Tullow Oil plc Annual Report 2011 - The Group

5Note 9. Shareholders’ fundsSharecapital$mSharepremium$mOtherreserves(note 10)$mProfit andloss account$mAt 1 January 2010 130.1 242.3 850.8 1,037.6 2,260.8Total recognised income and expense for the year – – – (47.1) (47.1)Issue of share capital 13.1 2.1 – 1,432.9 1,448.1New shares issued in respect of employee share options 0.3 7.1 – – 7.4Vesting of PSP shares – – – (0.2) (0.2)Share-based payment charges – – – 25.9 25.9Dividends paid – – – (79.2) (79.2)Translation reserveAt 1 January 2011 143.5 251.5 850.8 2,369.9 3,615.7Total recognised income and expense for the year – – – (16.5) (16.5)Issue of share capital 2.2 285.5 – – 287.7New shares issued in respect of employee share options 0.5 14.8 – – 15.3Vesting of PSP shares – – – (0.1) (0.1)Share-based payment charges – – – 38.1 38.1Dividends paid – – – (114.2) (114.2)Total$mFINANCIAL STATEMENTSAt 31 December 2011 146.2 551.8 850.8 2,277.2 3,826.0During 2011 the Company issued 3,531,546 ordinary shares via an equity placing in Ghana and 10,137,196 ordinary sharesin respect of the EO Group Limited transaction (2010: 80,431,796 ordinary shares via equity placing). In accordance with theprovisions of Section 612 of the Companies Act 2006, the Company has transferred the premium on the shares issued of $nilmillion ($nil million net of expenses) (2010: $1,464.8 million, $1,432.9 million net of expenses) using the market value at thedate of acquisition, to retained earnings as the premium is considered to be realised.Note 10. Other reservesMergerreserve$mTreasuryshares$mForeigncurrencytranslationreserve$mAt 1 January 2011 and 31 December 2011 671.6 (14.2) 193.4 850.8The treasury shares reserve represents the cost of shares in Tullow Oil plc purchased in the market and held by the Tullow OilEmployee Trust to satisfy options held under the Group’s share incentive plans (see note 11).Total$m163www.tullowoil.com