KUWAIT ENERGY plc GROUP
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For the year ended 31 December 2013
F-54
14.
DISCONTINUED OPERATIONS (Continued)
2013
2012
USD 000’s
USD 000’s
Revenue
23,363
21,684
Expenses
(307,808)
(52,832)
Loss before tax
(284,445)
(31,148)
Attributable tax gain
5,658
6,747
Loss for the year from discontinued operations
(278,787)
(24,401)
The loss for the year from discontinued operations includes an impairment charge of USD 236,940 thousand
(2012: USD 26,031 thousand) of which USD 89,031 thousand arose in Russia and USD 147,909 thousand in
Ukraine. The impairment includes a charge of USD 8,766 thousand relating to the recycling of amounts
previously recorded within the foreign currency translation reserve.
The assets and liabilities held for sale were written down to their fair value less cost to sell of USD 15,000
thousand. The fair value of assets classified as held for sale is classified as Level 3. Level 3 fair value
measurements are those derived from inputs that are not based on observable market data. This is a non-recurring
fair value arrived at by management judgement based on the non-binding offers received.
The major classes of assets and liabilities of Russia and Ukraine operations classified as held for sale are as
follows.
2013
Ukraine
Russia
Total
USD 000’s
USD 000’s
USD 000’s
Property, plant and equipment
26,185
6,051
32,236
Deferred tax assets
1,109
9,994
11,103
Inventories
385
709
1,094
Trade and other receivables
5,630
270
5,900
Cash and bank balances
151
790
941
Total assets classified as held for sale
33,460
17,814
51,274
Trade and other payables
11,021
4,590
15,611
Deferred tax liabilities
17,439
3,224
20,663
Total liabilities classified as held for sale
28,460
7,814
36,274
Net assets of operations classified as held
for sale
5,000
10,000
15,000
The cash flows associated with Russia and Ukraine operations classified as held for sale are as follows
2013
2012
USD 000’s
USD 000’s
Operating cash out flows
(2,440)
(3,634)
Investing cash out flows
(18,450)
(30,384)
Financing cash flows
-
-
