Year ended 31 December 2014
42
31.5 The fixed rate funding has been converted to floating rate at six-month Singapore Dollar Swap Offer Rate + 2.16 via interest rate swaps.
For more information on each instrument, please refer to “Capital Instruments” section at the Group’s website http:www.dbs.cominvestorpreferencesharesdefault.aspx unaudited.
32 Share Capital
The Group and Bank Shares ’000
In millions 2014
2013 2014
2013 Ordinary shares
Balance at 1 January 2,233,103
2,233,103 14,597
14,597 Issue of shares Note 32.1
256,278 -
5,000 -
Redemption of preference shares Note 32.2 -
- 1,700
- Balance at 31 December
2,489,381 2,233,103
21,297 14,597
Non-cumulative preference shares
Balance at 1 January 4.7 non-cumulative non-convertible perpetual preference shares
Note 32.2
7 7
1,700 1,700
4.7 non-cumulative non-convertible perpetual preference shares Note 32.3
8,000 8,000
799 799
8,007 8,007
2,499 2,499
Redemption of preference shares Note 32.2 7
- 1,700
- Balance at 31 December
8,000 8,007
799 2,499
Issued share capital at 31 December 22,096
17,096
32.1 The ordinary shares are fully paid-up and do not have par value. In 2014, the Bank issued 256 million ordinary
shares for a total cash consideration of 5 billion. The newly issued shares rank pari passu in all respect with the previously issued shares. There was no new issuance of shares in 2013.
32.2 1,700 million 4.7 non-cumulative non-convertible perpetual preference shares and a liquidation preference of
250,000 each, was issued on 22 October 2010 by the Bank to third parties. Prior to redemption, they qualified as Tier 1 capital for the calculation of the Grou
p’s capital adequacy ratios. Dividends, if declared by the Board of Directors of the Bank, were payable semi-annually on 22 April and 22 October at a fixed rate of 4.7 of the
liquidation preference per annum. The preference shares were fully redeemed, out of distributable profits, on 21 March 2014. The redemption amount Note 33 was credited to ordinary share capital
.
32.3 800 million 4.7 non-cumulative non-convertible perpetual preference shares and a liquidation preference of 100
each, was issued on 22 November 2010 by the Bank to third parties. They qualify as Tier 1 capital for the calculation of the Group’s capital adequacy ratios. Dividends, if declared by the Board of Directors of the Bank, are
payable semi-annually on 22 May and 22 November at a fixed rate of 4.7 of the liquidation preference per annum. For more information on each instrument, please refer to “Capital Instruments” section at the Group’s website
http:www.dbs.cominvestorpreferencesharesdefault.aspx unaudited.
33 Other Reserves and Revenue Reserves
33.1 Other reserves
The Group Bank
In millions 2014
2013 2014
2013
Available-for-sale revaluation reserves 284
30 288
10 Cash flow hedge reserves
33 14
33 14
General reserves 2,453
2,453 2,360
2,360 Capital reserves
233 324
43 62
Total 2,471
2,085 2,572
2,274
Year ended 31 December 2014
43
Movements in other reserves for the Group during the year are as follows:
In millions Available-for-
sale revaluation
reserves Cash flow
hedge reserves
General reserves
a
Capital reserves
b
Total 2014
Balance at 1 January 30
14 2,453
324 2,085
Net exchange translation adjustments -
- -
91 91
Share of associates and joint venture ’s
reserves
7 -
- -
7
Available-for-sale financial assets and others: - net valuation taken to equity
534 67
- -
467
- transferred to income statement 212
47 -
- 165
- tax on items taken directly to or transferred from equity
15 1
- -
14
Balance at 31 December 284
33 2,453
233 2,471
2013
Balance at 1 January 634
1 2,453
229 2,857
Net exchange translation adjustments -
- - 91
91 Share of associates and joint venture
’s reserves
- -
- 4
4 Available-for-sale financial assets and others:
- net valuation taken to equity 507
35 -
- 542
- transferred to income statement 197
21 -
- 176
- tax on items taken directly to or transferred from equity
40 1
- -
41 Balance at 31 December
30 14
2,453 324
2,085
a General reserves are maintained in accordance with the provisions of applicable laws and regulations. These reserves are non distributable unless otherwise approved by the relevant authorities. Under the Banking Reserve Fund Transitional Provision regulations 2007, which came into effect on
11 June 2007, the Bank may distribute or utilise its statutory reserves provided that the amount distributed or utilised for each financial year does not exceed 20 of the reserves as at 30 March 2007
b Capital reserves include net exchange translation adjustments arising from translation differences on net investments in foreign subsidiaries, joint venture, associates and branches, and the related foreign currency financial instruments designated as a hedge
Movements in other reserves for the Bank during the year are as follows:
In millions Available-for-
sale revaluation
reserves Cash flow
hedge reserves
General reserves
a
Capital reserves
b
Total 2014
Balance at 1 January
10 14
2,360 62
2,274
Net exchange translation adjustments -
- -
19 19
Available-for-sale financial assets and others:
- -
- -
-
- net valuation taken to equity 494
67 -
- 427
- transferred to income statement 182
47 -
- 135
- tax on items taken directly to or transferred from equity
14 1
- -
13
Balance at 31 December 288
33 2,360
43 2,572
2013
Balance at 1 January 630
1 2,360
10 2,979
Net exchange translation adjustments -
- -
52 52
Available-for-sale financial assets and others:
- net valuation taken to equity 495
35 -
- 530
- transferred to income statement 184
21 -
- 163
- tax on items taken directly to or transferred from equity
39 1
- -
40 Balance at 31 December
10 14
2,360 62
2,274
a General reserves are maintained in accordance with the provisions of applicable laws and regulations. These reserves are non distributable unless otherwise approved by the relevant authorities. Under the Banking Reserve Fund Transitional Provision regulations 2007, which came into effect on
11 June 2007, the Bank may distribute or utilise its statutory reserves provided that the amount distributed or utilised for each financial year does not exceed 20 of the reserves as at 30 March 2007
b Capital reserves include net exchange translation adjustments arising from translation differences on net investments in foreign branches and the related foreign currency instruments designated as a hedge
Year ended 31 December 2014
44
33.2 Revenue reserves
