16 – Investments Accounted for Using the Equity Method and Other Financial Assets

Accounting policies

The carrying amounts of shareholdings accounted for using the equity method are adjusted annually based on the pro rata share of net income, dividends and other changes in equity. Should there be indications of a reduction in the value of an investment, an impairment test is conducted and, if necessary, an impairment is recognized in the income statement. Furthermore, earnings and the carrying amount were adjusted due to deviating accounting policies or purchase price allocations, primarily with respect to Wintershall Dea GmbH, Kassel/Hamburg, Germany.

Additions in 2019 related mainly to the share in Wintershall Dea GmbH, Kassel/Hamburg, Germany, in the amount of €14,078 million and in Solenis UK International Ltd., London, United Kingdom, in the amount of €590 million.

Disposals in 2019 included primarily a capital decrease in the amount of €1,541 million at Wintershall Dea GmbH, Kassel/Hamburg, Germany.

In addition to the net income of investments accounted for using the equity method, dividend distributions and other comprehensive income of the companies, transfers included €65 million from the reclassification of investments accounted for using the equity method to assets of the disposal group for the pigments business. Transfers in 2018 included €2,552 million from the reclassification of investments accounted for using the equity method to assets of the disposal group for the oil and gas business.