Reallocation of goodwill for which impairment testing assumptions not disclosed previously Danish brewer Carlsberg reallocates the goodwill in a separate cash-generating unit (CGU) to its Northern & Western Europe CGU and, although not stated explicitly in its previous disclosure, tells us that the assumptions used in testing goodwill for impairment in prior years were the same for both CGUs.
Aggregation criteria applied to disclosure of other comprehensive income and tax effects Danish healthcare company Novo Nordisk applies aggregation to the components and tax effects of other comprehensive income that, on the face of it, conflicts with IFRS but tells us that this is on the grounds of materiality.
Proposal to end deferral loophole on corporate bonds draws comment Danish Bank Danske Bank draws attention, in its discussion of impending changes in IFRS, to the implicit intention of the International Accounting Standards Board no longer to permit deferral of movements in the fair value of corporate bonds, the company having last year adopted this classification for DKK117 billion corporate bonds.
Intra-group eliminations not shown in reconciliation of segmental profit Danish Vestas Wind Systems eliminates intra-group items in its reconciliations to consolidated figures of segmental revenue and assets but not in that of profit.
41% goodwill not tested “formally” for impairment Although stating that goodwill has been tested for impairment, Danish biotechnology company Novozymes discloses subsequently that it has not “formally” tested the DKK183 million or 41% of all goodwill allocated to its Enzyme Business, leading to a lack of clarity.
When testing an associate for impairment, Danish transporter AP Moller-Maersk (Maersk) tells us that value in use cannot be lower than its share of the associate’s equity.