Blue Label Telecoms Integrated Annual Report 2015

NOTES TO THE GROUP ANNUAL FINANCIAL STATEMENTS

CONTINUED

For the year ended 31 May 2015

BLUE LABEL INTEGRATED ANNUAL REPORT 2015

SIGNIFICANT ACCOUNTING POLICIES continued

Standards, amendments and interpretations not yet effective continued

Amendments to IFRS 10 –

Consolidated Financial Statements

and IAS 28 –

Investments in

Associates and Joint Ventures

– on sale or contribution of assets

The IASB has issued this amendment to eliminate the inconsistency between IFRS 10 and IAS 28. If the

non-monetary assets sold or contributed to an associate or joint venture constitute a “business”, then

the full gain or loss will be recognised by the investor. A partial gain or loss is recognised when a

transaction involves assets that do not constitute a business, even if these assets are housed in a

subsidiary.

This statement is effective for periods beginning on or after 1 January 2016. The Group is currently

considering the impact on the consolidated financial statements.

Amendments to IFRS 10 –

Consolidated Financial Statements

and IAS 28 –

Investments in

Associates and Joint Ventures

– on applying the consolidation exemption

The amendments clarify the application of the consolidation exception for investment entities and

their subsidiaries.

This statement is effective for periods beginning on or after 1 January 2016. The Group does not

believe the statement will have a significant impact, given that the Group does not apply the

exemption currently.

Amendment to IFRS 11 –

Joint Arrangement –

on acquisition of an interest in a joint

operation

This amendment adds new guidance on how to account for the acquisition of an interest in a joint

operation that constitutes a business. The amendments specify the appropriate accounting treatment

for such acquisitions.

This statement is effective for periods beginning on or after 1 January 2016. The Group is currently

considering the impact on the consolidated financial statements.

IFRS 14 –

Regulatory Deferral Accounts

The IASB has issued IFRS 14, an interim standard on the accounting for certain balances that arise

from rate-regulated activities (regulatory deferral accounts).

This statement is effective for periods beginning on or after 1 January 2016 and is not applicable to

the Group.

Amendments to IAS 1 –

Presentation of Financial Statements –

disclosure initiative

In December 2014 the IASB issued amendments to clarify guidance in IAS 1 on materiality and

aggregation, the presentation of subtotals, the structure of financial statements and the disclosure of

accounting policies.

This statement is effective for periods beginning on or after 1 January 2016. The Group is currently

considering the impact on the consolidated financial statements.