14. Interests in associates, joint ventures and other investments

The movements in 2018 and 2017 were as follows:


	Interests in associates and joint ventures £m			Other investments £m
1 January 2017		1,069.4			1,310.3
Additions		34.5			67.7
Share of results of associate undertakings (note 4)		113.5			–
Dividends		(46.8	)		–
Other movements		3.4			–
Reclassification from other investments to associates		57.1			(57.1	)
Exchange adjustments		(10.6	)		(106.1	)
Disposals		(139.1	)		(1.7	)
Reclassification to subsidiaries		(6.3	)		–
Revaluation of other investments		–			32.1
Amortisation of other intangible assets		(5.7	)		–
Write-downs		(4.2	)		(91.7	)
31 December 2017		1,065.2			1,153.5
Additions		16.7			35.0
Share of results of associate undertakings (note 4)		43.5			–
Dividends		(49.7	)		–
Other movements		1.2			–
Reclassification from other investments to associates		0.3			(0.3	)
Exchange adjustments		12.9			–
Disposals		(304.0	)		(341.7	)
Reclassification to subsidiaries		16.9			–
Revaluation of other investments through profit or loss		–			68.1
Revaluation of other investments through other comprehensive income		–			(247.9	)
Amortisation of other intangible assets		(4.2	)		–
Write-downs		(2.0	)		–
31 December 2018		796.8			666.7

The investments included above as ‘other investments’ represent investments in equity securities that present the Group with opportunity for return through dividend income and trading gains. They have no fixed maturity or coupon rate. The fair values of the listed securities are based on quoted market prices. For unlisted securities, where market value is not available, the Group has estimated relevant fair values on the basis of publicly available information from outside sources.

The carrying values of the Group’s associates and joint ventures are reviewed for impairment in accordance with the Group’s accounting policies.

The Group’s principal associates and joint ventures at 31 December 2018 included:


	% owned		Country of incorporation
Barrows Design and Manufacturing (Pty) Limited		35.0		South Africa
Chime Communications Ltd		24.9		UK
CVSC Sofres Media Co Limited		40.0		China
Dat Viet VAC Media Corporation		30.0		Vietnam
GIIR Inc		30.0		Korea
Haworth Marketing & Media Company		49.0		USA
High Co SA		34.1		France
Imagina		22.5		Spain
Marktest Investimentos SGPS S.A.		40.0		Portugal
Nanjing Yindu Ogilvy Advertising Co. Ltd		49.0		China
Richard Attias and Associates¹		49.0		USA
Smollan Holdings (Pty) Ltd		24.8		South Africa

Note

The Group sold its shareholding in Richard Attias and Associates in January 2019.

The market value of the Group’s shares in its principal listed associate undertakings at 31 December 2018 was as follows: GIIR Inc: £26.3 million, and High Co SA: £30.3 million (2017: GIIR Inc: £35.4 million and High Co SA: £33.3 million).

The carrying value (including goodwill and other intangibles) of these equity interests in the Group’s consolidated balance sheet at 31 December 2018 was as follows: GIIR Inc: £46.8 million and High Co SA: £37.1 million (2017: GIIR Inc: £41.6 million and High Co SA: £34.5 million).

Where the market value of the Group’s listed associates is less than the carrying value, an impairment review is performed utilising the discounted cash flow methodology discussed in note 12.

The Group’s investments in its principal associate undertakings are represented by ordinary shares.

Summarised financial information

The following tables present a summary of the aggregate financial performance and net asset position of the Group’s associate undertakings and joint ventures. These have been estimated and converted, where appropriate, to an IFRS presentation based on information provided by the relevant companies at 31 December 2018.


	2018 £m			2017 £m			2016 £m
Income statement
Revenue		3,685.8			3,800.8			2,254.5
Operating profit		378.4			440.4			308.3
Profit before taxation		194.7			381.9			237.2
Profit for the year		118.1			312.5			156.7

Balance sheet
Assets		2,940.9			3,192.9			4,223.1
Liabilities		(1,570.6	)		(1,633.7	)		(1,900.0	)
Net assets		1,370.3			1,559.2			2,323.1

The application of equity accounting is ordinarily discontinued when the investment is reduced to zero and additional losses are not provided for unless the Group has guaranteed obligations of the investee or is otherwise committed to provide further financial support for the investee.

At 31 December 2018, capital commitments contracted, but not provided for in respect of interests in associates and other investments were £31.4 million (2017: £54.2 million).