Scope of consolidation

Talanx AG is the ultimate parent company of the Group. In accordance with IAS 27 the consolidated financial statement includes Talanx AG (as the parent company) and all major domestic and foreign Group companies in which Talanx AG indirectly or directly holds a majority voting interest or over which it exercises a de facto power of control.

Only subsidiaries which are of minor importance – both individually and in their entirety – for the net assets, financial position and results of operations of the Group and which do not transact insurance business are exempted from consolidation. The Group assesses whether a subsidiary is of minor importance on the basis of the company’s total assets and net income relative to the corresponding average values for the Group as a whole over the last three years. For this reason 37 (35) subsidiaries, the business object of which is primarily the rendering of services for insurance companies within the Group, were not consolidated in the year under review. Altogether, the balance sheet total of these subsidiaries amounts to less than 0.1% of the average balance sheet total of the Group over the last three years; the result of these companies amounts to altogether less than 1% of the average result of the Group over the last three years. In subsequent periods the subsidiaries not included in the consolidated group on grounds of materiality are examined on each closing date in order to verify whether consolidation is required in light of a reassessment of materiality.

The scope of consolidation as at the balance sheet date encompasses the companies listed in the table below.

Scope of consolidation

2010

2009

Number of consolidated companies

   

Germany

70

74

Abroad 1)

86

89

Total

156

163


Number of consolidated special purpose entities

   

Abroad

2

2

Total

2

2


Number of consolidated special funds

   

Germany

14

16

Abroad

8

2

Total

22

18

     

Sum total of consolidated companies

180

183


Number of associated companies included at equity

   

Germany

3

3

Abroad 2)

9

9

Total

12

12


Joint ventures consolidated proportionately

   

Germany

1


1) Consists of: 47 (52) individual companies and 39 (37) companies which are consolidated in 3 (3) subgroups.
2) Consists of: 3 (4) associated companies and 6 (5) companies which are included at equity in 1 (1) subgroup.

With regard to the major acquisitions and disposals in the year under review please see our explanatory remarks in the following subsections of this section. All affiliated companies, joint ventures, special funds and special purpose entities as well as associated companies are specified individually in the list of shareholdings.