In accordance with subsection 8 of section 362, Book 2 of the Dutch Civil Code, the recognition and
measurement principles applied in these Parent company accounts are the same as those applied in the Consolidated annual
accounts, reference is made to Note 1 ‘Accounting policies’ of the Consolidated annual accounts. Investments in group companies are
accounted in the Parent company accounts according to the equity method.
The profit and loss account is drawn up in accordance with Section 402, Book 2 of the Dutch Civil Code.
A list containing the information referred to in Section 379 (1), Book 2, of the Dutch Civil Code has been filed with the office of the
Commercial Register of Amsterdam, in accordance with Section 379 (5), Book 2 of the Dutch Civil Code.
The total amount of equity in the parent company annual accounts equals Shareholders’ equity (parent) in the consolidated annual
accounts. Certain components within equity are different, as a result of the following presentation differences between the parent
company accounts and consolidated accounts:
• Unrealised revaluations including those related to cash flow hedges within consolidated group companies, presented in the
Revaluation reserve in the consolidated accounts, are presented in the Share of associates and joint ventures reserve in the parent
company accounts;
• Foreign currency translation on consolidated group companies, presented in the Currency translation reserve in the consolidated
accounts, is presented in the Share of associates and joint ventures reserve in the parent company accounts;
• Revaluations on investment property and certain participations recognised in income and consequently presented in Retained
earnings in the consolidated accounts, is presented in the Share of associates and joint ventures reserve in the parent company
accounts.
In 2015, ING Bank N.V. changed the presentation of the components of equity. Revaluation reserves related to the parent company,
previously presented as part of Other reserves, are now separately presented on the Parent company balance sheet and the Parent
company statement of changes in equity. The line ‘Legal reserves’ is renamed to ‘Legal and statutory reserves’ and comprises the
‘Share of associates and joint venture reserve’, the ‘Currency translation reserve’, ‘Statutory reserves’ and ‘Capitalised software’. The
net defined benefit asset/liability remeasurement reserve related to pension plans of subsidiaries, previously presented as part of
Other reserves, is now included in ‘Legal and statutory reserves – Share of associates and joint ventures reserve’ and the part that
relates to pension plans of ING Bank is included in the Revaluation reserve. The changed presentation improves transparency of
disclosures on the legal reserves and the non-distributable reserves. The 2014 comparatives were restated accordingly.
A legal reserve is carried at an amount equal to the share in the results of associates and joint ventures since their first inclusion at net
asset value less the amount of profit distributions to which rights have accrued in the interim. Profit distributions which can be
repatriated to the Netherlands without restriction are likewise deducted from the Share of associates and joint ventures reserve.
Accounting policies for the p
arent company
annual accounts
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