IMMOEAST Annual Report 2006/07

124 IMMOEAST Annual Report 2006/07
IAS 27.33
IAS 27.30
tion attributable to shareholders of the parent company and the portion attributable to the minority shareholders of
the subsidiaries. The same applies to the consolidated income statement: the income and expenses of the subsidiaries
are consolidated in full, and profit is then separated into a portion attributable to the parent company and a portion
attributable to the minority shareholders. All intragroup balances, transactions, income and expenses must be
eliminated. Minority interests are presented separately in the consolidated balance sheet within equity, but shown
separately from the equity of the parent company’s shareholders. Minority interests in the profit or loss of the group
are also reported separately. In addition to IMMOEAST, these consolidated financial statements include 89 domestic
and 119 foreign subsidiaries in which IMMOEAST directly or indirectly holds the majority of shareholder voting rights
or can exercise legal or actual control.
2.2.4 Deconsolidation
When a subsidiary is sold, the assets and liabilities of this company are no longer included in the consolidated financial
statements. The income and expenses of the deconsolidated subsidiary are included in the consolidated financial
statements until the date on which control is lost, and the sold share of profit is treated as a reduction of the
proceeds from the deconsolidation in order to avoid double-counting.
The profits accumulated by the deconsolidated subsidiary during its membership in the group influence the proceeds
from the deconsolidation because these profits were recognised in the consolidated financial statements during
prior periods.
In the deconsolidation of foreign subsidiaries, the proceeds from the deconsolidation are increased or decreased
to reflect the cumulative amount of any exchange differences that were recognised in equity during the subsidiary’s
membership in the group.
2.2.5 Transition consolidation (step acquisitions)
A business combination achieved in stages (transition consolidation or step acquisition) represents the successive
purchase of shares in subsidiaries through various transactions until control over the company is reached. In accordance
with IFRS 3.58, goodwill must be determined separately for each exchange transaction based on the relevant
cost and revalued net assets on the respective transaction dates. The share of undisclosed reserves attributable to the
previous investment is included under the revaluation reserve, which is to be treated as a revaluation reserve in accordance
with IAS 16 independent of any other application of the revaluation model defined in IAS 16 by the group.
When there is a changeover from proportionate to full consolidation, the income statement is included on a proportionate
basis until control is obtained over the net assets of the company; after this point, the income statement is
included in full. The share of profit attributable to the joint venture partner up to this point is eliminated as acquired
capital during the consolidation.
2.3. Development of the consolidation range
The consolidation range changed during the reporting year as follows:
Full Proportionate Equity
Consolidation range consolidation consolidation method Total
Balance on 30 April 2006 97 53 4 154
Newly consolidated 86 61 2 149
Disposal -2 0 -1 -3
Change in consolidation method 27 -25 -2 0
Balance on 30 April 2007 208 89 3 300
Thereof foreign companies 121 88 3 212