11.- NON-CURRENT ASSETS HELD FOR SALE, LIABILITIES LINKED TO NON-CURRENT ASSETS HELD FOR SALE AND DISCONTINUED OPERATIONS

In accordance with IFRS 5, Non-current assets classified as held for sale and discontinued operations (see Note 4.7), the group has classified non-strategic assets under this heading which, pursuant to the Strategic Plan, are undergoing divestment with committed sales plans.

The assets classified as held for sale, after deducting their liabilities, were measured at the lower of their carrying amount and the expected sales price minus costs.

Specifically, Sotocaribe, S.L and Capredo Investments GmbH are classified as discontinued operations; these companies represented the entirety of the Group’s property activity.

In addition, in 2017 the Group transferred the property in which the NH Barbizon Palace hotel is located to non-current assets held for sale, which was disposed of outside the Group on 30 January 2018 (see Note 8 and 28).

Sotocaribe, S.L. was consolidated by the equity method, while Capredo Investments, GmbH was changed to the global method following the acquisition of the remaining 50% of the company by the Group Company on 28 December 2016

Consolidated balance sheets. Headings of Non-current assets and liabilities classified as held for sale:

A movement by balance headings of the assets and liabilities presented under the corresponding Held for Sale headings at 31 December 2017 and 2016 is shown below (in thousands of euros):

	31.12.2016	Net variation	Transfers (see note 7)	31.12.2017
Property, plant and equipment	12.113	(3.174)	66.621	75.560
Financial assets	34.556	(1.000)	-	33.556
Investments accounted for using the equity method	34.556	(1.000)	-	33.556
Cash	2	-	-	2
Other current assets	14	34	-	48
Non-current assets classified as held for sale	46.685	(4.140)	66.621	109.166
Other non-current liabilities	615	-	-	615
Trade payables	376	-	-	376
Other current liabilities	1.670	(284)	-	1.386
Liabilities associated with assets classified as held for sale	2.661	(284)	-	2.377

 

	31.12.2015	Net variation	Change in consolidation scope	31.12.2016
Property, plant and equipment	-	-	12.113	12.113
Financial assets	45.034	(3.714)	(6.764)	34.556
Investments accounted for using the equity method	45.034	(3.714)	(6.764)	34.556
Cash	-	-	2	2
Other current assets	-	-	14	14
Non-current assets classified as held for sale	45.034	(3.714)	5.365	46.685
Other non-current liabilities	-	-	615	615
Trade payables	-	-	376	376
Other current liabilities	-	-	1.670	1.670
Liabilities associated with assets classified as held for sale	-	-	2.661	2.661

The net changes column includes impairments associated with investments accounted for using the equity method.

Consolidated comprehensive profit and loss statements

The profit and loss of the discontinued operations shown in the accompanying consolidated comprehensive profit and loss statement is broken down by company as follows (in thousands of euros):

	Capredo Investments, GmbH	Sotocaribe, S.L.	Total
2017
Profit (loss) before tax	(92)	(186)	(278)
Profit (loss) for the year from discontinued operations net of tax	(92)	(186)	(278)
2016
Profit (loss) before tax	(159)	(2.115)	(2.274)
Profit (loss) for the year from discontinued operations net of tax	(159)	(2.115)	(2.274)

Consolidated cash flow statements

The consolidated cash flow statements for the fully consolidated companies in 2017 and 2016 are detailed below (in thousands of euros):

2017	Capredo Investment, GmbH
Total net cash flow from operating activities I	-
Total net cash flow from investment activities II	-
Total net cash flow from financing activities III	-
GROSS INCREASE/DECREASE IN CASH AND CASH EQUIVALENTS (I+II+III)	-
Effect of variations in the scope of consolidation (IV)	-
Cash and cash equivalents at the start of the financial year	2
Cash and cash equivalents at the end of the financial year	2

 

2016	Capredo Investment, GmbH
Total net cash flow from operating activities I	-
Total net cash flow from investment activities II	-
Total net cash flow from financing activities III	-
GROSS INCREASE/DECREASE IN CASH AND CASH EQUIVALENTS (I+II+III)	-
Effect of variations in the scope of consolidation (IV)	2
Cash and cash equivalents at the start of the financial year	-
Cash and cash equivalents at the end of the financial year	2