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  Pearson Annual Report 1997    

Notes to the Accounts

   
 

30. Notes to the company balance sheet

 

  1997 1996
All figures in millions    
Tangible fixed asstes (leasehold property)    
Cost 0.6 0.6
Depreciation (0.6) (0.6)



Net book value - -



Note: There were no capital commitments for fixed assets at 31 December 1997.



All figures in million  
Investments in subsidiary undertakings  
At 31 December 1996 1,798.4
Acquisition from subsidiary undertaking 20.4
Disposals to subsidiary undertaking (51.9)
Subscription for additional share capital in subsidiary undertaking 210.0
Revaluations (14.1)


At 31 December 1997 1,962.8


Note: Shares are stated at cost less provisions for diminution in value or directors' 1969 valuations.



All figures in millions  
Deferred taxation  
At 31 December 1996 (0.6)
Released in the year 0.2


At 31 December 1997 (0.4)


Note: Deferred taxation derives from other timing diffirences.

Current investments
The investments are unlisted and valued by the directors at book value. If realised at valuation there would be no liability for taxation on disposal.

Accruals and deferred income
Accruals and deferred income includes 10.1m (1996: 12.6m) relating to the unamortised profit out of the unwindling of a sterling interest rate swap in 1994. The swap was arranged in 1992 in connection with the issue of 100m 10.75% Euro-sterling Bonds 2002. The profit is being amortised over the remaining life of the Bonds. 7.7 is due after one year. None of the amount falls due after five years.







All figures in millions Share
premium
account
Special
reserve
Other
reserves
Profit
and loss
account
Total
Reserves
Summary of movements
         
At 31 December 1996 129.5 397.2 50.1 761.6 1,338.4
Exchange diffireneces net of related tax - - - (12.2) (12.2)
Premium on issue of 5.8m equity shares 28.1 - - - 28.1
Profit for the financial year - - - 50.7 50.7
Dividends - - - (112.4) (112.4)






At 31 December 1997 157.6 397.2 50.1 687.7 1,292.6






Note: The special reserve represents the cumulative effect of cancellation of the Company's share premium account. As permitted by Section 230(4) of the Companies Act 1985, only the Group's profit and loss account has been presented.

1997 Annual Report
* Group summary
* Information
* Education
* Entertainment
* Investment banking
* Chairman's statement
* Chief Executive's review
* Financial Review
* Financial Policy
* Consolidated profit and loss account
* Consolidated balance sheet
* Consolidated statement of cash flows
* Statement of total recognised gains and losses
* Note of historical cost profits and losses
* Reconciliation of movements in equity shareholders' funds
* Principal subsidiaries and associates
* Five year summary
* Shareholder information
   
* Notes to the accounts
 

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