|
Share
capital
£m |
|
Share
premium
account
£m
|
|
Other
reserves
£m |
|
Profit
and loss
account
£m |
|
Total
£m |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Balances
at 1 April 2000 |
7,485 |
|
–
|
|
(3,345 |
) |
9,700 |
|
13,840 |
|
| Employee
share option schemes – 78 million |
|
|
|
|
|
|
|
|
|
|
| shares
issued (note
34) |
88 |
|
–
|
|
546 |
|
– |
|
634 |
|
Movement
relating to BT’s employee share ownership
trusta |
– |
|
–
|
|
– |
|
(359 |
) |
(359 |
) |
| Currency
movements (including £65 million net |
|
|
|
|
|
|
|
|
|
|
movements
in respect of foreign currency
borrowings)b |
– |
|
–
|
|
– |
|
429 |
|
429 |
|
| Loss
for the financial year |
– |
|
–
|
|
– |
|
(1,870 |
) |
(1,870 |
) |
| Dividend
(7.8p per ordinary share) |
– |
|
–
|
|
– |
|
(571 |
) |
(571 |
) |
| Adjustment
to unrealised gain on transfer of assets |
|
|
|
|
|
|
|
|
|
|
| and
group undertakings to a joint venture |
– |
|
–
|
|
(49 |
) |
– |
|
(49 |
) |
|
|
|
|
|
|
|
|
|
|
|
| Balances
at 1 April 2001 |
7,573 |
|
–
|
|
(2,848 |
) |
7,329 |
|
12,054 |
|
| Rights
issuec |
2,272 |
|
–
|
|
3,604 |
|
– |
|
5,876 |
|
| Shares
issued to special purpose trustd |
65 |
|
–
|
|
108 |
|
– |
|
173 |
|
| Other
allotments of ordinary shares prior to |
|
|
|
|
|
|
|
|
|
|
| demerger
– 52 million shares issued |
61 |
|
–
|
|
160 |
|
– |
|
221 |
|
|
Distribution relating to demerger of mmO2e |
– |
|
–
|
|
– |
|
(19,490 |
) |
(19,490 |
) |
| Capital
reduction on 21 November 2001f |
(9,537 |
) |
–
|
|
– |
|
9,537 |
|
– |
|
| Goodwill,
previously written off to reserves, taken |
|
|
|
|
|
|
|
|
|
|
| back
to the profit and loss accountg (note
7) |
– |
|
–
|
|
– |
|
68 |
|
68 |
|
| Employee
share option schemes – 1 million |
|
|
|
|
|
|
|
|
|
|
| shares
issued (note
34) |
– |
|
2
|
|
– |
|
– |
|
2 |
|
Movement
relating to BT’s employee share ownership
trusta |
– |
|
–
|
|
– |
|
(70 |
) |
(70 |
) |
| Unrealised
gain on start up of joint ventures |
– |
|
–
|
|
5 |
|
– |
|
5 |
|
| Realisation
of gain made on start up of joint ventures |
– |
|
–
|
|
(2 |
) |
– |
|
(2 |
) |
| Movement
in other reserves due to demerger |
– |
|
–
|
|
(2 |
) |
– |
|
(2 |
) |
| Currency
movements (including £36 million net |
|
|
|
|
|
|
|
|
|
|
movements
in respect of foreign currency
borrowings)b |
– |
|
–
|
|
– |
|
(15 |
) |
(15 |
) |
| Profit
for the financial year |
– |
|
–
|
|
– |
|
995 |
|
995 |
|
| Dividend
(2.0p per ordinary share) |
– |
|
–
|
|
– |
|
(173 |
) |
(173 |
) |
|
|
|
|
|
|
|
|
|
|
|
| Balances
at 1 April 2002 |
434 |
|
2
|
|
1,025 |
|
(1,819 |
) |
(358 |
) |
| Goodwill,
previously written off to reserves, taken |
|
|
|
|
|
|
|
|
|
|
| back
to the profit and loss accountg (note
7) |
– |
|
–
|
|
– |
|
869 |
|
869 |
|
Employee
share option schemes – 0.2 million shares
issued (note
34) |
– |
|
–
|
|
– |
|
– |
|
– |
|
| Transfer
between reservesh |
– |
|
–
|
|
(27 |
) |
27 |
|
– |
|
|
|
|
|
|
|
|
|
|
|
|
Currency
movements (including £106 million net
movements in respect of foreign currency
borrowings)b |
– |
|
–
|
|
– |
|
5 |
|
5 |
|
| Profit
for the year |
– |
|
–
|
|
– |
|
2,686 |
|
2,686 |
|
| Dividend
(6.5p per ordinary share) |
– |
|
–
|
|
– |
|
(560 |
) |
(560 |
) |
|
|
|
|
|
|
|
|
|
|
|
| Balances
at 31 March 2003 |
434 |
|
2
|
|
998 |
|
1,208 |
|
2,642 |
|
|
|
|
|
|
|
|
|
|
|
|
| a During
the year ended 31 March 2002 the company issued
shares at a market value of £154 million (2001
– £400 million) in respect of the exercise
of options awarded under its principal savings-related
share option scheme. Employees paid £84 million
(2001 – £145 million) to the group for
the issue of these shares and the balance of £70
million (2001 – £255 million) comprised
contributions to the qualifying employee share ownership
trust from group undertakings. The movement relating
to BT’s Employee Share Ownership Trust in 2001
included the writedown of shares held in trust. |
| b
The cumulative foreign currency translation
adjustment, which increased retained earnings at
31 March 2003, was £222 million (2002 –
£217 million, 2001 – £278 million). |
| c
The group’s rights issue closed on 15
June 2001, when British Telecommunications plc was
the parent company of the group. A total of 1,976
million ordinary shares of 25p each was issued
at 300p per share in a 3 for 10 rights issue. Of
the total of £5,876 million raised, net of
£52 million expenses, £494 million
was credited to share capital and £5,382 million
to the share premium account of British Telecommunications
plc. Following the introduction of BT Group
plc as the parent company of the group, the increase
in consolidated share capital has been restated
to reflect the nominal value of BT Group plc
shares and the balance has been credited to other
reserves. |
| d
In connection with outstanding share options
at the date of demerger, 57 million British Telecommunications
plc ordinary shares were issued on 14 November
2001 to a special purpose trust. Of the consideration
of £173 million, £159 million was credited
to the share premium account of British Telecommunications
plc. Following the introduction of BT Group plc
as the parent company of the group, the increase
in consolidated share capital has been restated
to reflect the nominal value of BT Group plc shares
and the balance has been credited to other reserves. |
| e
The demerger distribution of £19,490 million
represents the net assets of mmO2, including purchased
goodwill, as at the date of the demerger. See also
the note on the face of the group profit and loss
account for the year ended 31 March 2002. |
| f
Following the approval of the Court, the nominal
value of BT Group shares was reduced from 115p per
share to 5p per share on 21 November 2001 by way
of a reduction of capital under section 135 of the
Companies Act 1985. The surplus of £9,537
million arising from this reduction has been credited to
group profit and loss reserve. |
| g
Aggregate goodwill at 31 March 2003 in respect
of acquisitions completed prior to 1 April 1998
of £385 million (2002 – £1,254
million, 2001 – £1,383 million)
has been written off against retained earnings in
accordance with the group’s accounting policy.
The goodwill written off against retained earnings
will be charged in the profit and loss account on
the subsequent disposal of the business to which
it related. |
| h
Release of statutory reserves in subsidiary
undertakings on cessation of associated activities. |
|
