42 annual report 2012  kAThMANdu adoption of the new rules has not affected any of the amounts  recognised in the financial statements, but has simplified  some of the Group’s current disclosures.  Standards, interpretations and amendments to published  standards that are not yet effective this standard replaces the parts of nZ IaS 39 Financial  Instruments: recognition and Measurement that relates  to the classification and measurement of financial  instruments.  all financial assets are required to be classified into  two measurement categories: at fair value and at  amortised cost.  the determination is based on the entity’s business model  for managing the financial assets and the contractual cash  flow characteristics of the financial asset.  For financial liabilities, the standard retains most of the  nZ IaS 39 requirements. an additional presentational  requirement has been added for liabilities designated  at fair value through profit and loss. Where the fair  value option is taken, the part of a fair value change  due to an entity’s own credit risk is recorded in other  comprehensive income. nZ IFrS 10 replaces all of the guidance on control and  consolidation in nZ IaS 27 Consolidated and Separate  Financial Statements, and nZ IFrIC 12 Consolidation  – Special purpose entities. the core principle that a  consolidated entity presents a parent and its subsidiaries  as if they are a single economic entity remains  unchanged, as do the mechanics of consolidation.  however, the standard introduces a single definition of  control that applies to all entities. It focuses on the need  to have both power and rights or exposure to variable  returns before control is present. power is the current  ability to direct the activities that significantly influence  returns. returns must vary and can be positive, negative  or both. there is also new guidance on participating and  protective rights and on agent/principal relationships.  While the Group does not expect the new standard to  have a significant impact on its composition, it has yet to  perform a detailed analysis of the new guidance in the  context of its various investees that may or may not be  controlled under the new rules.  nZ IaS 27 is renamed Separate Financial Statements  and is now a standard dealing solely with separate  financial statements. application of this standard by  the group and parent entity will not affect any of the  amounts recognised in the financial statements, but may  impact the type of information disclosed in relation to  the parent’s investments in the separate parent entity  financial statements. nZ IFrS 13 explains how to measure fair value and  aims to enhance fair value disclosures. the Group  has yet to determine which, if any, of its current  measurement techniques will have to change as a  result of the new guidance. It is therefore not possible  to state the impact, if any, of the new rules on any of  the amounts recognised in the financial statements.  however, application of the new standard will impact  the type of information disclosed in the notes to the  financial statements. the Group does not intend to  adopt the new standard before its operative date,  which means that it would be first applied in the annual  reporting period ending 31 July 2014.  NZ IFRS 9: Financial Instruments (effective for  annual reporting periods beginning on or after 1  January 2015):  NZ IFRS 13 Fair Value Measurement (effective 1  January 2013):  NZ IFRS 10 Consolidated Financial Statements  (effective 1 January 2013), revised NZ IAS 27  Separate Financial Statements: 