HSBC 2003 Annual Report Download - page 275

273
23 Other participating interests
2003 2002
US$m US$m
Listed other than on a recognised UK exchange or in Hong Kong ................................................... 43
Unlisted ............................................................................................................................................ 686 648
690 651
Market value of listed securities ....................................................................................................... 29 22
Other participating interests in banks ............................................................................................... 11
Cost Provisions
Carrying
value
US$m US$m US$m
At 1 January 2003 ................................................................................................. 704 (53
)
651
Additions ............................................................................................................... 3–3
Amounts written off ............................................................................................... (22
)
22 –
Provisions made .................................................................................................... –(3
)
(3
)
Exchange and other movements ............................................................................ 37 2 39
At 31 December 2003 .......................................................................................... 722 (32
)
690
24 Goodwill and intangible assets
Goodwill
Intangible
assets Total
US$m US$m US$m
Cost at 1 January 2003 .......................................................................................... 19,579 29 19,608
Additions and acquisitions of subsidiaries ............................................................. 10,741 137 10,878
Exchange and other movements ............................................................................ 2,354 12 2,366
Cost at 31 December 2003 ................................................................................... 32,674 178 32,852
Accumulated amortisation at 1 January 2003 ........................................................ (2,416
)
– (2,416
)
Charge to the profit and loss account ..................................................................... (1,450
)
(15
)
(1,465
)
Exchange and other movements ............................................................................ (330
)
(1
)
(331
)
Accumulated amortisation at 31 December 2003 .............................................. (4,196
)
(16
)
(4,212
)
Net book value at 31 December 2003 ................................................................. 28,478 162 28,640
Net book value at 31 December 2002 .................................................................... 17,163 29 17,192
The net book value of goodwill at 31 December 2003 is stated net of negative goodwill of US$15 million (2002:
US$58 million). The charge to the profit and loss account in respect of goodwill amortisation is net of a credit
relating to negative goodwill of US$50 million (2002: US$24 million).
Included in ‘Additions and acquisition of subsidiaries’ is goodwill arising on the acquisition of businesses and
increases of holdings in subsidiaries during 2003. Positive goodwill is being amortised over periods of up to 20
years. Negative goodwill is being credited to the profit and loss account over 5 years, the period to be benefited.