CONSOLIDATED
2015
2014
$m
$m
B. RECONCILIATION OF MOVEMENTS
Balance at the beginning of the financial year
572
577
Additional investment in existing associate
20
12
Disposal of investment in associate
-
(7)
Share of associates' net profit/(loss)
*
26
12
Impairment of investment in associate
(60)
-
Net foreign exchange movements
49
(21)
Dividends received
(46)
(1)
Balance at the end of the financial year
561
572
* The contribution of Asian-based associates to the net profit/(loss) of the Group in the statement of comprehensive income includes regional support and development
costs of $20 million (2014-$20 million).
C. SUMMARISED FINANCIAL INFORMATION OF ASSOCIATES
These disclosures relate to the investment in Asia (AmGeneral, SBI General and Bohai Insurance) as all other investments in
associates are not significant.
The summarised financial information is shown on a 100% basis, and is prepared in accordance with IFRS under Group accounting
policies, for the financial statements for the year ended 31 March 2015 for AmGeneral and SBI General and for the financial year
ended 31 December 2014 for Bohai Insurance. Accordingly, the following summarised information represents the financial position
and performance of the entities as a whole and not just IAG's share.
2015
2014
AmGeneral
Holdings
Berhad
SBI General
Insurance
Company
Limited
Bohai
Property
Insurance
Company Ltd
AmGeneral
Holdings
Berhad
SBI General
Insurance
Company
Limited
Bohai
Property
Insurance
Company Ltd
$m
$m
$m
$m
$m
$m
I. Summarised statement of
comprehensive income
Revenue
588
345
433
617
236
347
Profit/(loss) after tax
82
(20)
(13)
45
(17)
(17)
Other comprehensive income
6
-
3
(6)
-
-
Total comprehensive income
88
(20)
(10)
39
(17)
(17)
Dividends received from associate
46
-
-
1
-
-
II. Summarised balance sheet
Total assets
1,939
622
717
1,690
334
634
Total liabilities
(1,178)
(445)
(526)
(1,073)
(239)
(445)
Net assets as at reporting date
761
177
191
617
95
189
Group's ownership interest
373
46
38
302
25
38
Other adjustments
*
(15)
72
29
50
62
69
Carrying value as at 30 June
358
118
67
352
87
107
* Other adjustments include IFRS adjustments, foreign exchange revaluations, goodwill, intangibles, and share of profit/(loss) from financial statement date to 30 June.
During the year there was a $60 million writedown of the investment in Bohai Insurance. This was influenced by a revision to the
expected cash flows of the business, together with the indicated issue price of new shares in a capital raising in which IAG does not
intend to participate. The post-tax discount rate used was 13.5% (2014-13.5%).
87
