14. Investments in Associates and
Joint Ventures
-
-
14.7 Investments in Associates
74.2 Investments in Joint Ventures
About this
Report
Chairman's
Foreword
Corporate
Management Report Appendices Governance
Consolidated Financial Company Financial
Statements Statements
Amounts in millions of euros
2018
2017
Opening balance
2,521
2,417
Foreign exchange differences
5
(7)
Purchases
43
113
Sales
(187)
(214)
Share of profit of associates
242
246
Dividends paid out (and capital repayments)
(149)
(78)
Revaluation
(80)
5
Impairment
Other
(21)
39
Total investments in associates and joint ventures
2,374
2,521
The main associate in terms ofthe size of the capital interest held
by Rabobank is:
On 31 December 2018 Shareholding
The Netherlands
Achmea B.V. 30%
Voting rights
Achmea isa strategic partner of Rabobankfor insurance products
and Interpolis, a subsidiary ofthe Achmea Group, works closely
with the local Rabobanks. Achmea's head office is located in
Zeist, the Netherlands. No listed market price is available for the
interest in Achmea. The interest in Achmea is valued according
to the equity method. Rabobank received dividend from Achmea
for an amount of EUR 37 million (2017: nil).
In 2018 there were no impairment triggers to perform an
impairment test.
Reconciliation Carrying Amount of Interest in Achmea
Total equity Achmea
Minus: hybrid capital
Minus: preference shares and accrued dividend
Shareholder's equity
Share of Rabobank
Accumulated impairment
Carrying amount
2018
9,705
1,350
350
8,005
2017
9,949
1,350
350
8,249
30.00% 29.21%
2,401 2,410
(719)
1,682
(700)
1,710
The impairment amount has increased by the same percentage
as the increase ofthe stake of Rabobank due to the buyback of
shares by Achmea.
Other Associates
Amounts in millions of euros
Result from continuing operations
Net profit
Other comprehensive income
Total comprehensive income
2018 2017
168 203
168 203
11
168 214
Virtually all joint ventures are investments of BPD. Their total
carrying amount is EUR 7 million (2017: EUR -8 million). Joint
ventures are recognized in accordance with the equity method.
BPD often has partnerships for developing integrated residential
areas. In the majority of cases, each participating member ofthe
partnership has a decisive vote, and decisions can only be passed
by consensus.The majority ofthese partnerships therefore qualify
as "joint arrangements."
Achmea
Amounts in millions of euros
Cash and balances at central banks
Investments
Other assets
Assets held for sale
Total assets
Insurance related provisions
Loans and funds borrowed
Other liabilities
Liabilities held for sale
Total liabilities
Revenues
Net profit
Other comprehensive income
Total comprehensive income
2018
1,466
70,948
9,402
81,816
55,065
15,197
1,849
72,111
21,336
315
(266)
49
2017
2,884
72,702
10,259
5,101
90,946
57,293
16,755
1,947
5,002
80,997
22,065
216
20
236
Each partnership has its own legal structure depending on the
needs and requirements ofthe parties concerned. The legal form
(business structure) typically used is the Dutch "CV-BV" structure
(a limited partnership-private limited liability company) or the
"VOF" structure (general partnership) or a comparable structure.
In the case of a CV-BV, the risk of a partner is generally limited to
the issued capital and partners are only entitled to the net assets
ofthe entity. In the case of general partnerships ("VOF"), each
party bears, in principle, unlimited liability and has, in principle, a
proportional right to the assets and obligations for the liabilities
ofthe entity. On the basis ofthe legal form, a CV-BV structure
qualifies as a "joint venture", whereas a VOF structure qualifies as
a "joint operation". It is important to note that the contractual
terms and other relevant facts and circumstances may result in a
different classification.
Annual Report 2018 - Consolidated Financial Statements
186
