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CONSOLIDATED FINANCIAL REPORT | EXPLANATORY NOTES
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B.14 CASH AND CASH EQUIVALENTS
Cash and cash equivalents include cash, demand bank deposits and other short-term investments, with
original maturities of three months or less. Current account overdrafts are classified as financial payables
under current liabilities in the statement of financial position.
B.15 ASSETS AND LIABILITIES HELD FOR SALE
Assets and liabilities held for sale are classified as such if the carrying amount will be recovered principally
through a sale transaction; for this to be the case, the sale must be highly probable and the related
assets/liabilities must be available for immediate sale in their present condition. Assets/Liabilities held for
sale are measured at the lower of carrying amount and fair value less costs to sell.
B.16 TRADE AND OTHER PAYABLES
Trade and other payables are initially recognised at fair value and subsequently valued on the basis of the
amortised cost method.
B.17 BORROWINGS FROM BANKS AND OTHER LENDERS
Borrowings from banks and other lenders are initially recognised at fair value, less directly attributable costs.
Subsequently, they are measured at amortised cost, using the effective interest method. If the estimated
expected cash flows should change, the value of the liabilities is recalculated to reflect this change using the
present value of the expected new cash flows and the effective internal rate originally established.
Borrowings from banks and other lenders are classified as current liabilities, except where the Group has an
unconditional right to defer their payment for at least twelve months after the reporting date.
Borrowings from banks and other lenders are derecognised when they are extinguished and when the Group
has transferred all the risks and costs relating to such instruments.
Purchases and sales of financial liabilities are accounted for on a settlement-date basis.
B.18 EMPLOYEE BENEFITS
Pension plans
The Group operates both defined contribution plans and defined benefit plans.