Page 61 - Annual Report 2013
P. 61
Annual Report 2013
Standards and Interpretations effective for the current financial year
IAS 1 (Amendment) “Presentation of Financial Statements”
The amendment requires entities to separate items presented in other comprehensive income into two
groups, based on whether or not they may be recycled to profit or loss in the future.
IAS 19 (Amendment) “Employee Benefits”
This amendment makes significant changes to the recognition and measurement of defined benefit
pension expense and termination benefits (eliminates the corridor approach) and to the disclosures for
all employee benefits. The key changes relate mainly to recognition of actuarial gains and losses, rec-
ognition of past service cost/curtailment, measurement of pension expense, disclosure requirements,
treatment of expenses and taxes relating to employee benefit plans and distinction between “short-
term” and “other long-term” benefits.
IAS 12 (Amendment) “Income Taxes”
The amendment to IAS 12 provides a practical approach for measuring deferred tax liabilities and
deferred tax assets when investment property is measured using the fair value model in IAS 40 “Invest-
ment Property”.
IFRS 13 “Fair Value Measurement”
IFRS 13 provides new guidance on fair value measurement and disclosure requirements. These
requirements do not extend the use of fair value accounting but provide guidance on how it should
be applied where its use is already required or permitted by other standards within IFRSs. IFRS 13
provides a precise definition of fair value and a single source of fair value measurement and disclosure
requirements for use across IFRSs. Disclosure requirements are enhanced and apply to all assets and
liabilities measured at fair value, not just financial ones.
IFRS 7 (Amendment) “Financial Instruments: Disclosures”
The IASB has published this amendment to include information that will enable users of an entity’s
financial statements to evaluate the effect or potential effect of netting arrangements, including rights
of set-off associated with the entity’s recognised financial assets and recognised financial liabilities, on
the entity’s financial position.
IFRIC 20 “Stripping costs in the production phase of a surface mine”
This interpretation sets out the accounting for overburden waste removal (stripping) costs in the
production phase of a mine. The interpretation may require mining entities to write off existing stripping
assets to opening retained earnings if the assets cannot be attributed to an identifiable component of
an ore body. IFRIC 20 applies only to stripping costs that are incurred in surface mining activity during
the production phase of the mine, while it does not address underground mining activity or oil and
natural gas activity.
Amendments to standards that form part of the IASB’s 2011 annual improvements project
The amendments set out below describe the key changes to IFRSs following the publication in May
2012 of the results of the IASB’s annual improvements project.
IAS 1 “Presentation of financial statements”
The amendment clarifies the disclosure requirements for comparative information when an entity pro-
vides a third balance sheet either (a) as required by IAS 8 “Accounting policies, changes in accounting
estimates and errors” or (b) voluntarily.
IAS 16 “Property, plant and equipment”
The amendment clarifies that spare parts and servicing equipment are classified as property, plant and
equipment rather than inventory when they meet the definition of property, plant and equipment, i.e.
when they are used for more than one period.
Financial Statements as at 31 December 2013 (Amounts in Euros unless otherwise stated). 20 of 58
Standards and Interpretations effective for the current financial year
IAS 1 (Amendment) “Presentation of Financial Statements”
The amendment requires entities to separate items presented in other comprehensive income into two
groups, based on whether or not they may be recycled to profit or loss in the future.
IAS 19 (Amendment) “Employee Benefits”
This amendment makes significant changes to the recognition and measurement of defined benefit
pension expense and termination benefits (eliminates the corridor approach) and to the disclosures for
all employee benefits. The key changes relate mainly to recognition of actuarial gains and losses, rec-
ognition of past service cost/curtailment, measurement of pension expense, disclosure requirements,
treatment of expenses and taxes relating to employee benefit plans and distinction between “short-
term” and “other long-term” benefits.
IAS 12 (Amendment) “Income Taxes”
The amendment to IAS 12 provides a practical approach for measuring deferred tax liabilities and
deferred tax assets when investment property is measured using the fair value model in IAS 40 “Invest-
ment Property”.
IFRS 13 “Fair Value Measurement”
IFRS 13 provides new guidance on fair value measurement and disclosure requirements. These
requirements do not extend the use of fair value accounting but provide guidance on how it should
be applied where its use is already required or permitted by other standards within IFRSs. IFRS 13
provides a precise definition of fair value and a single source of fair value measurement and disclosure
requirements for use across IFRSs. Disclosure requirements are enhanced and apply to all assets and
liabilities measured at fair value, not just financial ones.
IFRS 7 (Amendment) “Financial Instruments: Disclosures”
The IASB has published this amendment to include information that will enable users of an entity’s
financial statements to evaluate the effect or potential effect of netting arrangements, including rights
of set-off associated with the entity’s recognised financial assets and recognised financial liabilities, on
the entity’s financial position.
IFRIC 20 “Stripping costs in the production phase of a surface mine”
This interpretation sets out the accounting for overburden waste removal (stripping) costs in the
production phase of a mine. The interpretation may require mining entities to write off existing stripping
assets to opening retained earnings if the assets cannot be attributed to an identifiable component of
an ore body. IFRIC 20 applies only to stripping costs that are incurred in surface mining activity during
the production phase of the mine, while it does not address underground mining activity or oil and
natural gas activity.
Amendments to standards that form part of the IASB’s 2011 annual improvements project
The amendments set out below describe the key changes to IFRSs following the publication in May
2012 of the results of the IASB’s annual improvements project.
IAS 1 “Presentation of financial statements”
The amendment clarifies the disclosure requirements for comparative information when an entity pro-
vides a third balance sheet either (a) as required by IAS 8 “Accounting policies, changes in accounting
estimates and errors” or (b) voluntarily.
IAS 16 “Property, plant and equipment”
The amendment clarifies that spare parts and servicing equipment are classified as property, plant and
equipment rather than inventory when they meet the definition of property, plant and equipment, i.e.
when they are used for more than one period.
Financial Statements as at 31 December 2013 (Amounts in Euros unless otherwise stated). 20 of 58
