IAS 17 'Leases'

Bakkavor Group plc Monitor

Bakkavor Group plc Annual Report 2018
CR Monitor Issue: 
2019/0609
Company covered: 
Bakkavor Group plc
Period End: 
31 December, 2018
Report issued on 10 June 2019 covered the following practice issues:
Pronouncements
Additional disclosure as to the expected future impacts of adopting IFRS 15 Revenue from Contracts with Customers, IFRS 9 Financial Instruments, and IFRS 16 Leases.
Change
The equalisation of Guaranteed Minimum Pensions for men and women results in the recognition of a past service cost.
Change
A new section is added to the audit report covering the detection of irregularities including fraud.
Change
A property, plant and equipment impairment charge is recognised.
Change
A loss on disposal is recognised on the sale of a subsidiary.
Change
A bargain purchase gain is recognised on the acquisition of a subsidiary.

OneSavings Bank plc Monitor

OneSavings Bank plc Annual Report 2018
CR Monitor Issue: 
2019/0608
Company covered: 
OneSavings Bank plc
Period End: 
31 December, 2018
Report issued on 10 June 2019 covered the following practice issues:
Pronouncements
Adoption of IFRS 9 Financial instruments and IFRS 15 Revenue from contracts with customers, from 1 January 2018.
Pronouncements
Disclosure in respect of the expected impact of IFRS 16 Leases and amendment to IAS 12 Income Taxes.
Change
Disclosure of a new exceptional item.
Change
Information on the new post balance sheet event.
Change
Disclosure of information on net investment in finance lease and receivables.

Electrolux AB Monitor

Electrolux AB Annual Report 2018
CR Monitor Issue: 
2019/0501
Company covered: 
Electrolux AB
Period End: 
31 December, 2018
Report issued on 02 May 2019 covered the following practice issues:
Pronouncements
Restatement of comparative amounts following adoption of IFRS 15 Revenue from Contracts with Customers and IFRS 9 Financial Instruments.
Pronouncements
Extended disclosure on the expected impact of IFRS 16 Leases adoption.
Change
Disclosure of new key audit matters included in the Auditor’s Report.
Change
Discussion on contingent assets expected to be recognised in upcoming years.
Change
Additional information disclosed for associates presented in a tabular format.

Vifor Pharma Ltd. Monitor

Vifor Pharma Ltd. Annual Report 2018
CR Monitor Issue: 
2019/0421
Company covered: 
Vifor Pharma Ltd.
Period End: 
31 December, 2018
Report issued on 26 April 2019 covered the following practice issues:
Pronouncements
Restatement of financial statement due to the adoption of IFRS 15 Revenue from contracts with customers.
Pronouncements
Disclosure in respect of the impact of IFRS 9 Financial instruments.
Pronouncements
Additional disclosure in respect of the expected impact of the new standard IFRS 16 Leases.
Change
Disclosure of a new share-based payment plan.
Change
Additional disclosure in respect of a review of actuarial assumptions.

Disclosure of the impact of IFRS 16

This report reviews the IFRS 16 Leases disclosures for the annual reports of 20 listed companies, selected at random, with 31 December 2018 year ends. Two of the reports had early adopted IFRS 16 and for the other reports we evaluated the extent to which detailed quantification as to the expected impact of the standard was disclosed, in order to address points raised by the Financial Reporting Council (FRC) in its Annual Review of Corporate Governance and Reporting 2017/2018

This report builds on the findings from our equivalent report in May 2018 for a sample of 20 listed companies with 31 December 2017 year ends (New standard disclosure – IFRS 16 Leases). No early adopters were found in the sample at that time. Only two companies quantified the expected impact and there was great variety in the level of detail provided, with many not meeting FRC expectations.

Koninklijke Philips NV Monitor

Koninklijke Philips NV Annual Report 2018
CR Monitor Issue: 
2019/0412
Company covered: 
Koninklijke Philips NV
Period End: 
31 December, 2018
Report issued on 16 April 2019 covered the following practice issues:
Restatement
Recognition of a change in the segmental reporting structure including restatement of the prior year comparatives.
Pronouncements
Adopted IFRS 9 Financial Instruments (IFRS 9) and IFRS 15 Revenue from contracts with customers (IFRS 15) from 1st January 2018.
Pronouncements
Disclosures included in respect of the future impact of IFRS 16 Leases effective for accounting periods starting on or after 1 January 2019.
Change
Change in allocation of goodwill to cash generating units for impairment purpose.
Change
A quantified sensitivity analysis regarding accounting estimates and judgements in respect of the fair value of contingent consideration payable has been included in the Report this year.
Change
Disclosure in respect of post-balance sheet events has been included in the report.

LafargeHolcim Ltd Monitor

LafargeHolcim Ltd Annual Report 2018
CR Monitor Issue: 
2019/0406
Company covered: 
LafargeHolcim Ltd
Period End: 
31 December, 2018
Report issued on 9 April 2019 covered the following practice issues:
Restatement
IAS 29 Financial Reporting in Hyperinflationary Economies has been applied to the Argentinian figures included in the consolidation.
Pronouncements
IFRS 15 Revenue from Contracts with Customers and IFRS 9 Financial Instruments at 1 January 2018: the Report discloses the expected impact of new standards as well as amendments to standards to be adopted in the 2019 and 2020 annual reports.
Change
The retirement benefit plan disclosure presenting the disaggregation of plan assets has changed from the prior year. Additional disclosure is provided on the recent High Court ruling on equal guaranteed minimum pensions in the UK.
Change
An additional product line has been included within segmental reporting.
Change
After a reassessment of strategy, two cement factories in China are no longer classified as held-for-sale.

Diageo plc Interims Monitor

Interim Financial Report
CR Interim Monitor Issue: 
2019/0402
Period End: 
31 December 2019
Listing Status: 
Europe 350
ICB Industry Classification: 
3535 Distillers & Vintners
Auditor: 
PricewaterhouseCoopers
Pronouncements
Extended disclosure as to the future expected impacts of adopting IFRS 16 "Leases".
Pronouncements
Disclosure of an update to the impact of adopting IFRS 15 “Revenue from contracts with customers”.
Change
New disclosure in respect of exceptional items including recognition of a gain on disposal of a portfolio of brands.
Restatement
Restatement of comparative period financial asset and liability fair value analysis.

UDG Healthcare plc Monitor

UDG Healthcare plc Annual Report 2018
CR Monitor Issue: 
2019/0311
Company covered: 
UDG Healthcare plc
Period End: 
30 September, 2018
Report issued on 19 March 2019 covered the following practice issues:
Change
Exceptional items highlighted within a separate column on the face of the income statement.
Pronouncements
Extended disclosure in respect of the expected future impacts of new accounting standards including IFRS 9 "Financial instruments", IFRS 15 "Revenues from contracts with customers", and IFRS 16 "Leases".
Change
Deferred tax changes recognised following changes to US tax legislation.
Change
Recognition of a significant goodwill impairment.
Pronouncements
Presentation of a reconciliation of movements in liabilities arising from financing activities following adoption of an amendment to IAS 7 "Statement of cash flows".
Change
Detailed disclosure in respect of business disposal.

Euromoney Institutional Investor plc Monitor

Euromoney Institutional Investor plc Annual Report 2018
CR Monitor Issue: 
2019/0314
Company covered: 
Euromoney Institutional Investor plc
Period End: 
30 September, 2018
Report issued on 19 March 2019 covered the following practice issues:
Pronouncements
Additional disclosure in respect of the impact of new accounting standards including IFRS 9 “Financial instruments”, IFRS 15 “Revenue from contracts with customers” and IFRS 16 “leases”.
Change
Detailed discussion on the new key audit matter added in the auditor’s report.
Restatement
Change in methodology for allocation of corporate cost along with restatement of comparative figures.
Change
Deferred tax changes recognised following changes to US tax legislation.
Pronouncements
Presentation of a reconciliation of movements in liabilities arising from financing activities following adoption of an amendment to IAS 7 "Statement of cash flows".
Change
Extended disclosure in respect of contingent liabilities.