IBERSOL | 2019 Annual Report

Consolidated Financial Statements The changes clarify that, to be considered a business, an acquired set of activities and assets must include, at a minimum, an input and a substantive process that, to- gether, contribute significantly to the ability to create outputs. The amendments also clarify that a set of activities and assets can qualify as a business without including all the inputs and processes necessary to create outputs, or including the outputs themselves, replacing the term “ability to create outputs” with “ability to contribute to creating outputs “. It is no longer necessary to assess whether market participants are able to substitute missing inputs or processes (for example, integrating acquired activities and assets) and continue producing outputs. The changes focus on whether the inputs acquired and the substantive processes acquired together contribute significantly to the abi- lity to create outputs. The changes must be applied to transactions whose acquisition date is on or after the beginning of the first annual reporting period beginning on or after January 1, 2020, with early application permitted. If entities apply the changes in advance, they must disclose that fact. 2) Amendments to IAS 1 - Presentation of financial statements On January 23, 2020, the IASB issued an amendment to IAS 1 Presentation of Fi- nancial Statements to clarify how to classify debt and other liabilities as current and non-current. The amendments aim to promote consistency in the application of the requirements with the objective of helping companies to determine whether, in the statement of financial position, debt or other liabilities with uncertain settlement date should be classified as current (to be settled or potentially to be settled within the term one year) or non-current. The changes include clarification on the debt classification re- quirements that a company can settle by converting into equity. This change is effective for periods after January 1, 2022. 3) IFRS 17 On May 18, 2017, the IASB issued a standard that replaced IFRS 4 and completely reformed the treatment of insurance contracts. The standard introduces significant changes to the way the performance of insu- rance contracts is measured and presented, with different impacts also in terms of financial position. The standard provides for its application for years beginning on or after 1 January 2021. This change does not apply to the group. e) Norms and / or interpretations, adopted by the European Union, that the company chose not to apply in advance 1) Amendments to IAS 1 and IAS 8 214