BG Group is preparing for the adoption of International Financial
Reporting Standards (IFRS) as its primary accounting basis
for the year ending 31 December 2005.
As part of this transition, BG Group will publish within its
2004 Annual Report and Accounts released today its re-stated
financial information under IFRS, including :-
-
The balance sheet at 1 January 2003 - the date
of transition to IFRS based financial reporting.
-
Primary
Financial Statements for the 2003 and 2004 financial years
under IFRS.
-
The opening balance sheet at 1 January 2005 - following
the adoption of IAS 32 and IAS 39 relating to financial
instruments.
The re-stated information under IFRS as included in the 2004
Annual Report and Accounts has been audited by PricewaterhouseCoopers
LLP.
An explanation of the re-stated financial information can
be found in the briefing document which can be accessed via
the IFRS
information page.
Further
financial information, including accounting policies and
the special purpose audit report, is
contained within our 2004
Annual Report and Accounts which
will be downloadable from midday
today.
A webcast and call will be hosted by Chief Financial Officer,
Ashley Almanza on Monday 21 March at 11.00 am UK time to provide
a briefing on the transition to IFRS. The webcast will include
time for questions.
To
view the webcast or download a copy of the briefing document
please visit the following page on our website:
The main changes to
BG Group’s reported financial information
from the adoption of IFRS are as a result of :
-
The requirement not to amortise goodwill
-
Differences in
accounting for employee benefits, principally pensions
and share-based payments.
-
Recognition of additional deferred
tax balances
-
Immediate recognition of certain items of
deferred income
-
Different treatment of regulatory cost
pass through at Comgas
-
A change in the timing of recognition
of dividends
In addition, with the introduction of IAS 32 and IAS 39 from
1 January 2005, certain items classified as derivative instruments,
including a number of long term UK gas contracts will be required
to be marked to market.
Speaking today, Ashley Almanza, Chief Financial Officer commented “The
financial information provided today shows clearly the overall
immaterial effect of IFRS on BG Group’s recent results.
The Group will commence reporting under IFRS with the 2005
first quarter results and will separately identify the re-measurement
of derivative instruments under IAS 32 and IAS 39. The adoption
of IFRS will have no effect on the Group’s strategy,
operations or cash flow.”
Enquiries:
Communications
+44 (0) 118 929 3717
Out of hours media assistance:
+ 44 (0)7917 185 707
Investor Relations:
+44 (0) 118 929 3025
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