Next most senior parent that publishes

Learning objectives

• Determine the parent to be named when neither the parent nor the ultimate controlling party produces consolidated financial statements available for public use.L2, L3

Normative references

• IAS 24 §13Relationships between a parent and its subsidiaries are disclosed irrespective of whether there have been transactions between them. An entity discloses the name of its parent and, if different, of the ultimate controlling party; if neither produces consolidated financial statements available for public use, it discloses the name of the next most senior parent that does so.

Original summaries of the paragraphs (reference register), never a quotation of the standard.

2 questions

• Nexor SA is held by Nexor Holding, itself controlled by the company Orbis, the ultimate controlling party. Neither Nexor Holding nor Orbis produces consolidated financial statements available for public use; the company Pléiade, located between Nexor Holding and Orbis, does. Which names does Nexor SA disclose?L2
• Aster SA is held by Aster Holding, which does not publish consolidated statements. Ultimate control is exercised by the Roux family, individuals who of course produce none. Between the two sits the Zéphyr group, a more senior parent that publishes consolidated statements available for public use. What must Aster SA disclose?L3