The Group applied, for the first time, certain standards and amendments that could require restatement of previous financial statements. These include IFRS 10 - Consolidated Financial Statements, IFRS 11 - Joint Arrangements, IFRS 13 - Fair Value Measurements, IAS 19 - Employee Benefits (Revised). In addition, the application of IFRS 12 - Disclosure of Interest in Other Entities resulted in additional disclosures in the consolidated financial statements.

The nature and impact of each of the new standards and amendments is described below:

IFRS 10 - Consolidated Financial Statements

IFRS 10 replaces parts of IAS 27 - Consolidated and Separate Financial Statements that deal with consolidated financial statements and introduces a single control model for consolidation.

IFRS 10 provides guidance on when a subsidiary should be consolidated and requires assessment of whether an investor has the power to direct the relevant activities of an investee in order to obtain variable returns. Once it has been established under IFRS 10 that an investee should be consolidated, the actual consolidation principals remain the same as under IAS 27.

The Group re-assessed control in terms of IFRS 10 and concludes that the application of IFRS 10 had no impact on the consolidated financial statements.

IFRS 11 - Joint Arrangements

IFRS 11 replaced IAS 31 - Joint Ventures. Where joint arrangements exist the investor is required to assess whether the joint arrangement is a joint operation or a joint venture, based on the legal structure of the investee and the investor’s rights to and obligations for the underlying assets and liabilities of the investee. Joint operations are accounted for in the financial statements of the investor by including the investor’s share of the assets, liabilities, income and expenses of the investee, while joint ventures are accounted for using the equity method of accounting.

The Group re-assessed its accounting of associates and joint ventures in terms of IFRS 11 and concludes that the application of IFRS 11 had no impact on the consolidated financial statements.

IFRS 12 - Disclosure of Interests in Other Entities

IFRS 12 sets out the requirements for disclosures relating to the Group’s interest in subsidiaries, associates and joint ventures and structured entities. The requirements in IFRS 12 are more comprehensive than the previous disclosure requirements. These disclosures are provided in note 39.

IFRS 13 - Fair Value Measurement

IFRS 13 establishes a single source of guidance under IFRS for all fair value measurements. IFRS 13 does not change when an entity is required to use fair value, but rather provides guidance on how to measure fair value under IFRS. IFRS 13 defines fair value as an exit price. As a result of the guidance in IFRS 13 the Group re-assessed its policies for measuring fair value. IFRS 13 also requires additional disclosures.

The application of IFRS 13 did not materially impact the fair value measurements of the Group. Where required, additional disclosure is provided in the individual notes relating to the assets and liabilities whose fair values were determined. Fair value hierarchy is provided in note 38.

IAS 19 - Employee Benefits (Revised)

The amendments to IAS 19 require all actuarial gains and losses to be recognised immediately in other comprehensive income so that the pension asset or liability reflects the full value of the plan deficit or surplus.

The Group applied IAS 19 retrospectively in the current period in accordance with the transitional provisions set out in the revised standard. The opening statement of financial position of the earliest comparative period presented (1 July 2012) and the comparative amounts (30 June 2013) have been restated accordingly.

Other amendments

Several other amendments apply for the first time in 2014. However, they did not impact the annual consolidated financial statements of the Group.

Comparative information

As a result of the retrospective restatement of items in the consolidated financial statements the June 2012 statement of financial position is presented but unaccompanied by related notes.

The notes that accompany the 2013 financial statements have been restated accordingly.

Reclassification of provisions

Leave pay, bonuses and long-service payments, previously shown under provisions were reclassified to trade and other payables. The reclassification was done as at 1 June 2013 resulting in the restatement of the 2013 statement of financial position. The reclassification had no impact on profit or loss or cash flows.

Segment reporting

Arising from the imperative to eliminate complexity and to reflect the new management structure the Other Segment, which previously comprised Car Rental and After Market Parts, has been combined with the Automotive Retail division. The combined segment is now referred to as the Vehicle Retail, Rental and After Market Parts. Prior year’s comparatives have been restated accordingly.

The Group’s reporting segements were renamed as follows: