Annual Report 2010 - Enel.com

Economy and Finance received 17.36% of Enel SpA share
capital from its subsidiary Cassa Depositi e Prestiti (thereby
increasing its direct holding from 13.88% to 31.24%) as a
result of the share exchange provided for under the Decree
of the Minister for the Economy and Finance of November
30, 2010, published in the Gazzetta Ufficiale on December
16, 2010.
Other reserves - €10,791 million
Share premium reserve - €5,292 million
Legal reserve - €1,881 million
The legal reserve is formed of the part of net income that,
pursuant to Article 2430 of the Civil Code, cannot be distributed
as dividends.
Other reserves - €2,262 million
These include €2,215 million related to the remaining portion
of the value adjustments carried out when Enel was
transformed from a public entity to a joint-stock company.
Pursuant to Article 47 of the Uniform Tax Code (Testo Unico
Imposte sul Reddito), this amount does not constitute
taxable income when distributed.
Reserve from translation of financial statements in
currencies other than euro - €456 million
The increase in this aggregate for the year is attributable
Millions of euro
at Dec. 31, 2009
restated
to the net depreciation of the functional currency against
the foreign currencies used by subsidiaries.
Reserve from measurement of financial instruments
- €80 million
This item includes net gains recognized directly in equity
resulting from the measurement of cash flow hedging derivatives,
as well as unrealized gains arising in respect of
the fair value measurement of financial assets.
Reserve from disposal of holdings without loss of
control - €796 million
This item reports the gain posted on the public offering of
Enel Green Power shares, net of expenses associated with
the disposal (€95 million) and the related taxation (€43
million). The reserve will only be released to income if control
of Enel Green Power is lost.
Reserve from equity investments accounted for using
the equity method - €24 million
The reserve reports the share of comprehensive income to
be recognized directly in income for companies accounted
for using the equity method.
The table below shows the changes in gains and losses
recognized directly in equity, including minority interests,
with specific reporting of the related tax effects.
Gains/(Losses)
recognized in
equity for the
year
Released
to income
statement Taxes
at Dec. 31,
2010
Gains/(Losses) on change in the fair value of the
effective portion of CFH derivatives on energy
commodity prices and exchange rates (IAS 39) 495 175 105 (115) 660
Gains/(Losses) on change in the fair value of the
effective portion of CFH derivatives on interest and
exchange rates (IAS 39) (1,459) (85) 210 17 (1,317)
OCI of companies accounted for using equity method 8 16 - - 24
Reserve for fair value of financial investments available
for sale 321 380 6 (2) 705
Exchange rate differences (983) 2,323 - - 1,340
Net income on disposal of holdings without loss of
control - 839 - (43) 796
Total gains/(losses) recognized in equity (1,618) 3,648 321 (143) 2,208
209