Prudential - Annual Report 2007 - Consolidated statement of changes in equity

Directors’ remuneration report

Year ended 31 December 2007


		2007 £m
	Note	Share capital	Share premium	Retained earnings	Translation reserve	Available- for-sale securities reserve	Hedging reserve	Share- holders’ equity	Minority interests	Total equity

Reserves
Profit for the year				1,022				1,022	3	1,025
Items recognised directly in equity:
Exchange translation movements	B4				11			11		11
Movement on cash flow hedges							(3)	(3)		(3)
Unrealised valuation movements
on Egg securities classified as available-for-sale						(2)		(2)		(2)
Unrealised valuation movements
on US life operations securities classified as available-for-sale:	D3(a)
Unrealised holding losses arising
during the year						(231)		(231)		(231)
Less gains included in the
income statement						(13)		(13)		(13)

						(244)		(244)		(244)
Related change in amortisation of
deferred income and
acquisition costs						88		88		88
Related tax					2	53	1	56		56

Total items of income and expense
recognised directly in equity					13	(105)	(2)	(94)		(94)

Total income and expense for the year				1,022	13	(105)	(2)	928	3	931
Dividends	B3			(426)				(426)	(5)	(431)
Reserve movements in respect
of share-based payments				18				18		18
Change in minority interests arising
principally from purchase and sale
of venture investment companies
and property partnerships of
the PAC with-profits fund and
of other investments									(28)	(28)


Share capital and share premium
New share capital subscribed	H11	1	181					182		182
Transfer to retained earnings
in respect of shares issued
in lieu of cash dividends	H11		(175)	175

Treasury shares
Movement in own shares in respect
of share-based payment plans				7				7		7
Movement in Prudential plc shares
purchased by unit trusts
consolidated under IFRS				4				4		4

Net increase (decrease) in equity		1	6	800	13	(105)	(2)	713	(30)	683
At beginning of year		122	1,822	3,640	(125)	27	2	5,488	132	5,620

At end of year		123	1,828	4,440	(112)	(78)	–	6,201	102	6,303


		2006 £m
	Note	Share capital	Share premium	Retained earnings	Translation reserve	Available- for-sale securities reserve	Hedging reserve	Share- holders’ equity	Minority interests	Total equity

Reserves
Profit for the year				874				874	1	875
Items recognised directly in equity:
Exchange movements	B4				(224)			(224)		(224)
Movement on cash flow hedges							7	7		7
Unrealised valuation movements
on Egg securities classified as
available-for-sale						(2)		(2)		(2)
Unrealised valuation movements
on US life operations securities
classified as available-for-sale:	D3(a)
Unrealised holding losses arising
during the year						(208)		(208)		(208)
Less losses included in the
income statement						7		7		7

						(201)		(201)		(201)
Related change in amortisation
of deferred income and
acquisition costs						75		75		75
Related tax					(74)	50	(2)	(26)		(26)

Total items of income and expense
recognised directly in equity					(298)	(78)	5	(371)		(371)

Total income and expense for the year				874	(298)	(78)	5	503	1	504
Dividends	B3			(399)				(399)		(399)
Reserve movements in respect
of share-based payments				15				15		15
Change in minority interests arising
principally from purchase and sale
of venture investment companies
and property partnerships of
the PAC with-profits fund and
of other investments									43	43
Acquisition of Egg minority interests	I6			(167)				(167)	(84)	(251)

Share capital and share premium
New share capital subscribed	H11	3	333					336		336
Transfer to retained earnings
in respect of shares issued
in lieu of cash dividends	H11		(75)	75

Treasury shares
Movement in own shares in respect
of share-based payment plans				6				6		6
Movement in Prudential plc shares
purchased by unit trusts
consolidated under IFRS				0				0		0

Net increase (decrease) in equity		3	258	404	(298)	(78)	5	294	(40)	254
At beginning of year		119	1,564	3,236	173	105	(3)	5,194	172	5,366

At end of year		122	1,822	3,640	(125)	27	2	5,488	132	5,620