Ubisoft 2009 Annual Report Download - page 89

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Standards Option chosen
IFRS 2 Share-based payments The Group has chosen to apply IFRS 2 only to equity instruments issued
after November 7, 2002 for which rights had not yet vested at December
31, 2004. Similarly, liabilities resulting from transactions for which
payment is based on shares and which had been settled before
December 31, 2004 have not been restated.
IFRS 3 Business combinations The Group has not made any retrospective adjustments for business
combined before January 1, 2004.
IAS 19 Pension commitments and similar
employee benefits
Total unrecognized actuarial differences linked to the corridor existing on
the transition date have been fully recognized under balance sheet
liabilities by writing off against equity.
IAS 21 Translation adjustments due to
foreign activities
Translation differences at January 1, 2004 relative to the exchange rates
used for overseas activities in financial statements have been rebooked
under consolidated reserves in the transitional balance sheet.
IAS 39 Financial instruments Certain financial instruments have been classed as "financial assets
held-for-sale" or "financial assets at fair value through profit and loss"
from the application date of IAS 39 and not from their initial recognition.
Standards published but whose application is not yet mandatory
Ubisoft has not opted for an early application of the new standards, amendments or interpretations published at
March 31, 2010 (adopted or being adopted by the European Union) and presented below:
Standards Consequences for the Group
IFRS 3 and
IAS 27 (revised in
2008)
Business combinations and
consolidated and separate
financial statements
(applicable for the accounting
treatment of business
combinations to accounting
periods starting from July 1,
2009)
The purchase and disposal of minority interests without loss of control will be
recorded as equity transactions. For each acquisition of partial control, the
new standard will also offer the option of recognizing goodwill either on a
100% basis, or on the percentage stake acquired (with no subsequent
modifications if minority interests are bought out later).
Costs relating to a business combination will be recorded directly in
expenses.
Disposals of minority interests that result in a loss of control will require
measurement of the retained interest at fair value.
The Group will therefore have to change the recognition of its future business
combinations, and of future transactions concerning minority interests.
IAS 39 (revised) Instruments eligible for hedge
accounting
(applicable to accounting
periods starting from July 1,
2009)
This text specifies that time value must not be taken into account in a
hedging relationship and that inflation may only be classed as a hedged item
under certain conditions.
This text will have no effect on the Group's consolidated financial reports.
IFRIC 17 Distribution of non-cash assets
to shareholders
(applicable to accounting
periods starting from July 1,
2009)
This text specifies the accounting treatment of distributions of dividends in
kind (excluding distributions under joint control): the fair value of assets
distributed must be recognized as a payable on the date of the decision to
distribute, while the difference from the net carrying amount of distributed
assets must be booked in income on the date of distribution.
Application of this standard is mandatory for distributions in periods
beginning after July 1, 2009, i.e. FY 2010 for the Group. Consequently, there
will be no impact on previous periods shown in the Group's consolidated
financial statements for 2010.
IFRIC 18 Transfers of assets from
customers
(applicable to accounting
periods starting from July 1,
2009)
This text specifies the accounting treatment of transfers of elements of
property, plant and equipment by entities receiving such transfers from their
customers.
IFRIC 18 is applicable prospectively for transfers of assets from customers
received from July 1, 2009 onwards. Early application is permitted on
condition that valuations and other information required in order to apply
IFRIC 18 to the transfers that have been carried out have been obtained at
the time the transfers take place.
This text will have no effect on the Group's consolidated financial reports.