PT SUMMARECON AGUNG Tbk AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
AS OF JUNE 30, 2013 AND DECEMBER 31, 2012, 2011 AND 2010 AND FOR THE SIX-MONTH PERIODS ENDED JUNE 30, 2013 AND 2012 UNAUDITED
AND YEARS ENDED DECEMBER 31, 2012, 2011 AND 2010 Expressed in thousands of rupiah, unless otherwise stated
48
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES continued w. Financial instruments continued
vi. Impairment of financial assets continued
●
Loans and receivables continued Loans and receivables, together with the associated allowance, are written off when there
is no realistic prospect of future recovery and all collateral has been realized or has been transferred to the Company and Subsidiaries. If, in a subsequent year, the amount of the
estimated impairment loss increases or decreases because of an event occurring after the impairment was recognized, the previously recognized impairment loss is increased or
reduced by adjusting the allowance for impairment account. If a future write-off is later recovered, the recovery is recognized in profit or loss.
●
Available-For-Sale AFS financial assets In the case of equity investment classified as an AFS financial asset, objective evidence
would include a significant or prolonged decline in the fair value of the investment below its cost.
Where there is objective evidence of impairment, the cumulative loss - measured as the difference between the acquisition cost and the current fair value, less any impairment loss
on that investment previously recognized in profit or loss - is removed from other comprehensive income and recognized in profit or loss. Impairment losses on equity
investment are not reversed through profit or loss; increases in the equity investment’s fair value after impairment are recognized directly in other comprehensive income.
vii. Derecognition of financial assets and liabilities Financial Assets
A financial asset or where applicable, a part of a financial asset or part of a group of similar financial assets is derecognized when: 1 the rights to receive cash flows from the asset
have expired, or 2 the Company or Subsidiaries have transferred their rights to receive cash flows from the asset or have assumed an obligation to pay the received cash flows in full
without material delay to a third party under a “pass-through” arrangement, and either a the Company or Subsidiaries have transferred substantially all the risks and rewards of the
financial asset, or b the Company or Subsidiaries have neither transferred nor retained substantially all the risks and rewards of the asset, but have transferred control of the asset.
Financial Liabilities A financial liability is derecognized when the obligation under the liability is discharged or
cancelled or has expired. When an existing financial liability is replaced by another from the same lender on
substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as an extinguishment of the original liability and the
recognition of a new liability and the difference in the respective carrying amounts is recognized in profit or loss.
PT SUMMARECON AGUNG Tbk AND SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
AS OF JUNE 30, 2013 AND DECEMBER 31, 2012, 2011 AND 2010 AND FOR THE SIX-MONTH PERIODS ENDED JUNE 30, 2013 AND 2012 UNAUDITED
AND YEARS ENDED DECEMBER 31, 2012, 2011 AND 2010 Expressed in thousands of rupiah, unless otherwise stated
49
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES continued x. Earnings per share
The Company and Subsidiaries have applied PSAK No. 56 Revised 2011, ”Earnings per Share”. In accordance with PSAK No. 56 Revised 2011, “Earnings per Share”, earnings per share
amount is calculated by dividing the profit for the year attributable to owners of the Parent Entity by the weighted average number of outstanding shares during the periodyear after retrospectively
adjusting for the bonus shares distributed on July 15, 2013 Note 26 as if the distribution took place at the beginning of the earliest comparative period presented.
As of June 30, 2013 and December 31, 2012, 2011 and 2010, the Company and Subsidiaries have no outstanding potential dilutive ordinary shares; accordingly, no diluted earnings per share
amounts are calculated and presented in the consolidated statements of comprehensive income.
y. Segment reporting
An operating segment is a component of the Company and Subsidiaries: a. that engages in business activities from which it may earn revenues and incur expenses
including revenues and expenses relating to transactions with other components of the Company and Subsidiaries,
b. whose operating results are regularly reviewed by the Company’s and Subsdiaries’ chief operating decision maker to make decisions about resources to be allocated to the segment
and assess its performance, and c. for which discrete financial information is available.
Segment revenue, expenses, results, assets and liabilities include items directly attributable to a segment as well as those that can be allocated on a reasonable basis to that segment. They are
determined before intra-group balances and intra-group transactions are eliminated.
z. Transactions of entities under common control
Acquisition or transfer of shares among entities under common control is accounted in accordance with PSAK No. 38 Revised 2012, “Business Combinations of Entities under Common Control” will
be effective on January 1, 2013. The revised PSAK prescribes the recognition, measurement and presentation of the business combination transaction conducted in terms of the entities
reorganization that are in the same business group. The adoption of PSAK No. 38 Revised 2012 has no significant impact on the consolidated financial statements.
Since the transaction of entities under common control does not result in a change of the economic substance of the ownership of assets, liabilities, shares or other instruments of
ownership which are exchanged, assets or liabilities transferred are recorded at book values as a business combination using the pooling-of-interests method.
In applying the pooling-of-interests method, the components of the financial statements for the period during which the transaction occurred and for other periods presented for comparative
purposes, are presented in such a manner as if the transaction has already happened since the beginning of the earliest period presented. The difference between the carrying values of the
investments at the effective date and the transfer price is recognized in Additional Paid-in Capital in the consolidated statements of financial position and as part of “Differences in Value from
Transactions of Entities under Common Control” in Note 27.
