996 - Banca Antonveneta

transactions, (iii) comparable transactions method,(iv) stock market multiples method, (v) analyticalmethods: financial, income and equity.Consistently with the logic for measuring anddetermining the fair value used in the valuationprocedure, various techniques were used, with referenceto the unique characteristics of the company beingvalued and the availability of data and information, alsowith regard to the difficulty in acquiring information.Should it not be possible to calculate the fair valuereliably or if the application of such methods isinappropriate on account of the excessive variability ofthe estimates, the cost of the equity investment is kept.In any case, all the equity investments undergo theimpairment test (aimed at identifying and valuating anydurable loss in value connected with the lowering payingcapacity of the issuer).Regarding the price risk, variations (also potential) inthe fair value are periodically monitored and estimatedusing the same instruments available for financialstatement valuations. Similarly, the profitability of theinvestment, both in terms of increase/decrease in equityand in economic terms, is monitored over time using ananalysis of economic results and the equity and financialstructure of the company.If there are signs of durable losses and/or difficulties ingenerating adequate returns on the investment (alsoindirect returns, benefiting the Bank’s traditionaloperations) or the strategic value of the equityinvestment in the company is decreased, the next phaseinvolves assessing the disposal of the investment.B. Price risk hedging activitiesFor equities representing Minority Interests, currentlythere are fair value hedging activities in place (in thecase where the price is generated by an active market orin the case of unlisted securities, whose fair value canvary following changes in sector and/or market rates orother circumstances linked to operations, or othercompany events) only for two equity investments,recognised in the financial statements at an irrelevantoverall value (135 thousand euro approximately). Onthese investments the Bank has two sale options, whichguarantee the collection of a price corresponding to theamount paid for the purchase of those shares(increased, if appropriate, with all the capital payments).In any event, attentive monitoring of such figures iscarried out, quickly adjusting the fair value when suchamounts undergo significant changes, with the intentionof studying possible hedging solutions, to be activated incase such instruments are considered necessary.345