IAS 28 para 22, loss of significant influence, loss on reclassification, amounts recycled from OCI

ArcelorMittal – Half year report – 30 June 2016

Industry: manufacturing

Notes to the condensed consolidated financial statements for the six months ended June 30, 2016 (extract)

(in millions of U.S. dollars, except share and per share data)

(unaudited)

Note 2 – Investments in associates and joint ventures (extract)

Following the sale of 729,643 shares during the six months ended June 30, 2016, for total cash consideration of 46, ArcelorMittal’s ownership interest and voting rights in Stalprodukt SA decreased from 28.47% to 21.23% and from 28.26% to 11.61%, respectively. As a result of the loss of significant influence, the Company discontinued the accounting for its investment under the equity method and reclassified its interest as available-for-sale within other investments in the statements of financial position. The Company recorded an aggregate loss on disposal of 26 in income (loss) from investments in associates, joint ventures and other investments including a loss of 13 with respect to the disposal of the 7.24% interest, a loss of 13 with respect to the fair value remeasurement of the remaining interest of 21.23% and a loss of 11 and a gain of 11 resulting from the reclassification of the accumulated foreign exchange translation losses and unrealized gains on derivative financial instruments from other comprehensive income to the statements of operations, respectively.

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