=+1. On 1 January 2005, GOLD acquired 4,000,000 €1 ordinary shares in SILVER. On this date the book value of the net assets of SILVER approximated to their fair value.

For the purposes of measuring non-controlling interests at the date of acquisition, the proportionate share method equated to the fair value method.

31. FOREIGN CURRENCY TRANSACTIONS AND TRANSLATION OF FOREIGN OPERATIONS 623