Supplemental Guarantor Information | 35. Supplemental Guarantor Information The following consolidating information presents Condensed Consolidated Balance Sheets as at 31 December 2017 and 2016 and Condensed Consolidated Income Statements and Condensed Consolidated Statements of Comprehensive Income and Condensed Consolidated Statements of Cash Flow for the years ended 31 December 2017, 2016 and 2015 of the Company and CRH America, Inc. as required by Article 3-10(c) of Regulation S-X. This information is prepared in accordance with IFRS with the exception that the subsidiaries are accounted for as investments under the equity method rather than being consolidated. CRH America, Inc. is 100% owned by the Company. The Guarantees of the Guarantor are full and unconditional. CRH plc also fully and unconditionally guarantees securities issued by CRH America Finance, Inc., which is a 100% owned finance subsidiary of CRH plc. CRH America, Inc. (the ‘Issuer’) has the following notes which are fully and unconditionally guaranteed by CRH plc (the ‘Guarantor’): US$288 million 8.125% Notes due 2018 – listed on the NYSE (i) US$400 million 5.750% Notes due 2021 – listed on the NYSE US$1,250 million 3.875% Notes due 2025 – listed on the ISE US$300 million 6.40% Notes due 2033 – listed on the ISE (ii) US$500 million 5.125% Notes due 2045 – listed on the ISE (i) Originally issued as a US$650 million bond in July 2008. Subsequently in May 2017, US$362.13 million of the issued notes were redeemed by the issuer as part of a liability management exercise. (ii) Originally issued as a US$300 million bond in September 2003. Subsequently in August 2009 and December 2010, US$87.445 million of the issued notes were acquired by CRH plc as part of liability management exercises undertaken. Supplemental Condensed Consolidated Balance Sheet as at 31 December 2017 Guarantor Issuer Non-Guarantor Eliminate and CRH and € € € € € ASSETS Non-current Property, plant and equipment - - 13,094 - 13,094 Intangible assets - - 7,214 - 7,214 Subsidiaries 8,658 458 1,682 (10,798 ) - Investments accounted for using the equity method - - 1,248 - 1,248 Advances to subsidiaries and parent undertakings - 3,627 - (3,627 ) - Other financial assets - - 25 - 25 Other receivables - - 156 - 156 Derivative financial instruments - - 30 - 30 Deferred income tax assets - - 95 - 95 Total non-current 8,658 4,085 23,544 (14,425 ) 21,862 Current assets Inventories - - 2,715 - 2,715 Trade and other receivables - 4 3,626 - 3,630 Advances to subsidiaries and parent undertakings 6,141 - 704 (6,845 ) - Current income tax recoverable - - 165 - 165 Derivative financial instruments - 4 30 - 34 Cash and cash equivalents 401 - 1,714 - 2,115 Assets held for sale - - 1,112 - 1,112 Total current assets 6,542 8 10,066 (6,845 ) 9,771 Total assets 15,200 4,093 33,610 (21,270 ) 31,633 EQUITY Capital and reserves attributable to the Company’s equity holders 14,491 1,797 9,001 (10,798 ) 14,491 Non-controlling - - 486 - 486 Total equity 14,491 1,797 9,487 (10,798 ) 14,977 LIABILITIES Non-current Interest-bearing loans and borrowings - 2,020 5,640 - 7,660 Derivative financial instruments - 3 - - 3 Deferred income tax liabilities - - 1,666 - 1,666 Other payables - - 226 - 226 Advances from subsidiary and parent undertakings - - 3,627 (3,627 ) - Retirement benefit obligations - - 377 - 377 Provisions for liabilities - - 693 - 693 Total non-current - 2,023 12,229 (3,627 ) 10,625 Current liabilities Trade and other payables 3 29 4,502 - 4,534 Advances from subsidiary and parent undertakings 704 - 6,141 (6,845 ) - Current income tax liabilities - - 458 - 458 Interest-bearing loans and borrowings 2 244 70 - 316 Derivative financial instruments - - 11 - 11 Provisions for liabilities - - 371 - 371 Liabilities associated with assets classified as held for sale - - 341 - 341 Total current liabilities 709 273 11,894 (6,845 ) 6,031 Total liabilities 709 2,296 24,123 (10,472 ) 16,656 Total equity and liabilities 15,200 4,093 33,610 (21,270 ) 31,633 Supplemental Condensed Consolidated Balance Sheet as at 31 December 2016 Guarantor € Issuer € Non-Guarantor € Eliminate and € CRH and € ASSETS Non-current assets Property, plant and equipment - - 12,690 - 12,690 Intangible assets - - 7,761 - 7,761 Subsidiaries 7,654 375 1,682 (9,711) - Investments accounted for using the equity method - - 1,299 - 1,299 Advances to subsidiaries and parent undertakings - 4,508 - (4,508) - Other financial assets - - 26 - 26 Other receivables - - 212 - 212 Derivative financial instruments - 13 40 - 53 Deferred income tax assets - - 159 - 159 Total non-current assets 7,654 4,896 23,869 (14,219) 22,200 Current assets Inventories - - 2,939 - 2,939 Trade and other receivables - 6 3,973 - 3,979 Advances to subsidiaries and parent undertakings 6,546 - 704 (7,250) - Current income tax recoverable - - 4 - 4 Derivative financial instruments - - 23 - 23 Cash and cash equivalents 401 - 2,048 - 2,449 Total current assets 6,947 6 9,691 (7,250) 9,394 Total assets 14,601 4,902 33,560 (21,469) 31,594 EQUITY Capital and reserves attributable to the Company’s equity holders 13,895 1,922 7,789 (9,711) 13,895 Non-controlling interests - - 548 - 548 Total equity 13,895 1,922 8,337 (9,711) 14,443 LIABILITIES Non-current liabilities Interest-bearing loans and borrowings - 2,934 4,581 - 7,515 Deferred income tax liabilities - - 2,008 - 2,008 Other payables - - 461 - 461 Advances from subsidiary and parent undertakings - - 4,508 (4,508) - Retirement benefit obligations - - 591 - 591 Provisions for liabilities - - 678 - 678 Total non-current liabilities - 2,934 12,827 (4,508) 11,253 Current liabilities Trade and other payables - 46 4,769 - 4,815 Advances from subsidiary and parent undertakings 704 - 6,546 (7,250) - Current income tax liabilities - - 394 - 394 Interest-bearing loans and borrowings 2 - 273 - 275 Derivative financial instruments - - 32 - 32 Provisions for liabilities - - 382 - 382 Total current liabilities 706 46 12,396 (7,250) 5,898 Total liabilities 706 2,980 25,223 (11,758) 17,151 Total equity and liabilities 14,601 4,902 33,560 (21,469) 31,594 Supplemental Condensed Consolidated Income Statement Year ended 31 December 2017 Guarantor € Issuer € Non-Guarantor € Eliminate and € CRH and € Revenue - - 25,220 - 25,220 Cost of sales - - (16,903) - (16,903) Gross profit - - 8,317 - 8,317 Operating income/(costs) 22 - (6,244) - (6,222) Group operating profit 22 - 2,073 - 2,095 Profit on disposals - - 56 - 56 Profit before finance costs 22 - 2,129 - 2,151 Finance costs - (235) (308) 242 (301) Finance income 2 242 10 (242) 12 Other financial expense - - (60) - (60) Share of subsidiaries’ profit before tax 1,754 83 - (1,837) - Share of equity accounted investments’ profit 65 - 65 (65) 65 Profit before tax from continuing operations 1,843 90 1,836 (1,902) 1,867 Income tax expense (55) (29) (26) 55 (55) Group profit for the financial year from continuing operations 1,788 61 1,810 (1,847) 1,812 Profit after tax for the financial year from discontinued operations 107 - 107 (107) 107 Group profit for the financial year 1,895 61 1,917 (1,954) 1,919 Profit attributable to: Equity holders of the Company From continuing operations 1,788 61 1,786 (1,847) 1,788 From discontinued operations 107 - 107 (107) 107 Non-controlling From continuing operations - - 24 - 24 Group profit for the financial year 1,895 61 1,917 (1,954) 1,919 Supplemental Condensed Consolidated Statement of Comprehensive Income Group profit for the financial year 1,895 61 1,917 (1,954) 1,919 Other comprehensive income Items that may be reclassified to profit or loss in subsequent years: Currency translation effects (1,015) (186) (890) 1,015 (1,076) Gains relating to cash flow hedges 8 - 8 (8) 8 (1,007) (186) (882) 1,007 (1,068) Items that will not be reclassified to profit or loss in subsequent years: Remeasurement of retirement benefit obligations 114 - 114 (114) 114 Tax on items recognised directly within other comprehensive income (33) - (33) 33 (33) 81 - 81 (81) 81 Total other comprehensive income for the financial year (926) (186) (801) 926 (987) Total comprehensive income for the financial year 969 (125) 1,116 (1,028) 932 Attributable to: Equity holders of the Company 969 (125) 1,153 (1,028) 969 Non-controlling - - (37) - (37) Total comprehensive income for the financial year 969 (125) 1,116 (1,028) 932 Supplemental Condensed Consolidated Income Statement Year ended 31 December 2016 Restated (i) Guarantor € Issuer € Non-Guarantor € Eliminate and € CRH and € Revenue - - 24,789 - 24,789 Cost of sales - - (16,566) - (16,566) Gross profit - - 8,223 - 8,223 Operating income/(costs) 20 - (6,335) - (6,315) Group operating profit 20 - 1,888 - 1,908 Profit on disposals - - 53 - 53 Profit before finance costs 20 - 1,941 - 1,961 Finance costs - (266) (334) 275 (325) Finance income 2 275 6 (275) 8 Other financial expense - - (66) - (66) Share of subsidiaries’ profit before tax 1,529 95 - (1,624) - Share of equity accounted investments’ profit 42 - 42 (42) 42 Profit before tax from continuing operations 1,593 104 1,589 (1,666) 1,620 Income tax expense (431) (41) (390) 431 (431) Group profit for the financial year from continuing operations 1,162 63 1,199 (1,235) 1,189 Profit after tax for the financial year from discontinued operations 81 - 81 (81) 81 Group profit for the financial year 1,243 63 1,280 (1,316) 1,270 Profit attributable to: Equity holders of the Company From continuing operations 1,162 63 1,172 (1,235) 1,162 From discontinued operations 81 - 81 (81) 81 Non-controlling From continuing operations - - 27 - 27 Group profit for the financial year 1,243 63 1,280 (1,316) 1,270 (i) Restated to show the results of our Americas Distribution segment in discontinued operations. Supplemental Condensed Consolidated Statement of Comprehensive Income Group profit for the financial year 1,243 63 1,280 (1,316) 1,270 Other comprehensive income Items that may be reclassified to profit or loss in subsequent years: Currency translation effects (71) 49 (131) 71 (82) Gains relating to cash flow hedges 14 - 14 (14) 14 (57) 49 (117) 57 (68) Items that will not be reclassified to profit or loss in subsequent years: Remeasurement of retirement benefit obligations (61) - (61) 61 (61) Tax on items recognised directly within other comprehensive income 3 - 3 (3) 3 (58) - (58) 58 (58) Total other comprehensive income for the financial year (115) 49 (175) 115 (126) Total comprehensive income for the financial year 1,128 112 1,105 (1,201) 1,144 Attributable to: Equity holders of the Company 1,128 112 1,089 (1,201) 1,128 Non-controlling - - 16 - 16 Total comprehensive income for the financial year 1,128 112 1,105 (1,201) 1,144 Supplemental Condensed Consolidated Income Statement Year ended 31 December 2015 Restated (i) Guarantor € Issuer € Non-Guarantor € Eliminate and € CRH and € Revenue - - 21,406 - 21,406 Cost of sales - - (14,743) - (14,743) Gross profit - - 6,663 - 6,663 Operating income/(costs) 1,473 - (6,970) - (5,497) Group operating profit/(loss) 1,473 - (307) - 1,166 (Loss)/profit on disposals (7) - 106 - 99 Profit/(loss) before finance costs 1,466 - (201) - 1,265 Finance costs - (321) (315) 333 (303) Finance income 1 333 7 (333) 8 Other financial expense - - (94) - (94) Share of subsidiaries’ (loss)/profit before tax (596) 62 - 534 - Share of equity accounted investments’ profit 44 - 44 (44) 44 Profit/(loss) before tax from continuing operations 915 74 (559) 490 920 Income tax expense (276) (29) (247) 276 (276) Group profit/(loss) for the financial year from continuing operations 639 45 (806) 766 644 Profit after tax for the financial year from discontinued operations 85 - 85 (85) 85 Group profit/(loss) for the financial year 724 45 (721) 681 729 Profit/(loss) attributable to: Equity holders of the Company From continuing operations 639 45 (811) 766 639 From discontinued operations 85 - 85 (85) 85 Non-controlling From continuing operations - - 5 - 5 Group profit/(loss) for the financial year 724 45 (721) 681 729 (i) Restated to show the results of our Americas Distribution segment in discontinued operations. Supplemental Condensed Consolidated Statement of Comprehensive Income Group profit/(loss) for the financial year 724 45 (721) 681 729 Other comprehensive income Items that may be reclassified to profit or loss in subsequent years: Currency translation effects 643 159 502 (643) 661 Losses relating to cash flow hedges (2) - (2) 2 (2) 641 159 500 (641) 659 Items that will not be reclassified to profit or loss in subsequent years: Remeasurement of retirement benefit obligations 203 - 203 (203) 203 Tax on items recognised directly within other comprehensive income (30) - (30) 30 (30) 173 - 173 (173) 173 Total other comprehensive income for the financial year 814 159 673 (814) 832 Total comprehensive income for the financial year 1,538 204 (48) (133) 1,561 Attributable to: Equity holders of the Company 1,538 204 (71) (133) 1,538 Non-controlling - - 23 - 23 Total comprehensive income for the financial year 1,538 204 (48) (133) 1,561 Supplemental Condensed Consolidated Statement of Cash Flow Year ended 31 December 2017 Guarantor € Issuer € Non-Guarantor € Eliminate and € CRH and € Cash flows from operating activities Profit before tax from continuing operations 1,843 90 1,836 (1,902) 1,867 Profit before tax from discontinued operations 146 - 146 (146) 146 Profit before tax 1,989 90 1,982 (2,048) 2,013 Finance costs (net) (2) (7) 358 - 349 Share of subsidiaries’ profit before tax (1,900) (83) - 1,983 - Share of equity accounted investments’ profit (65) - (65) 65 (65) Profit on disposals - - (59) - (59) Group operating profit 22 - 2,216 - 2,238 Depreciation charge - - 1,006 - 1,006 Amortisation of intangible assets - - 66 - 66 Share-based payment (income)/expense (1) - 66 - 65 Other (primarily pension payments) - - (186) - (186) Net movement on working capital and provisions - (11) (198) - (209) Cash generated from operations 21 (11) 2,970 - 2,980 Interest paid (including finance leases) - (236) (323) 242 (317) Corporation tax paid - (29) (445) - (474) Net cash inflow/(outflow) from operating activities 21 (276) 2,202 242 2,189 Cash flows from investing activities Proceeds from disposals (net of cash disposed and deferred proceeds) - - 222 - 222 Interest received 2 242 9 (242) 11 Dividends received from equity accounted investments - - 31 - 31 Purchase of property, plant and equipment - - (1,044) - (1,044) Advances from subsidiary and parent undertakings 407 356 - (763) - Acquisition of subsidiaries (net of cash acquired) - - (1,841) - (1,841) Other investments and advances - - (11) - (11) Deferred and contingent acquisition consideration paid - - (53) - (53) Net cash inflow/(outflow) from investing activities 409 598 (2,687) (1,005) (2,685) Cash flows from financing activities Proceeds from issue of shares (net) 42 - - - 42 Transactions involving non-controlling interests - - (37) - (37) Advances to subsidiary and parent undertakings - - (763) 763 - Increase in interest-bearing loans, borrowings and finance leases - 6 1,004 - 1,010 Net cash flow arising from derivative financial instruments - 11 158 - 169 Premium paid on early debt redemption - (18) - - (18) Treasury/own shares purchased (3) - - - (3) Repayment of interest-bearing loans, borrowings and finance leases - (321) (22) - (343) Dividends paid to equity holders of the Company (469) - - - (469) Dividends paid to non-controlling - - (8) - (8) Net cash (outflow)/inflow from financing activities (430) (322) 332 763 343 Decrease in cash and cash equivalents - - (153) - (153) Reconciliation of opening to closing cash and cash equivalents Cash and cash equivalents at 1 January 401 - 2,048 - 2,449 Translation adjustment - - (161) - (161) Decrease in cash and cash equivalents - - (153) - (153) Cash and cash equivalents at 31 December 401 - 1,734 - 2,135 Supplemental Condensed Consolidated Statement of Cash Flow Year ended 31 December 2016 Guarantor € Issuer € Non-Guarantor € Eliminate and € CRH and € Cash flows from operating activities Profit before tax from continuing operations 1,593 104 1,589 (1,666 ) 1,620 Profit before tax from discontinued operations 121 - 121 (121 ) 121 Profit before tax 1,714 104 1,710 (1,787) 1,741 Finance costs (net) (2) (9) 394 - 383 Share of subsidiaries’ profit before tax (1,650) (95) - 1,745 - Share of equity accounted investments’ profit (42) - (42) 42 (42) Profit on disposals - - (55) - (55) Group operating profit 20 - 2,007 - 2,027 Depreciation charge - - 1,009 - 1,009 Amortisation of intangible assets - - 71 - 71 Impairment charge - - 23 - 23 Share-based payment (income)/expense (3) - 49 - 46 Other (primarily pension payments) - - (65) - (65) Net movement on working capital and provisions - (1) 57 - 56 Cash generated from operations 17 (1) 3,151 - 3,167 Interest paid (including finance leases) - (266) (355) 275 (346) Corporation tax paid - (41) (440) - (481) Net cash inflow/(outflow) from operating activities 17 (308) 2,356 275 2,340 Cash flows from investing activities Proceeds from disposals (net of cash disposed and deferred proceeds) - - 283 - 283 Interest received 2 275 6 (275) 8 Dividends received from equity accounted investments - - 40 - 40 Purchase of property, plant and equipment - - (853) - (853) Advances from subsidiary and parent undertakings 287 644 - (931) - Acquisition of subsidiaries (net of cash acquired) - - (149) - (149) Other investments and advances - - (7) - (7) Deferred and contingent acquisition consideration paid - - (57) - (57) Net cash inflow/(outflow) from investing activities 289 919 (737) (1,206) (735) Cash flows from financing activities Proceeds from issue of shares (net) 52 - - - 52 Advances to subsidiary and parent undertakings - - (931) 931 - Increase in interest-bearing loans, borrowings and finance leases - - 600 - 600 Net cash flow arising from derivative financial instruments - 25 (30) - (5) Treasury/own shares purchased (4) - - - (4) Repayment of interest-bearing loans, borrowings and finance leases (9) (636) (1,370) - (2,015) Dividends paid to equity holders of the Company (352) - - - (352) Dividends paid to non-controlling - - (8) - (8) Net cash (outflow)/inflow from financing activities (313) (611) (1,739) 931 (1,732) Decrease in cash and cash equivalents (7) - (120) - (127) Reconciliation of opening to closing cash and cash equivalents Cash and cash equivalents at 1 January 408 - 2,110 - 2,518 Translation adjustment - - 58 - 58 Decrease in cash and cash equivalents (7) - (120) - (127) Cash and cash equivalents at 31 December 401 - 2,048 - 2,449 Supplemental Condensed Consolidated Statement of Cash Flow Year ended 31 December 2015 Guarantor € Issuer € Non-Guarantor € Eliminate reclassify € CRH and € Cash flows from operating activities Profit/(loss) before tax from continuing operations 915 74 (559 ) 490 920 Profit before tax from discontinued operations 113 - 113 (113 ) 113 Profit/(loss) before tax 1,028 74 (446) 377 1,033 Finance costs (net) (1) (12) 402 - 389 Share of subsidiaries’ loss/(profit) before tax 483 (62) - (421) - Share of equity accounted investments’ profit (44) - (44) 44 (44) Loss/(profit) on disposals 7 - (108) - (101) Group operating profit/(loss) 1,473 - (196) - 1,277 Depreciation charge - - 843 - 843 Amortisation of intangible assets - - 55 - 55 Impairment charge - - 44 - 44 Share-based payment (income)/expense (2) - 29 - 27 Other (primarily pension payments) - - (47) - (47) Amounts due from subsidary undertakings (1,460) - 1,460 - - Net movement on working capital and provisions - (9) 594 - 585 Cash generated from operations 11 (9) 2,782 - 2,784 Interest paid (including finance leases) - (283) (352) 333 (302) Corporation tax paid - (29) (206) - (235) Net cash inflow/(outflow) from operating activities 11 (321) 2,224 333 2,247 Cash flows from investing activities Proceeds from disposals (net of cash disposed and deferred proceeds) - - 889 - 889 Interest received 1 333 7 (333) 8 Dividends received from equity accounted investments - - 53 - 53 Purchase of property, plant and equipment - - (882) - (882) Advances from subsidiary and parent undertakings (699) (632) - 1,331 - Acquisition of subsidiaries (net of cash acquired) - - (7,296) - (7,296) Other investments and advances - - (19) - (19) Deferred and contingent acquisition consideration paid - - (59) - (59) Net cash outflow from investing activities (698) (299) (7,307) 998 (7,306) Cash flows from financing activities Proceeds from issue of shares (net) - - 1,593 - 1,593 Proceeds from exercise of share options 57 - - - 57 Advances to subsidiary and parent undertakings - - 1,331 (1,331) - Increase in interest-bearing loans, borrowings and finance leases 9 1,584 4,040 - 5,633 Net cash flow arising from derivative financial instruments - 15 32 - 47 Premium paid on early debt redemption - (38) - - (38) Treasury/own shares purchased (3) - - - (3) Repayment of interest-bearing loans, borrowings and finance leases - (968) (1,776) - (2,744) Dividends paid to equity holders of the Company (379) - - - (379) Dividends paid to non-controlling - - (4) - (4) Net cash (outflow)/inflow from financing activities (316) 593 5,216 (1,331) 4,162 (Decrease)/increase in cash and cash equivalents (1,003) (27) 133 - (897) Reconciliation of opening to closing cash and cash equivalents Cash and cash equivalents at 1 January 1,411 25 1,859 - 3,295 Translation adjustment - 2 118 - 120 (Decrease)/increase in cash and cash equivalents (1,003) (27) 133 - (897) Cash and cash equivalents at 31 December 408 - 2,110 - 2,518 |