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for the period ended 31 December 2015


New Standards and Interpretations

2.1 Standards and Interpretations not yet effective

There are standards and interpretations in issue that are

not yet effective. These include the following standards and

interpretations that are applicable to the company and may

have an impact on future financial statements:

Disclosure Initiative (Amendments to IAS 1)

The amendments provide additional guidance on the

application of materiality and aggregation when preparing

financial statements. The amendments apply for annual periods

beginning on or after 1 January 2016 and early application is


This amendment is not expected to impact the RCS Group.

IFRS 9 Financial Instruments

IFRS 9 (2009) introduces new requirements for the

classification and measurement of financial assets. Under

IFRS 9 (2009), financial assets are classified and measured

based on the business model in which they are held and

the characteristics of their contractual cash flows. IFRS 9

(2010) introduces additions relating to financial liabilities.

In addition, the IFRS 9 impairment model has been changed

from an “incurred loss” model in IAS 39 to an “expected loss”

model. The final version of IFRS 9 was issued in July 2014 and

applies to an annual reporting period beginning on or after 1

January 2018 with retrospective application.


is currently doing an impact analysis for the group.

IFRS 15 Revenue from Contracts with Customers

IFRS 15 specifies how and when an entity will recognise

revenue as well as requiring such entities to provide users

of financial statements with more informative, relevant

disclosures. The standard contains a single model that applies


revenue: at a point in time or over time. The model features a

contract-based five-step analysis of transactions to determine

whether, how much and when revenue is recognised. The

standard is effective for annual periods beginning on or after

1 January 2017.

The impact on the financial statements for the RCS Group is

not considered to be material.

IFRS 16 Leases

IFRS 16 sets out the principles for the recognition,

measurement, presentation and disclosure of leases for

both parties to a contract, ie the customer (‘lessee’) and

the supplier (‘lessor’). IFRS 16 replaces the previous leases

Standard, IAS 17 Leases, and related Interpretations. IFRS 16

has one model for lessees which will result in almost all leases

being included on the Statement of Financial position.

The standard is effective for annual periods beginning on or

after 1 January 2019, with early adoption permitted only if the

entity also adopts IFRS 15.

The RCS Group is assessing the potential impact on the

financial statements resulting from the application of IFRS 16.