[1] General accounting policies

The condensed Group interim financial statements of Linde AG for the three months ended 31 March 2016 have been prepared in accordance with International Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board (IASB) applicable to interim financial reporting, as adopted by the European Union pursuant to EU Regulation No. 1606/2002 of the European Parliament and the Council on the application of International Accounting Standards.

The reporting currency is the euro. All amounts are shown in millions of euro (EUR m), unless stated otherwise.

A review of the condensed Group interim financial statements has been performed by KPMG AG Wirtschaftsprüfungsgesellschaft.

The accounting policies used in the condensed Group interim financial statements are the same as those used to prepare the Group financial statements for the year ended 31 December 2015. In the first quarter of 2016, there were also no changes in discretionary decisions and estimates compared with the information disclosed in the 2015 Financial Report.

In addition, IAS 34 Interim Financial Reporting has been applied. Since 1 January 2016, the following standards have become effective:

  • Amendments to IFRS 11 Joint Arrangements: Accounting for Acquisitions of Interests in Joint Operations
  • Amendments to IAS 16 Property, Plant and Equipment and IAS 38 Intangible Assets: Clarification of Acceptable Methods of Depreciation and Amortisation
  • Annual Improvements to IFRSs (2012 – 2014)
  • Amendments to IAS 1: Disclosure Initiative
  • Amendments to IAS 19: Defined Benefit Plans: Employee Contributions
  • Annual Improvements to IFRSs (2010 – 2012)

The following standards were issued by the IASB, but have not yet been applied in the condensed Group interim financial statements of The Linde Group for the three months ended 31 March 2016, as the standards are not yet effective:

  • IFRS 16 Leases (first-time application according to IASB in financial years beginning on or after 1 January 2019)
  • Amendments to IAS 12: Recognition of Deferred Tax Assets for Unrealised Losses (first-time application according to IASB in financial years beginning on or after 1 January 2017)
  • Amendments to IAS 7: Disclosure Initiative (first-time application according to IASB in financial years beginning on or after 1 January 2017)