1. OBJECTIVE AND SCOPE

1.1   Objective of this Procedure

This procedure describes how to manage the ACTUAL0 Category, such as create the Category for a new year or to maintain when there is an operation in Solvay’s scope of companies, as well as the sell of a company; the acquisition of a company; and change in the method of consolidation.



1.2 Scope 

This procedure applies to the BFC Administration team.



2. REFERENCE DOCUMENTS

 

3. DEFINITIONS

GAR team - Group Account Reporting Team

BFC-Admin team - Team responsible to administrate the Consolidation Tool for the Group Solvay (BFC)

CAM - Company Account Manager

CBCR - Country By Country Report

 

4. SUMMARY 

4.1 Principle and Context 

The ACTUAL0 is a Category used to report statutory figures, what enables to build the Shareholding structure of the Solvay Group, which becomes available in the Solvay Shareholding Structure site.

In this category are concerned either Consolidated and Non-consolidated companies. The information collected for each type of company is different, thus the documents available for them are different, as the described below:


Consolidated Companies

L4005 Investment - This document reports the number of shares that the company holds per affiliate, as well as the the number of shares that the affiliate has issued, then it is possible to know the percentage owned by the reported company. If there is any variance it is explained by flow.

L4000 Impairment (Statutory data) - This document reports the information for the impairment process on financial assets.

L4020 Shareholder's equity - This document reports the numbers of shares issued, split by mother companies. If there is any variance it is explained the variation by flow.

L4060 CBCR - Revenues and headcount - This document reports the Revenues the company had in the previous year split by trading partners.

 

Non-Consolidated Companies

L4005 Investment - In most of cases, the non-consolidated companies do not have affiliates, hence this document is empty.

L4020 Shareholder's Equity - This document details the information about the mother company of the entity (number of shares hold).

L4050 Financial information – This document reports the Balance Sheet and Income Statement of the entity. No detail is asked, no flow and no activity.

 

4.2 Responsibility

The Corporate Secretary is responsible to communicate the changes in the Solvay's structure that are performed in the PRS System.

The GAR team communicate through the Structure File, available in the GAR AODOCs Library, the changes in the Solvay's Structure.

The BFC Administration team is responsible to maintain any necessary update in ACTUAL0 category.

The CAM is responsible to enter the information in this category for the companies under his/her scope.

 

4.3 Overview 

At the beginning of the year the ACTUAL0 category has to be created for the current year. By principle, there is only one category per year, which is set for December (ACTUAL0 - YYYY.12).

The packages stay opened along the year to allow the CAM update the information when necessary. However, every quarter the packages have to be published and locked during two days, to allow the GAR Team to analyze the data and update the Solvay Shareholding Structure.

 

ACTUAL0 REPORTING SETUP

The process by which data is reported is defined in the Reporting Organizer and RU Organizer. In these modules it can be defined:

  • Which reporting units should send packages and when.
    • This consists of establishing a work schedule (start and end dates for sending packages), in the Reporting Organizer, and a list of the reporting units sending the packages, in the RU Organizer.
  • Define the data entry environment.
    • Define the data entry schedules, opening balances, processing operations, controls and restrictions.
  • Manage how opening packages are generated.

After the Reporting Organizer and RU Organizer are defined the packages should be transferred to the Package Manager module, to allow the user to enter the necessary reporting data.


The Packages have to be added for a new company or deleted for a company that left the group, according to the operations of companies along of the year.


ACTUAL0 SCOPES OF CONSOLIDATION

Then the Scopes for this Category has to be created. A Scope enables to group together the reporting units to be included in the consolidation process and select the consolidation method to be applied. 

For the ACTUAL0 there are two specific scopes of consolidation:

  • SOLFULL - Contain all Solvay Companies (consolidated or not). All companies are integrated at 100%.
  • SOLCONSO - Contain all Solvay Companies (consolidated or not). The companies are integrated at their ownership rate.


These Scopes should be updated according to the operations of companies along of the year.


ACTUAL0 CONSOLIDATIONS SETUP

It has to be defined three Consolidations for the ACTUAL0 category:

  • SOLFULL - To consolidate all the companies of the Group at 100%.
  • SOLCONSO - To consolidate all the companies of the Group at their ownership rate.
  • SOLVAY14 - To consolidate all the Consolidated companies.


All the Consolidations need to be updated on Quarterly basis, when the Conversion Rate Period should be changed to the one in reference.

Additionally, the Consolidation SOLVAY14 needs to have the Scope Period updated, as well, to the one in reference.


5. REPORTING SETUP

5.1 REPORTING SETUP - Reporting Organizer

In the Reporting Organizer module it is created the Category for the period (Reporting ID) and is defined the common data for the packages, as the Deadline, Folder, Set of Controls, Opening Balances, etc.

 

To create a new Reporting ID for the period, select the one of the previous year in the field Select Reporting IDs.

In this example, it is being created the category for 2017, so it was select as reference the category of 2016 (ACTUAL0 - 2016.12)

Then in Reporting Organizer module Open it and Save As.

 

 

 

 

 

 

The General tab defines the general properties of the reporting ID.

Enter the following information:

  • Category - ACTUAL0
  • Data entry period - 20XX.12
  • Short & Long description - Shareholding - 20XX.12

 

 

 

 

The Definition tab indicates the reporting status. It can also be specified the associated category scenario and the start and end dates for the reporting.

Enter the following information:

  • Version: A1403.
  • Start & End Date: It can be specified the scheduled start and end dates. The reporting status depends on these dates. Enter a large range, e.g. January 1st of current year to March 1st next year.

 

 

 

 

 

 

 

The Package tab defines the settings of the data entry environment for the packages.

Enter the following information:

  • Windows and Internet folder: ACTUAL0 - The documents that will be available for the company in this phase.
  • Internet-specific folder: ACTUAL0 - The documents that will be available for the company in this phase.
  • Set-of controls: ACT0-IG - The controls that are set to check the package data for this phase.
  • Control level to be reached: Q - This field needs a special attention, because if any the previous field is changed this one is deleted, always ensure it is filled properly.
  • Blocking - Flag the option Blocking.
  • Category: ACTUAL0.
  • Data entry period: 20XX.12 - Inform the period which the opening balances are retrieved. Always December of previous year.
  • Scope: SOLVAY14- This scope is taken into account just the consolidated companies.
  • Variant: 2 - This information is related to the consolidation rules, in this instance is the variant 2, which considers the IFRS Norms.

 

 

The Restrictions tab defines the data entry restrictions which are applied when the data is entered.

The flow F00 (Opening Balances) must be informed in Read-only Flows, this way it will not be available for edition in the package.

 

 

The Operation tab defines the settings to publish the packages. 

In the Deadline it has to be informed the date that the packages will have to be published.

It has to be changed each quarter, according to date defined in the Calendar available in the GAR AODOCs Library.

 

 

The Translation tab defines the object descriptions for the selected language. 

Both French and English should be informed: Shareholding - 20XX.12

 

 

5.2 REPORTING SETUP - RU Organizer

In the RU Organizer is defined the companies to be reported in the category.

 

Select all packages in the RU Organizer module from the previous year (Ctrl+A), and copy (through the icon  or Ctrl+C).

 

 

 

Change the period to the one that is being created and paste packages (through the icon  or Ctrl+V).

Then the reporting packages are created in RU Organizer module.

Note that the packages will have the status , meaning that they are still not available in the Package Manager module.

 

 

Before Generate the packages to the Package Manager module, ensure that all the companies are with the correct Method of Consolidation (column Entity Portfolio), and if any company needs either to be added or deleted.

 

To make the reporting available in the Package Manager module, select all packages and with the right click choose "Generate Package at Current Site".

 

 

 

 

The package status changes to , meaning that the package are now available in the Package Manager module.

 

 

 

 

 

5.3 REPORTING SETUP - Package Manager

After Generate the Package to the Package Manager module, they will be available for the users to enter the data for the companies under their responsibility.

In this module it is done the follow-up on the package status (Empty, Changed, Publish or Integrated). Then it is possible to check if any company is missing to report the necessary information.

 

6. SCOPES OF CONSOLIDATION

6.1 SCOPES OF CONSOLIDATION - SOLFULL

 

6.2 SCOPES OF CONSOLIDATION - SOLCONSO

 

6.3 SCOPES OF CONSOLIDATION - Transfer from FC_TOP to FC_Prod

 

7. CONSOLIDATIONS SETUP

7.1 CONSOLIDATIONS SETUP - SOLFULL

 

7.2 CONSOLIDATIONS SETUP - SOLCONSO

 

7.3 CONSOLIDATIONS SETUP - SOLVAY14

 

7.4 CONSOLIDATIONS SETUP - Quarterly Update

 

8. COMPANIES OPERATIONS

8.1 COMPANIES OPERATIONS - New Companies

When the group acquires a new company a package has to be created in the ACTUAL0 Category.

To create the package ensure that the company has already been created in BFC, otherwise follow the instructions in the Procedure:


After the communication from the Corporate Secretary, the information about the concerned company should be available in the Structure file within the GAR Team site.

GAR team site link: http://teamsites.solvay.com/sites/DCFI-CC-GAC/default.aspx > BFC Doc and Training > 04. Solvay Structure

 

As example, it will be used the company 63280 COGENERATION ROSIGNANO S.p.a., which was acquired in January 2017.


Then in the BFC_FCprod, enter on the phase for the correspondent period, in this instance, should be ACTUAL0 – 2017.12.

Within the “Operation” domain select the “RU Organizer”module

 

Select “New” to enter a new company.

In the tab General insert the following information:

Category: ACTUAL0

Data entry period: 20XX.12 - Always December of the current year, since this phase is created once a year.

Reporting Unit: The BFC company code.

 

In the tab Roadmap enter the following information:

Data entry site: 0000.PROD001

Data entry Currency: The company currency

Publication site: 0000.PROD001

 

In the tab Package it will be informed what determines the documents that are shown at the company's package; as well as the set of rules (Validations); opening balance; and the Scope that the company is assigned on this phase.

Since the information collected for a Non-Consolidated and a Consolidated company is different, this tab has some specification for each type of company.

 

Non-Consolidated Company

Windows and Internet folder: ACTUAL0-FI - The documents that will be available for the company in this phase.

Internet-specific folder: ACTUAL0-FI - The documents that will be available for the company in this phase.

Set-of controls: ACT0-FI - The controls that are set to check the package for this phase.

Control level to be reached: Q - This field need a special attention, because if any the previous field is changed this one is deleted, always ensure it is fulfilled properly.

  • Blocking - Flag the option Blocking.

Category: ACTUAL0

Data entry period: 20XX.12 - Inform the period which the opening balances are retrieved. Always December of previous year.

Scope: SOLFULL - This scope is taken into account all the companies in the Group's structure.

Variant: 2 - This information is related to the consolidation rules, in this instance is the variant 2, which considers the IFRS Norms.

Consolidation currency: EUR - The Group Consolidation Currency, always EUR, regardless the company currency.

 

Consolidated Company

Windows and Internet folder: ACTUAL0 - The documents that will be available for the company in this phase.

Internet-specific folder: ACTUAL0 - The documents that will be available for the company in this phase.

Set-of controls: ACT0-IG - The controls that is set for the company for this phase.

Control level to be reached: Q - This field need a special attention, because if any the previous field is changed this one is deleted, always ensure it is fulfilled properly.

  • Blocking - Flag the option Blocking.

Category: ACTUAL0

Data entry period: 20XX.12 - Inform the period which the opening balances are retrieved. Always December of previous year.

Scope: SOLVAY14- This scope is taken into account just the consolidated companies.

Variant: 2 - This information is related to the consolidation rules, in this instance is the variant 2, which considers the IFRS Norms.

Consolidation currency: EUR - The Group Consolidation Currency, always EUR, regardless the company currency.

 

The tab Restrictions is automatically filled, but it is necessary to confirm that the option Read-only flows is set for the F00, this means that the opening balances are not available for edition.

Then save .

 

 

All the other tabs are automatically filled, but ensure that the data are correct.


Outside the package creation/edition screen, make sure all the information is compliant.

At this stage the package is created at the "RU Organizer" module.

Its status is: The package has not been generated.

To generate the package, choose with right click the option: Generate Package at Current Site.

Then status will be changed, meaning that the package is now available at the "Package Manager" module, thus available for the users that have access for this company at this phase.

 

 

8.2 COMPANIES OPERATIONS - End of Companies

 

8.3 COMPANIES OPERATIONS - Change of Consolidation Method

The change in the method of consolidation concerns the transition from the equity method to integration (global or proportional) or vice versa. In other words, this transition is assimilated to either an increase or decrease in the rate of integration.

As soon as a company change its consolidation method the information to be reported is different, hence its set-up needs to be updated accordingly.

The change of consolidation method should be communicate by the Corporate Secretary and they information available on structure file on GAR team site.

 

Then in the FC_Prod, enter in the category for the correspondent period, in this instance, should be ACTUAL0 – 2017.12.

Within the “Operation” domain select the “RU Organizer” module and select the company to be updated.

 

In the tab Package it will be informed what determines the documents that are shown at the company's package; as well as the set of rules (Validations); opening balance; and the Scope that the company is assigned on this phase.

The information in this tab has to be updated according to the new consolidation method.

 

Non-Consolidated Company

Windows and Internet folder: ACTUAL0-FI - The documents that will be available for the company in this phase.

Internet-specific folder: ACTUAL0-FI - The documents that will be available for the company in this phase.

Set-of controls: ACT0-FI - The controls that are set to check the package for this phase.

Control level to be reached: Q - This field need a special attention, because if any the previous field is changed this one is deleted, always ensure it is fulfilled properly.

  • Blocking - Flag the option Blocking.

Category: ACTUAL0

Data entry period: 20XX.12 - Inform the period which the opening balances are retrieved. Always December of previous year.

Scope: SOLFULL - This scope is taken into account all the companies in the Group's structure.

Variant: 2 - This information is related to the consolidation rules, in this instance is the variant 2, which considers the IFRS Norms.

Consolidation currency: EUR - The Group Consolidation Currency, always EUR, regardless the company currency.

 

Consolidated Company

Windows and Internet folder: ACTUAL0 - The documents that will be available for the company in this phase.

Internet-specific folder: ACTUAL0 - The documents that will be available for the company in this phase.

Set-of controls: ACT0-IG - The controls that are set to check the package for this phase.

Control level to be reached: Q - This field need a special attention, because if any the previous field is changed this one is deleted, always ensure it is fulfilled properly.

  • Blocking - Flag the option Blocking.

Category: ACTUAL0

Data entry period: 20XX.12 - Inform the period which the opening balances are retrieved. Always December of previous year.

Scope: SOLVAY14- This scope is taken into account just the consolidated companies.

Variant: 2 - This information is related to the consolidation rules, in this instance is the variant 2, which considers the IFRS Norms.

Consolidation currency: EUR - The Group Consolidation Currency, always EUR, regardless the company currency.

 

 

 

 

When a company change its Consolidation Method no action is needed in the Scope SOLFULL, since all companies are set as Full Consolidated.

 

 

 

 

 

9. PACKAGES QUARTERLY BACK-UP

After the publication of all consolidated companies (IG, IP and ME) on ACTUAL0 phase, a back-up of the reported data has to be saved for the given period, e.g. in March/YY a back-up has to be saved as ACTUAL0 - 20YY.03.

Then the packages of ACTUAL0 - 2017.12 have to be reopened.

 

10. OTHER ACTIONS

10.1 OTHER ACTIONS - Add New Companies to the Users