64 REPORT ON THE CONSOLIDATED FINANCIAL STATEMENTS
The consolidated financial statements for 2014 of the Group and the entities that it comprises have not yet been approved by the shareholders at the
respective Annual General Meetings or by the respective shareholders or sole shareholders. Nonetheless, the directors of the Parent Company believe
that said financial statements will be approved without any significant changes. The consolidated financial statements for 2013 were approved by the
shareholders at the Annual General Meeting held on 26 June 2014 and filed with the Mercantile Registry of Madrid.
Since the accounting standards and valuation criteria applied in the preparation of the Group’s consolidated financial statements for 2014 may differ
from those used by some of its member companies, adjustments and reclassifications were used to standardise them and adapt them to IFRS as
adopted by the European Union.
2.1.1 Standards and interpretations effective in this period
In 2014 new accounting standards came into force and were therefore taken into account when preparing the accompanying consolidated financial
statements, but which did not give rise to a change in the Group’s accounting policies:
New standards, amendments and interpretations
Mandatory application
starting from:
Approved for use in the European Union
IFRS 10 Consolidated Financial Statements (published in May 2011)
Replaces the current consolidation requirements set by
IAS 27
01 January 2014
(1)
IFRS 11 - Joint Arrangements (published in May 2011)
Replaces the current IAS 31 on joint ventures
IFRS 12 - Disclosure of Interests in Other Entities (published in May 2011)
Single standard which establishes the disclosure of
interests in subsidiaries, associates, joint ventures and
unconsolidated entities
IAS 27 (Revised) - Separate Financial Statements (published in May 2011)
The standard has been reviewed, given that since the
issuance of IFRS 10 now only the separate financial
statements of an entity are included
IAS 28 (Reviewed) - Investments in Associates and Joint Ventures
(published in May 2011)
Parallel review relating to the issue of IFRS 11 Joint
Arrangements
Transitional rules: Amendment to IFRS 10, 11 and 12 (published in June
2012)
Clarification of the transitional rules for these standards
Investment companies: Amendment to IFRS 10, IFRS 12 and IAS 27
(published in October 2012)
Exception from consolidation for parent companies that
meet the definition of investment companies
01 January 2014
Amendment to IAS 32 Financial Instruments: Presentation - Offsetting
Financial Assets and Financial Liabilities (published in December 2011)
Further clarifications regarding the rules for offsetting
financial assets and liabilities under IAS 32
Amendment to IAS 36 - Recoverable amount disclosures for non-financial
assets (published in May 2013)
Clarifies when certain disclosures are required and
extends the requirements when the recoverable amount
is based on the fair value less selling costs
Amendments to IAS 39 - Novation of derivatives and continuation of
hedge accounting (published in June 2013)
The amendments establish the cases and criteria in
which the novation of derivatives does not necessarily
entail discontinuing hedge accounting
*(1) The European Union postponed the date of mandatory application by a year. The original date for application of the IASB was 1 January 2013.
The Group had opted for voluntary early adoption, beginning in 2013, of the following standards and interpretations, in force as of 2014:
IFRS 10 Consolidated Financial Statements
New regulations for consolidation, replacing the consolidation provisions of IAS 27 and interpretation SIC-12 on the consolidation of special purpose
entities. The main new feature is the change to the definition of control: power over an investee, exposure or rights to variable returns on investment,
and the ability to affect those returns.
This new definition and the entire new regulatory framework do not require changes to the consolidated companies.
IFRS 11 Joint Arrangements
Replaces IAS 31. The essential change brought about is the elimination of the proportional consolidation option for entities subject to joint control,
which shall be accounted for using the equity method.
This standard was applied early, from 1 January 2013. The impact of its application is detailed in the consolidated annual accounts for 2013.
2.1.2 Standards and interpretations issued and not in force
The most significant standards and interpretations published by the IASB on the date these consolidated annual accounts were drawn up but had
not yet entered into force either because the date of their entry into force was subsequent to the date of these consolidated annual accounts or
because they had not been endorsed by the European Union, were the following:
