Notes to the company balance sheet

1. Tangible fixed assets

In millions of euros Carrying amount as at 1 Jan. 2017 Investments Depreciation Carrying amount as at 31 Dec. 2017
         
Other fixed operating assets 2.8  - 0.7  2.1 
Fixed assets under construction 0.3  ‑0.2  - 0.1 
         
Total for 2017 financial year 3.1  ‑0.2  0.7  2.2 

In millions of euros Carrying amount as at 1 Jan. 2016 Investments Depreciation Carrying amount as at 31 Dec. 2016
         
Other fixed operating assets 2.2  1.3  0.7  2.8 
Fixed assets under construction 0.4  ‑0.1  - 0.3 
         
Total for 2016 financial year 2.6  1.2  0.7  3.1 

In millions of euros Acquisition value as at 31 Dec. 2017 Accumulated depreciation *) as at 31 Dec. 2017 Acquisition value as at 31 Dec. 2016 Accumulated depreciation *) as at 31 Dec. 2016
         
Other fixed operating assets 3.8  1.7  3.8  1.0 
Fixed assets under construction - - 0.3  -
         
Total 3.8  1.7  4.1  1.0 
         

*) Including any impairments

2. Financial fixed assets

In millions of euros   2017   2016
Group companies        
Equity interest as at 1 January 5,627.3    5,312.4   
Movements        
- Investments 99.3    749.7   
- Acquisitions -   -  
- Movements directly in equity 31.8    33.6   
- Share in result of group companies 229.9    161.6   
- Disposals -   ‑4.7   
- Repayment of share premium ‑40.0    -  
- Dividend received ‑252.7    ‑625.3   
         
Equity interest as at 31 December   5,695.6    5,627.3 
         
Financing as at 1 January 4,222.3    5,258.4   
Movements        
- Long-term loans granted 154.7    101.7   
- Repayment of long-term loans ‑321.1    ‑1,137.8   
         
Financing as at 31 December   4,055.9    4,222.3 
         
         
Balance as at 31 December   9,751.5    9,849.6 
         
Investments in associates   -   10.8 
         
Total financial fixed assets   9,751.5    9,860.4 

In the first half of 2017, the interest in the associate ICE Endex Holding was sold to ICE Endex. For more information, see note 6 to the consolidated financial statements.

The short-term part of the long-term loans totalled € 20 million at year-end 2017 (2016: € 20 million). In the above table, this amount has been recognised in the financing of the group companies.

The interest percentage on the long-term loans granted to group companies is the weighted average borrowing rate of the long-term loan portfolio of N.V. Nederlandse Gasunie plus 12.5 basis points.

The long-term loan granted to Gasunie Transport Services B.V. totalled € 3,054 million at year-end 2017 (2016: € 3,208 million). This concerns a loan facility of € 6 billion, made available as of 1 January 2014. The loan terminates on 31 December 2029 and has an extension option. The parties agreed that, during the term, the facility can be drawn or redeemed. No amortisation schedule has been determined.

As of 1 January 2016, Gasunie Transport Services B.V. split off the ownership of the regional gas transport network in the Netherlands (and its related assets, liabilities and activities) to Gasunie Grid Services B.V. at the carrying amount. Gasunie Transport Services B.V. will continue to manage the main national gas transport network in the Netherlands. N.V. Nederlandse Gasunie financed the split-off of the regional gas transport network internally by providing equity to Gasunie Grid Services B.V.

Gasunie Transport Services B.V. is the network operator of the national gas transport network in accordance with the Dutch Gas Act. The Minister has issued rules with regard to proper financial management by a network operator (Besluit Financieel Beheer Netbeheerder). These rules consist of a number of financial ratios, including a minimum for equity. Taking into account the rules with regard to proper financial management by a network operator, an assessment is made every quarter of whether the facility should be drawn or redeemed.

The long-term loans granted to Gastransport Noord-West Europa Holding B.V. totalled € 631.0 million at year-end 2017 (2016: € 604 million). The loans terminate on 31 December 2022 and 2023. For all loans, the parties agreed that full or partial repayments may be made during the term.

The long-term loan granted to EnergyStock B.V. totalled € 205 million at year-end 2017 (2016: € 225 million). The loan terminates on 1 December 2028, and € 10.0 million is paid back on the loan twice a year, starting in 2014, until the loan has been fully repaid. In addition, voluntary repayments of a maximum of € 25.0 million can be made twice a year.

The long-term loans granted to Gasunie BBL B.V. totalled € 165 million at year-end 2017 (2016: € 128 million). This includes a loan facility of € 200 million, made available as of 12 December 2014. The loan terminates on 1 December 2024 and has an extension option. The parties agreed that, during the term, the facility can be drawn or redeemed. No amortisation schedule has been determined. In addition, two long-term loans were granted. These loans were both fully repaid in 2015.

No other special conditions have been agreed upon between N.V. Nederlandse Gasunie and the group companies concerning the long-term loans granted.

For information on investments in associates, see note 6 to the consolidated balance sheet in the consolidated financial statements.

3. Receivables from group companies

This concerns receivables relating to the performance of business activities for the group companies and dividends to be received. The interest on these receivables is 0% per annum (2016: 0%).

4. Issued share capital

The authorised share capital amounts to € 756,000 and is divided into 7,560 shares, each having a nominal value of € 100, of which 1,513 have been issued and paid up in full.

All shares issued are held by the Dutch State.

The movements in issued share capital are as follows:

In euros 2017 2016
     
Balance as at 1 January 151,300  151,300 
     
Movements - -
     
Balance as at 31 December 151,300  151,300 

5. Revaluation reserve

The movements in the revaluation reserve are as follows:

In millions of euros 2017 2016
Balance as at 1 January 1,761.1  1,957.2 
     
Effect of tax rate change on deferred taxation - -
     
Realised share of the unrealised revaluation ‑57.5  ‑195.1 
     
Transferred to the profit and loss account, ‑0.9  ‑1.3 
of which corporate income tax 0.2  0.3 
     
Balance as at 31 December 1,702.9  1,761.1 

The revaluation reserve as at balance sheet date 2017 and 2016 includes the revaluation of tangible fixed assets as at 1 January 2004, which were transferred to Gasunie Transport Services B.V. and Gasunie Peakshaver B.V in 2014 and to Gasunie Gridservices B.V. in 2017, and the cash flow hedge reserve of N.V. Nederlandse Gasunie relating to two long-term bond loans.

In millions of euros 31 dec. 2017   31 dec. 2016  
         
Revaluation of tangible fixed assets as at 1 January 2004   1,700.6    1,758.1 
         
         
Cash flow hedge of N.V. Nederlandse Gasunie, 3.1    4.0   
of which corporate income tax ‑0.8    ‑1.0   
         
    2.3    3.0 
         
Total   1,702.9    1,761.1 

6. Statutory reserve for participating interests

The movements in the statutory reserve for participating interests are as follows:

In millions of euros 2017 2016
     
Balance as at 1 January 381.8  213.1 
     
Movement in cash flow hedge reserve concerning joint ventures 10.3  0.9 
Movement in other equity interests stated at fair value 20.5  35.3 
Share in retained earnings not distributable due to restriction ‑133.8  132.5 
     
Balance as at 31 December 278.8  381.8 

At year-end 2016, a restriction was in place on the distribution of retained earnings to N.V. Nederlandse Gasunie by Gasunie Transport Services, the operator of the Dutch gas transport network. This restriction ensued from rules issued by the Minister with regard to proper financial management by a network operator (Besluit Financieel Beheer Netbeheerder), which specify a number of financial ratios. At year-end 2017, the restriction based on these rules no longer applies. The part of the statutory reserve that relates to GTS has been added to the general reserve.

7. General reserve

The movements in the general reserve are as follows:

In millions of euros 2017 2016
     
Balance as at 1 January 3,275.3  2,994.1 
     
Appropriation of result for previous financial year 73.4  221.2 
Balance of actuarial gains    
and losses on employee benefits, 1.3  ‑3.8 
of which corporate income tax ‑0.3  1.2 
Realised share of the unrealised revaluation 57.5  195.1 
Movements in statutory reserves 133.7  ‑132.5 
     
Balance as at 31 December 3,540.9  3,275.3 

8. Result after taxation

The movements in the result for the year are as follows:

In millions of euros 2017 2016
Balance as at 1 January 183.5  552.9 
     
Dividend paid ‑110.1  ‑331.7 
Appropriation of result ‑73.4  ‑221.2 
Result for the year 259.5  183.5 
     
Balance as at 31 December 259.5  183.5 

Dividend

The Executive Board proposes that € 0.7 million of the profit for 2017 be added to the general reserve and € 258.8 million be distributed to the shareholder. This dividend proposal has not been taken into account in the balance sheet as at 31 December 2017 or in the notes. The profit for 2016 amounted to € 183.5 million, of which € 110.1 million was paid out as dividend in 2017.

  2017 2016
     
Final dividend to be distributed (in millions of euros) 258.8  110.1 
Dividend per share (in thousands of euros) 102.9  72.8 

9. Provisions

In millions of euros 2017 2016
     
Provision for deferred tax liabilities 101.2  98.5 
Provision for jubilee benefits 8.2  8.1 
Provision for post-employment fringe benefits for non-active and retired employees 5.9  6.2 
     
Total provisions

115.3  112.8 

For more information on these provisions, see notes 9 and 17 to the consolidated balance sheet in the consolidated financial statements.

10. Trade and other payables

The ‘trade and other payables’ items can be categorised as follows:

In millions of euros 2017 2016
     
Trade payables 39.1  42.1 
Derivative financial instruments - 9.5 
Tax liabilities 7.3  12.5 
Other liabilities, accruals and deferred income 128.0  156.0 
     
Total 174.4  220.1 

The other liabilities, accruals and deferred income primarily comprise accrued interest, deposits received and invoices yet to be received.

The fair value of the trade and other payables approximates the carrying amount due to the short-term character of these instruments.

11. Liabilities to group companies

The ‘liabilities to group companies’ mainly concern the company’s withdrawal of call funds from its group companies. The call funds carry an interest rate of 0% to 1%, depending on the group company.

12. Other items in the company balance sheet

For information on other items in the company balance sheet, see the notes to the relevant consolidated items in the consolidated financial statements. For ‘Commitments not included in the balance sheet’, reference is also made to the notes to the consolidated financial statements, as these commitments virtually all relate to the company.