ourexpertise - Crédit Agricole CIB

4CONSOLIDATED FINANCIAL STATEMENTS« consolidated reserves, Group share » item. When Crédit AgricoleCIB decreases its ownership percentage in an entity that remainsunder its exclusive control, the difference between the selling priceand the book value of minority interests sold is also recogniseddirectly in « consolidated reserves, Group share ».Those transaction costs are accounted for shareholders’ equity.For change in parent ownership interest in a subsidiary, goodwillremains the same. Tha carrying amounts of the controlling andnon-controlling interest are be adjusted to refl ect these changes.The Crédit Agricole CIB Group has granted shareholders of certainfully consolidated subsidiaries an undertaking to acquire theirholdings in these subsidiaries, at a price to be determined accordingto a predefi ned formula which takes account of future developmentsin their business. These undertakings are in substanceput options granted to the minority shareholders, which in accordancewith the provisions of IAS 32, means that the minority interestsare treated as a liability rather than as shareholders’ equity.As a result, the accounting treatment of put options granted tominority shareholders is now as follows:• when a put option is granted to the minority shareholders of analready-fully consolidated subsidiary, a liability is recognised inthe balance sheet in the amount of the estimated present valueof the strike price of the options granted to these shareholders.As the balancing entry for this debt, the portion of net assetsattributable to the minority interests concerned is reduced tozero and the balance is recorded as a deduction from shareholders’equity;• subsequent changes in the estimated strike price affect theamount of debt recorded under liabilities, with a balancingadjustment to shareholders’ equity. Symmetrically, subsequentchanges in the portion of the net assets attributable to minorityshareholders is cancelled through shareholders’ equity.If the parent losses control of a subsidiary, the gain or loss is measuredas the sold entity in full and the possible remaining investmentpart is accounted for in the balance sheet for its fair value atthe date of the loss of control.1.5 Impact of this change in accounting method relating to actuarialgains and losses (IAS 19)Since 1 January 2010, Crédit Agricole CIB has directly recordedactuarial gains and losses in shareholders’ equity and no longerin profi t and loss. If this method had been applied in 2009, theimpact on the net income would have amounted to +€17 million.162SHELF-REGISTRATION DOCUMENT CRÉDIT AGRICOLE CIB 2010