HSBC 2012 Annual Report Download - page 517

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Overview Operating & Financial Review Corporate Governance Financial Statements Shareholder Information
45 Events after the balance sheet date
On 7 January 2013, Industrial Bank Co., Ltd. (‘Industrial Bank’), a principal associate, completed a private
placement of additional share capital to a number of third parties, thereby diluting the Group’s equity holding from
12.8% to 10.9%. As a result of this and other factors, the Group considers it is no longer in a position to exercise
significant influence over Industrial Bank and ceased to account for the investment as an associate from that date,
giving rise to an accounting gain of HK$9.5bn or US$1.2bn. Thereafter, the holding is recognised as an available-for-
sale financial investment.
The disposal of the second tranche of shares in Ping An was completed on 6 February 2013. A description of this
disposal is provided in Note 26.
On 19 February 2013, we announced an agreement to sell HSBC Bank Panama S.A., recorded as part of our Latin
America segment, to Bancolombia S.A. for a total consideration of US$2.1bn in cash. The transaction is subject to
regulatory approvals and other conditions and is expected to complete by the third quarter of 2013. The assets and
liabilities of these operations were not classified as held for sale at 31 December 2012 as the sale was not yet
considered highly probable at that time.
On 28 February 2013, HSBC Bank USA entered into an agreement with the Office of the Comptroller of the
Currency, and HSBC Finance and HNAH entered into an agreement with the Federal Reserve Board in relation to the
Independent Foreclosure Review. Additional information is provided in Note 43.
A fourth interim dividend for 2012 of US$0.18 per ordinary share (a distribution of approximately US$3,327m) was
declared by the Directors after 31 December 2012.
These accounts were approved by the Board of Directors on 4 March 2013 and authorised for issue.