2.3 – Joint ventures and associated companies

Equity-accounted joint ventures particularly comprise:

  • BASF-YPC Company Ltd., Nanjing, China, Verbund site operated together with Sinopec (BASF stake: 50%)
  • Heesung Catalysts Corporation, Seoul, South Korea, operated jointly with Heesung (BASF stake: 50%)
  • N.E. Chemcat Corporation, Tokyo, Japan, operated together with Sumitomo Metal Mining Co. Ltd. (BASF stake: 50%)

Joint ventures accounted for using the equity method (BASF stake) (in million €)

 

 

2014

2013

Investments accounted for using the equity method as of the beginning of the year

 

1,218

1,280

Proportional net income

 

87

89

Proportional change of other comprehensive income

 

96

(57)

Total comprehensive income

 

183

32

Capital measures/dividends/changes in the scope of consolidation/other adjustments

 

(119)

(86)

Other adjustments of income and expense

 

(19)

(8)

Investments accounted for using the equity method as of the end of the year

 

1,263

1,218

Equity-accounted associated companies particularly comprise:

  • Wintershall AG, Kassel, Germany, which operates Libyan exploration activities jointly with Gazprom Libyen Verwaltungs GmbH (BASF stake: 51%)
  • Solvin Group, Hanover, Germany (BASF stake: 25%)
  • Nord Stream AG, Zug, Switzerland (BASF stake: 15.5%) – BASF continues to exercise significant influence over Nord Stream AG, as BASF’s approval is required for relevant board resolutions
  • OAO Severneftegazprom, Krasnoselkup, Russia (BASF stake: 25%, economic share: 35%)
  • Shanghai Lianheng Isocyanate Co. Ltd., Shanghai, China (BASF stake: 35%)
  • GASCADE Gastransport GmbH, Kassel, Germany (BASF stake: 50.02%)
  • NEL Gastransport GmbH, Kassel, Germany (BASF stake: 50.02%)

The 50% stake in the Styrolution Group, Frankfurt am Main, Germany, was sold to INEOS on November 17, 2014. The investment was therefore derecognized in 2014.

Associated companies accounted for using the equity method (BASF stake) (in million €)

 

 

2014

2013

Investments accounted for using the equity method as of the beginning of the year

 

2,956

2,222

Proportional net income

 

196

212

Proportional change of other comprehensive income

 

(213)

(61)

Total comprehensive income

 

(17)

151

Capital measures/dividends/changes in the scope of consolidation/other adjustments

 

(966)

575

Other adjustments of income and expense

 

9

8

Investments accounted for using the equity method as of the end of the year

 

1,982

2,956

Financial information on companies accounted for using the equity method (BASF stake) (in million €)

 

 

2014

2013

Income statement information

 

 

 

Sales

 

9,133

10,283

Income from operations

 

455

991

Income before taxes and minority interests

 

383

871

Net income

 

283

301

 

 

 

 

Balance sheet information

 

 

 

Noncurrent assets

 

4,083

5,534

Thereof property, plant and equipment

 

3,393

4,214

Current assets

 

1,971

2,763

Thereof marketable securities, cash and cash equivalents

 

299

517

Assets

 

6,054

8,297

Equity

 

2,605

3,747

Noncurrent liabilities

 

2,152

2,402

Thereof financial indebtedness

 

1,148

1,495

Current liabilities

 

1,297

2,148

Thereof financial indebtedness

 

367

495

Total equity and liabilities

 

6,054

8,297

The table includes the totals of the amounts from the financial statements of the companies accounted for using the equity method. Differences between the proportional net income and income accounted for using the equity method, on the one hand, and between the proportional equity and the book value of investments accounted for using the equity method, on the other hand, arise predominantly from changes in capital recognized in equity.