Consolidated ADI groupConsolidated ADI group

Consolidated ADI group

This refers to the global operations of the ADI and all its controlled entities (where relevant), consolidated in accordance with Australian accounting standards (AASB 127 Consolidated and Separate Financial Statements (AASB 127) and AASB 3 Business Combinations (AASB 3)).

‘Controlled entity’, ‘parent entity’

These terms are defined in accordance with AASB 127 and AASB 3.

The basis of consolidation required in this form is in accordance with the prudential consolidated ADI group. The prudential consolidated group should also be determined in accordance with Australian accounting standards, notably AASB 127 and AASB 3 with the following modifications:

1. Include the following:

• all controlled banking entities, securities entities and other financial entities (e.g. finance companies, money market corporations, stockbrokers and leasing companies.

2. Exclude subsidiary entities involved in the following business activities:

• insurance businesses (including friendly societies and health funds);
• acting as manager, responsible entity, approved trustee, trustee or similar role in relation to funds management or the securitisation of assets;
• non-financial (commercial) operations; and
• SPVs that meet APRA’s operational requirements for regulatory capital relief under APS 120.

Reporting period

The form is to be completed as at the last day of September and March. All ADIs should submit the completed form to APRA within 20 business days after the end of the relevant reporting period.

Unit of measurement

Australian-owned banks, foreign subsidiary banks and branches of foreign banks are asked to complete the form in millions of Australian dollars rounded to one decimal place. Other ADIs, Building Societies, Credit Unions and Cairns Penny Savings & Loans Limited are asked to complete the form in whole Australian dollars (no decimal place).

Amounts denominated in foreign currency are to be converted to AUD in accordance with AASB 121 The Effects of Changes in Foreign Exchange Rates (AASB 121).

The general requirements of AASB 121 for translation are:

1. foreign currency monetary items outstanding at the reporting date must be translated at the spot rate at the reporting date;[2]
2. foreign currency non-monetary items that are measured at historical cost in a foreign currency must be translated using the exchange rate at the date of the transaction;[3]
3. foreign currency non-monetary items that are measured at fair value will be translated at the exchange rate at the date when fair value was determined.