IMPAIRMENT (Tables)

12 Months Ended

Dec. 31, 2017

	Note	2017		2016		2015
Property and equipment	15		15		100		150
Intangible assets	16		—		14		—
Goodwill			51		78		95

Total impairment loss			66		192		245

Schedule of goodwill acquired through business combinations allocated to CGUs for impairment testing

Year ended December 31, 2017	2017		Impairment			Reclassification*			Translation adjustment			2016
Russia		2,434		—			—			122			2,312
Algeria		1,340		—			—			(53	)		1,393
Pakistan		244		—			(237	)		(16	)		497
Kazakhstan		177		—			—			1			176
Kyrgyzstan		128		(17	)		—			—			145
Uzbekistan		46		—			—			(68	)		114
Armenia		25		(34	)		—			—			59
Tajikistan		—		—			—			—			—
Others		—		—			—			—			—

Total		4,394		(51	)		(237	)		(14	)		4,696

* Reclassified to assets held-for-sale, see Note 5 for further information.

Year ended December 31, 2016	2016		Impairment			Acquisition		Translation adjustment			2015
Russia		2,312		—			—		388			1,924
Algeria		1,393		—			—		(42	)		1,435
Pakistan		497		—			201		1			295
Kazakhstan		176		—			—		3			173
Kyrgyzstan		145		(49	)		—		17			177
Uzbekistan		114		—			—		(17	)		131
Armenia		59		—			—		—			59
Tajikistan		—		(21	)		—		—			21
Others		—		(8	)		—		—			8

Total		4,696		(78	)		201		350			4,223

Schedule of total amount of the impairment loss allocated to the carrying amounts of assets

Impairment losses in 2017

	Armenia		Kyrgyzstan		Other		Total
Property and equipment		—		—		15		15
Goodwill		34		17		—		51

Total impairment loss		34		17		15		66

Impairment losses in 2016 were allocated to current and non-current assets as follows:

	Georgia		Kyrgyzstan		Tajikistan		Other		Total
Property and equipment		16		—		54		30		100
Intangibles		13		—		1		—		14
Goodwill		—		49		21		8		78
Other assets*		—		—		12		—		12

Total impairment loss		29		49		88		38		204

* Other assets include trade and other receivables and deferred tax assets. The impairments on these assets have been recognized on the income statement accounts relating to these assets, i.e. Selling, general and administrative expenses and Income tax expense.

Schedule of key assumptions and inputs used by the Company in determining the recoverable amount

Assumption		Description
Discount rate		Discount rates are initially determined in US$ based on the risk-free rate for 20-year maturity bonds of the United States Treasury, adjusted for a risk premium to reflect both the increased risk of investing in equities and the systematic risk of the specific CGU relative to the market as a whole.
		The equity market risk premium used was 6.0% (2016: 5.5%, 2015: 5.5%). The systematic risk, beta, represents the median of the raw betas of the entities comparable in size and geographic footprint with the ones of the Company ("Peer Group").
		The debt risk premium is based on the median of Standard & Poor's long-term credit rating of the Peer Group.
		The weighted average cost of capital is determined based on target debt-to-equity ratios representing the median historical five-year capital structure for each entity from the Peer Group.
		The discount rate in functional currency of a CGU is adjusted for the long-term inflation forecast of the respective country in which the business operates, as well as the applicable country risk premium.
Projected revenue growth rates		The revenue growth rates vary based on numerous factors, including size of market, GDP (Gross Domestic Product), foreign currency projections, traffic growth, market share and others.
Projected average operating margin		The Company estimates operating margin based on Adjusted EBITDA divided by Total Operating Revenue for each CGU and each future year. The forecasted operating margin is based on the budget of the following year and assumes cost optimization initiatives which are part of on-going operations, as well as regulatory and technological changes known to date, such as telecommunication license issues and price regulation among others.
Average capital expenditure as a percentage of revenue		Capital expenditure ("CAPEX") is defined as purchases of property and equipment and intangible assets other than goodwill. The cash flow forecasts for capital expenditure are based on past experience and amounts budgeted for the following year(s) and include the network roll-outs plans and license requirements.
Projected license and spectrum payments		The cash flow forecasts for license and spectrum payments for each operating company for the initial five years include amounts for expected renewals and newly available spectrum. Beyond that period, a long-run cost of spectrum is assumed.
Long-term growth rate		A long-term growth rate into perpetuity is estimated based on a percentage that is lower than or equal to the country long-term inflation forecast, depending on the CGU.

Schedule of key assumptions used in fair value less costs of disposal calculations

	Discount rate (functional currency)									Average annual revenue growth rate during forecast period									Terminal growth rate
	2017			2016			2015			2017			2016			2015			2017			2016			2015
Russia		10.6	%		9.7	%		11.2	%		1.9	%		2.4	%		2.4	%		1.0	%		1.0	%		1.0	%
Ukraine		17.1	%		17.2	%		18.2	%		3.9	%		3.6	%		3.9	%		2.0	%		1.0	%		3.0	%
Algeria		10.7	%		9.8	%		11.4	%		1.0	%		(0.8	)%		(0.9	)%		3.0	%		3.0	%		4.0	%
Pakistan		15.0	%		14.3	%		15.7	%		5.0	%		7.6	%		4.8	%		4.0	%		4.0	%		5.0	%
Bangladesh		12.7	%		11.9	%		13.4	%		5.0	%		6.4	%		6.5	%		4.6	%		4.7	%		5.9	%
Kazakhstan		10.8	%		12.4	%		12.3	%		3.2	%		4.4	%		3.5	%		2.4	%		2.0	%		3.0	%
Kyrgyzstan		15.5	%		14.5	%		14.2	%		(1.5	)%		(1.8	)%		2.4	%		3.5	%		2.5	%		2.5	%
Uzbekistan		15.3	%		15.4	%		18.4	%		6.9	%		1.7	%		1.7	%		6.5	%		1.0	%		2.0	%
Armenia		13.0	%		12.0	%		12.9	%		(1.0	)%		(2.8	)%		(0.7	)%		3.0	%		1.0	%		2.0	%
Georgia		11.0	%		10.3	%		12.6	%		5.6	%		6.4	%		6.5	%		1.0	%		1.0	%		3.0	%
Tajikistan		n.a.			n.a.			13.5	%		n.a.			n.a.			(4.2	)%		n.a.			n.a.			2.0	%

	Average operating margin									Average CAPEX as a percentage of revenue
	2017			2016			2015			2017			2016			2015
Russia		36.4	%		38.6	%		44.1	%		15.7	%		15.9	%		16.5	%
Ukraine		49.9	%		44.9	%		44.9	%		15.6	%		17.0	%		19.1	%
Algeria		46.2	%		50.8	%		48.7	%		14.8	%		15.8	%		16.3	%
Pakistan		43.6	%		33.3	%		39.2	%		15.3	%		14.3	%		14.1	%
Bangladesh		38.7	%		44.9	%		41.2	%		14.3	%		14.6	%		15.8	%
Kazakhstan		44.5	%		43.6	%		52.3	%		17.9	%		18.8	%		20.3	%
Kyrgyzstan		42.0	%		43.9	%		54.1	%		16.4	%		17.0	%		12.3	%
Uzbekistan		42.9	%		58.2	%		61.2	%		14.1	%		18.2	%		16.3	%
Armenia		29.7	%		37.8	%		35.5	%		19.6	%		14.1	%		11.8	%
Georgia		25.2	%		25.7	%		32.2	%		23.3	%		17.3	%		16.4	%
Tajikistan		n.a.			n.a.			42.4	%		n.a.			n.a.			13.6	%

Schedule of sensitivity to changes in assumptions

			Potential impairment if an assumption changes by 1.0pp
CGU	Headroom		Discount rate			Average growth rate			Average operating margin		Average CAPEX / revenue			Terminal growth rate
Bangladesh		82		(33	)		—			—		—			(17	)
Uzbekistan		15		(9	)		(3	)		—		(1	)		(7	)
Georgia		9		—			—			—		—			—