HSBC 2015 Annual Report Download - page 416

Notes on the Financial Statements (continued)
21 – Investments in subsidiaries
HSBC HOLDINGS PLC
414
21 Investments in subsidiaries
Accounting policy
HSBC classifies investments in entities which it controls as subsidiaries. HSBC’s consolidation policy is described in Note 1(g). Subsidiaries
which are structured entities are covered in Note 39.
HSBC Holdings’ investments in subsidiaries are stated at cost less impairment losses. Impairment losses recognised in prior periods are
reversed through the income statement if there has been a change in the estimates used to determine the investment’s recoverable amount
since the last impairment loss was recognised.
Principal subsidiaries of HSBC Holdings
At 31 December 2015
Country of
incorporation
or registration
HSBC’s
interest in
equity capital
%
Issued
equity
capital
Share
class
Europe
HSBC Bank plc England 100 £797m
Ordinary £1
Preferred Ordinary £1
Series 2 Third Dollar
Preference $0.01
Third Dollar
Preference $0.01
HSBC France France 99.99 €337m Shares €5.00
HSBC Private Banking Holdings (Suisse) SA Switzerland 100 CHF1,363m Ordinary CHF1,000
HSBC Trinkaus & Burkhardt AG Germany 80.65 €75.4m Shares of no par value
Asia
Hang Seng Bank Limited1 Hong Kong 62.14 HK$9, 658m Ordinary no par value
HSBC Bank Australia Limited Australia 100 A$811m Ordinary no par value
HSBC Bank (China) Company Limited PRC5100 RMB15,400m Ordinary CNY1.00
HSBC Bank Malaysia Berhad Malaysia 100 RM115m Ordinary RM0.50
HSBC Bank (Taiwan) Limited Taiwan 100 TWD34,800m Ordinary TWD10.00
HSBC Life (International) Limited Bermuda 100 HK$4,178m Ordinary HK$1.00
The Hongkong and Shanghai Banking Corporation Limited Hong Kong 100 HK$96,052m Ordinary no par value
CIP2 $1.00
CRP3 $1.00
NIP4 $1.00
Middle East and North Africa
HSBC Bank Middle East Limited Jersey 100 $931m
Ordinary $1.00
CRP3 $1.00
HSBC Bank Egypt S.A.E. Egypt 94.53 EGP2,796m Ordinary EGP84.00
North America
HSBC Bank Canada Canada 100 C$1,225m
Common shares of no
par value
C$500m Preference shares of no
par value
HSBC Bank USA, N.A. USA 100 $2m Common $100
HSBC Finance Corporation USA 100
–
6 Common $0.01
HSBC Securities (USA) Inc. USA 100
–
6 Common $0.05
Latin America
HSBC Bank Brasil S.A.
–
Banco Múltiplo Brazil 100 BRL6,402m Shares of no par value
HSBC Mexico, S.A., Institución de Banca Múltiple,
Grupo Financiero HSBC Mexico 99.99 MXN5,681m Ordinary MXN2.00
1 Listed in Hong Kong. 3 Cumulative Redeemable Preference shares. 5 People’s Republic of China.
2 Cumulative Irredeemable Preference shares. 4 Non-cumulative Irredeemable Preference shares. 6Issued equity capital is less than $1m.
Details of the debt, subordinated debt and preference shares issued by the principal subsidiaries to parties external to the Group are included in Notes 26
‘Debt securities in issue’, 30 ‘Subordinated liabilities’ and 34 ‘Non-controlling interests’, respectively.
All the above subsidiaries are included in the HSBC consolidated financial statements.