For half yearly reports, changes in contingent liabilities and contingent assets since the last +annual report.

Contingent assets and liabilities are included in the annex to the financial statements as off-balance-sheet commitments.

The former includes the provision of contingent assets and transferring non-cash assets such as property to the pension scheme.

FRS12 'Provisions, contingent liabilities and contingent assets'.

Material contingent assets are disclosed as a note to the Consolidated Balance Sheet if the inflow of a receipt or economic benefit is probable. 5.

It does not therefore fall under the scope of the accounting standard FRS12 `Provisions, contingent liabilities and contingent assets'.

Where such variances result from changes in accounting treatment of provisions, contingent liabilities and contingent assets (FRS12), the commentary should make this clear.

The best estimate of expenditure is determined in accordance with IAS 37 (provisions, contingent liabilities and contingent assets).

There have been no material changes in contingent assets and liabilities reported in the 2006 consolidated financial statements of AEGON.

The balance sheet and segmental analysis have been restated due to the adoption of Financial Reporting Standard 12, Provisions, contingent liabilities and contingent assets.

In the IFRS, the treatment of provisions (as well as contingent assets and liabilities) is found in IAS 37.

These guarantees do not affect the amount of receivables on the assets side of the balance sheet, but are entered in the annex as off-balance-sheet commitments under contingent assets.

Also, as per IAS 37 "provisions, contingent liabilities and contingent assets", where discounting is used, the carrying amount of a provision increases in each period to reflect the passage of time.

A spokesperson from The Pensions Regulator said: "Contingent assets can be a valuable way of providing security for pension scheme promises, particularly in situations where cash may not be readily available.

In preparing the Financial Statements, the Management Committee is required to make estimates and assumptions that affect reported income, expenses, assets, liabilities and disclosure of contingent assets and liabilities.

The operating loss attributable to these businesses of £17m excluded a £7m exceptional charge which reflected the application of the new FRS 12 'Provisions, contingent liabilities and contingent assets'.

The issue of ‘own credit risk’ has relevance to other IASB projects, in particular in the accounting for financial instruments, insurance, fair value measurement and provisions, contingent liabilities and contingent assets.

Non U.S. clients are required to comply with the International Accounting Standards Board IAS 37 for Provisions, Contingent Liabilities and Contingent Assets.

"Although UK trustees have some familiarity with the use of contingent assets over the last few years, the use of non-cash assets to help plug funding gaps would be a new development," he added.

It sets out the accounting and disclosure requirements for provisions, contingent liabilities and contingent assets, with several exceptions, establishing the important principle that a provision is to be recognized only when the entity has a liability.

Contingent assets and liabilities Items which are not recognised in the Statement of Financial Position because they cannot be measured reliably or because there is a degree of uncertainty as to whether they will be realised.

Another asset will be the right to money from some contingent assets of Drexel, notably its suits against former employees, including Michael Milken, who once dominated the junk-bond world but now is serving a 10-year sentence for securities law violations.

Significant estimates include, but are not limited to, amounts for employment benefits, provisions for future charges, financial risk on accounts receivables, accrued income and charges, contingent assets and liabilities, and degree of impairment of fixed assets.

Core and contingent assets are also worth 102% of the current share price; hence we see minimal downside risk with no value in the share price for exploration upside. ■ Cash generation: Production growth should drive strong cash flow generation.

Restatement of comparatives The application of Financial Reporting Standard12 ( FRS12: Provisions, contingent liabilities and contingent assets) to the NHS in 1999/ 2000 changes the way in which provisions are recognised and calculated.