9 October 2008

Company Reporting is a pan-European service which identifies changes in corporate reporting practice and governance procedures by Europe's listed companies, including the development of, and instances of divergence from, generally accepted accounting practice under IFRS.

Editorial: Segmental information: An industry analysis - Gain on part disposal to minority interest recognised in income - Treasury shares reserve not adjusted for share cancellation - Gain on available-for-sale assets contributes 34.8% of profit - Gain on reduction in tax rate contributes 24.3% of post-tax profit - Goodwill excluded from acquisition table

Segmental information: An industry analysis In this issue we examine the segmental disclosures of a sample of companies from the S&P Europe 350 index on an industry basis to establish if any trends or patterns exist. The analysis focuses mainly on those sectors which depart from the norm and where there is a higher level of variability between companies. More in Members' Area

Gain on part disposal to minority interest recognised in income Finnish mobile phone maker Nokia has contributed one of its businesses to a new subsidiary in which it has a 50% interest and recognises €1.88 billion gain in the income statement, representing 22.7% of pre-tax profit. More in Members' Area

Treasury shares reserve not adjusted for share cancellation UK retailer Sports Direct International does not adjust its £201 million treasury shares reserve to reflect subsequent cancellation of nearly half of the shares purchased and thus does not show a true and fair view of either the amount of treasury shares retained or of distributable reserves. More in Members' Area

Gain on available-for-sale assets contributes 34.8% of profit UK retailer Sports Direct International recognises a £41.4 million gain on disposal, that represents more than a third of profit before tax. More in Members' Area

Gain on reduction in tax rate contributes 24.3% of post-tax profit UK property investment company Daejan Holdings reports a £13.2 million gain, arising from a reduction in the UK corporation tax rate, that represents 24.3% of post-tax profit. More in Members' Area

Goodwill excluded from acquisition table UK personal products company PZ Cussons recognises £21 million deferred tax on an acquired brand and increases goodwill by the same amount, disclosing this adjustment outside the fair value table but in the acquisitions note. More in Members' Area