BP 2015 Annual Report Download - page 221

Non-operating items
Non-operating items are charges and credits included in the financial statements that BP discloses separately because it considers such disclosuresto
be meaningful and relevant to investors. They are items that management considers not to be part of underlying business operations and are disclosed
in order to enable investors to understand better and evaluate the group’s reported financial performance. An analysis of non-operating items is shown
in the table below.
$ million
2015 2014 2013
Upstream
Impairment and gain (loss) on sale of businesses and fixed assetsa(1,204) (6,576) (802)
Environmental and other provisions (24) (60) (20)
Restructuring, integration and rationalization costs (410) (100) –
Fair value gain (loss) on embedded derivatives 120 430 459
Otherbc (717) 8 (1,001)
(2,235) (6,298) (1,364)
Downstream
Impairment and gain (loss) on sale of businesses and fixed assetsa131 (1,190) (348)
Environmental and other provisions (108) (133) (134)
Restructuring, integration and rationalization costs (607) (165) (15)
Fair value gain (loss) on embedded derivatives –––
Other (6) (82) (38)
(590) (1,570) (535)
TNK-BP
Impairment and gain (loss) on sale of businesses and fixed assets –– 12,500
Environmental and other provisions –––
Restructuring, integration and rationalization costs –––
Fair value gain (loss) on embedded derivatives –––
Other –––
–– 12,500
Rosneft
Impairment and gain (loss) on sale of businesses and fixed assets –225 (35)
Environmental and other provisions –– (10)
Restructuring, integration and rationalization costs –––
Fair value gain (loss) on embedded derivatives –––
Other –––
–225 (45)
Other businesses and corporate
Impairment and gain (loss) on sale of businesses and fixed assetsa(170) (304) (196)
Environmental and other provisions (151) (180) (241)
Restructuring, integration and rationalization costs (71) (176) (3)
Fair value gain (loss) on embedded derivatives –––
Otherc(155) (10) 19
(547) (670) (421)
Gulf of Mexico oil spill response (11,709) (781) (430)
Total before interest and taxation (15,081) (9,094) 9,705
Finance costsd(247) (38) (39)
Taxation credite(charge) 4,056 4,512 867
Total after taxation (11,272) (4,620) 10,533
aSee Financial statements – Note 4 for further information on impairments.
b2014 included a $395-million write-off relating to Block KG D6 in India. 2013 included $845 million relating to the value ascribed to block BM-CAL-13 offshore Brazil, following the acquisition of
upstream assets from Devon Energy in 2011, which was written off as a result of the Pitanga exploration well not encountering commercial quantities of oil or gas.
c2015 principally relates to BP’s share of impairment losses recognized by equity-accounted entities.
dFinance costs relate to the Gulf of Mexico oil spill. See Financial statements – Note 2 for further details.
eFrom 2014, tax is based on statutory rates except for non-deductible or non-taxable items. For 2013, tax for the Gulf of Mexico oil spill and certain impairment losses, disposal gains and fair value gains
and losses on embedded derivatives, is based on statutory rates, except for non-deductible items; for other items reported for consolidated subsidiaries, tax is calculated using the group’s discrete
quarterly effective tax rate (adjusted for the items noted above, equity-accounted earnings and certain deferred tax adjustments relating to changes in UK taxation).
Additional disclosures
*Defined on page 256. BP Annual Report and Form 20-F 2015 217