Share capital
According to the articles of association of TeliaSonera AB the authorized share capital shall amount to no less than SEK 8 billion and no more than SEK 32 billion. All issued shares have been paid in full and carry equal rights to vote and participate in the assets of the company.
Since December 31, 2005, the issued share capital changed as follows.
|
|
Issued share capital (SEK) |
Number of issued shares |
Quotient value (SEK/share) |
|---|---|---|---|
| Issued share capital, December 31, 2005 | 14,960,742,621 | 4,675,232,069 | 3.20 |
| Cancellation of shares repurchased in 2005, September 6, 2006 | -591,279,539 | -184,774,856 | 3.20 |
| Issued share capital, December 31, 2006 | 14,369,463,082 | 4,490,457,213 | 3.20 |
| Issued share capital, December 31, 2007 | 14,369,463,082 | 4,490,457,213 | 3.20 |
| Issued share capital, December 31, 2008 | 14,369,463,082 | 4,490,457,213 | 3.20 |
Treasury shares
The 2005 Annual General Meeting of shareholders decided on a share repurchase program. After executing the program, the 2006 Annual General Meeting decided to reduce the share capital by cancellation of the repurchased shares. The cancellation was accomplished on September 6, 2006.
No TeliaSonera shares are held by the company's subsidiaries.
Reserves
|
|
December 31, | |
|---|---|---|
| SEK in millions | 2008 | 2007 |
| Recycling reserves |
|
|
| Fair value reserve – quoted equity instruments |
|
|
| Opening balance | 128 | 124 |
| Net changes in fair value | -97 | 4 |
| Closing balance | 31 | 128 |
| Hedging reserve – cash flow hedges |
|
|
| Opening balance | 0 | -35 |
| Net changes in fair value | -349 | -13 |
| Transferred to finance costs in the income statement | 18 | 62 |
| Tax effect | 87 | -14 |
| Closing balance | -244 | 0 |
| Foreign currency translation reserve |
|
|
| Opening balance | 5,658 | -2,976 |
| Translation of foreign operations | 13,185 | 8,741 |
| Foreign operations divested | – | 7 |
| Hedging of foreign operations | -1,083 | -158 |
| Tax effect | 303 | 44 |
| Closing balance | 18,063 | 5,658 |
| Total recycling reserves, closing balance | 17,850 | 5,786 |
| Other reserves |
|
|
| Revaluation reserve |
|
|
| Opening balance | 972 | 1,138 |
| Transfer of amortization and depreciation for the year | -153 | -166 |
| Closing balance | 819 | 972 |
| Inflation adjustment reserve |
|
|
| Opening balance | 4,909 | 4,909 |
| Closing balance | 4,909 | 4,909 |
| Total other reserves, closing balance | 5,728 | 5,881 |
| Total reserves, closing balance | 23,578 | 11,667 |
The hedging reserve comprises gains and losses on derivatives hedging interest rate and foreign currency exposure, with a negative net effect in equity of SEK 244 million as of December 31, 2008. Future gains or losses will affect the income statement in 2010–2011, 2013–2014, 2016–2017 and 2019 when the hedged items mature. No hedging reserve transfer necessitated adjustment of the cost of acquisition. See also section “Financial Instruments” in Note 4 “Significant Accounting Policies.”
The inflation adjustment reserve refers to the Turkish economy, which as of January 1, 2006, from an accounting perspective was no longer considered to be hyperinflationary.
Minority interests in equity
Exchange rate differences in minority interests changed as follows.
|
|
December 31, | |
|---|---|---|
| SEK in millions | 2008 | 2007 |
| Opening balance | -266 | -426 |
| Translation of foreign operations | 1,675 | 160 |
| Closing balance | 1,409 | -266 |
Minority interests in equity were distributed as follows (including intermediate holding companies, where applicable).
|
|
December 31, | |
|---|---|---|
| SEK in millions | 2008 | 2007 |
| DLG-debitel I/S, Denmark | 66 | 60 |
| TEO LT, AB, Lithuania | 1,319 | 1,178 |
| Latvijas Mobilais Telefons SIA, Latvia | 864 | 764 |
| AS Eesti Telekom, Estonia | 2,203 | 2,175 |
| Fintur Holdings B.V., the Netherlands | 5,615 | 5,356 |
| TeliaSonera UTA Holding B.V., the Netherlands | 987 | 233 |
| Other subsidiaries | 7 | 17 |
| Total minority interests in equity | 11,061 | 9,783 |
Earnings per share and dividends
|
|
January–December | |
|---|---|---|
|
|
2008 | 2007 |
| Net income attributable to shareholders of the parent company (SEK million) | 19,011 | 17,674 |
| Average number of outstanding shares, basic and diluted (thousands) | 4,490,457 | 4,490,457 |
| Earnings per outstanding share, basic and diluted (SEK) | 4.23 | 3.94 |
| Ordinary cash dividend (for 2008 as proposed by the Board) |
|
|
| – Per share (SEK) | 1.80 | 1.80 |
| – Total (SEK million) | 8,083 | 8,083 |
| Extraordinary cash dividend |
|
|
| – Per share (SEK) | – | 2.20 |
| – Total (SEK million) | – | 9,879 |