RBS 2007 Annual Report Download - page 147

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RBS Group • Annual Report and Accounts 2007
Financial statements
9 Earnings per ordinary share
The earnings per share are based on the following:
Group
2007 2006 2005
£m £m £m
Earnings:
Profit attributable to ordinary shareholders 7,303 6,202 5,392
Add back dividends on dilutive convertible non-equity shares 60 64 65
Diluted earnings attributable to ordinary shareholders 7,363 6,266 5,457
Number of shares – millions
Number of ordinary shares:
Weighted average number of ordinary shares in issue during the year 9,557 9,555 9,549
Effect of dilutive share options and convertible non-equity shares 166 174 180
Diluted weighted average number of ordinary shares during the year 9,723 9,729 9,729
The numbers of ordinary shares in issue in prior years have been restated for the effect of the bonus issue of ordinary shares in May 2007.
All convertible preference shares have a dilutive effect in 2007, 2006 and 2005 and have been included in the computation of diluted
earnings per share.
The effect of discontinued operations on earnings per share is not material.
10 Financial instruments
The following tables analyse the Group’s financial assets and financial liabilities in accordance with the categories of financial
instruments in IAS 39. Assets and liabilities outside the scope of IAS 39 are shown separately.
Group
Designated
as at fair Non
value Other financial
Held-for- through Hedging Available- Loans and (amortised Finance assets/
trading profit or loss derivatives for-sale receivables cost) leases liabilities Total
2007 £m £m £m £m £m £m £m £m £m
Assets
Cash and balances at central banks — — — 17,866 — 17,866
Treasury and other eligible bills (1) 18,027 — 202 — — 18,229
Loans and advances to banks (2) 71,639 — — 147,821 — 219,460
Loans and advances to customers (3) 104,387 3,067 — 709,226 12,570 829,250
Debt securities 172,644 5,777 95,334 2,672 — 276,427
Equity shares 37,546 7,866 7,614 — — 53,026
Settlement balances — — — 16,589 — 16,589
Derivatives 334,857 — 2,553 — — — 337,410
Intangible assets 48,492 48,492
Property, plant and equipment 18,750 18,750
Prepayments, accrued income
and other assets — — — 877 — 18,189 19,066
Assets of disposal groups 45,954 45,954
739,100 16,710 2,553 103,150 895,051 12,570 131,385 1,900,519
Liabilities
Deposits by banks (4) 65,491 — 247,142 — 312,633
Customer accounts (5, 6) 60,425 7,505 614,435 — 682,365
Debt securities in issue (7, 8) 9,455 41,834 222,326 — 273,615
Settlement balances
and short positions 73,501 — 17,520 — 91,021
Derivatives 329,351 — 2,709 — — 332,060
Accruals, deferred income
and other liabilities 210 — 1,545 19 32,250 34,024
Retirement benefit liabilities 496 496
Deferred taxation 5,510 5,510
Insurance liabilities 10,162 10,162
Subordinated liabilities — 898 37,081 — — 37,979
Liabilities of disposal groups 29,228 29,228
538,433 50,237 2,709 1,140,049 19 77,646 1,809,093
Equity 91,426
1,900,519