SECTION 9.2  General accounting  policies Carlsberg Group Annual Report 2013 Consolidated financial statements SECTION 9: BASIS FOR PREPARATION 134 ment with the same terms would meet the  definition of a derivative, and the entire  combined instrument is not measured at  fair value through profit and loss. Separated  embedded derivatives are subsequently  measured at fair value. The statement of cash flows shows the cash  flows from operating, investing and financ- ing activities for the year, the year’s changes  in cash and cash equivalents as well as cash  and cash equivalents at the beginning and  end of the year. These items are shown separately in order  to give a more true and fair view of the  Group’s operating profit. Discontinued operations comprise activities and  cash flows that can be clearly distinguished  from the other business areas and have either  been disposed of or are held for sale. The sale  is expected to be carried out within 12 months  in accordance with a formal plan. Discontinued operations also include entities  which are classified as held for sale in con- nection with an acquisition. Discontinued operations are presented in a  separate line in the income statement and  as assets and liabilities held for sale in the  statement of financial position, and main  items are specified in the notes. Compara- tive figures are restated. The cash flow effect of acquisitions and disposals of entities is shown separately in  cash flows from investing activities. Cash  flows from acquisitions of entities are  recognised in the statement of cash flows  from the acquisition date. Cash flows from  disposals of entities are recognised up until  the disposal date. Cash flow from investing activities comprise  payments in connection with acquisitions  and disposals of entities and activities, and  of intangible assets, property, plant and  equipment and other non-current assets. Cash flow from operating activities are  cal culated using the indirect method as  the operating profit before special items  adjusted for non-cash operating items,  changes in working capital, restructuring  costs paid, interest received and paid, and  income tax paid. Cash flows from assets held under finance  leases are recognised as payment of inter- est and repayment of debt. Cash flow from financing activities comprise  changes in the size or composition of the  share capital and related costs as well as  the acquisition and disposal of non-control- ling interests, raising of loans, repayment of interest-bearing debt, acquisition and disposal of treasury shares, and payment of dividends to shareholders. Acquisitions of assets by means of finance  leases are treated as non-cash transactions. Cash and cash equivalents comprise cash, less  bank overdrafts, and short-term marketable  securities with a term of three months or less  at the acquisition date which are subject to an  insignificant risk of changes in value. Cash flows in currencies other than the  functional currency are translated using av- erage exchange rates, unless these deviate  significantly from the exchange rates at the  transaction date. A segment’s operating profit/loss includes  revenue, operating costs and share of profit/ loss in associates to the extent that they  can be allocated directly to the individual  segment. Income and expenses related to  Group functions have not been allocated  In accordance with the Group’s manage- ment structure, beverage activities are  segmented according to the geographi- cal regions where production takes place.  The segment information is based on the  Group’s accounting policies. For segment reporting purposes, the Chief  Operating Decision Maker is the Executive  Committee. The Executive Committee man- ages and makes business decisions based  on geographical regional information. Seg- ments are managed and decisions are made  based on business performance measured  as operating profit before special items.  Decisions on financing and tax planning are  made based on information for the Group as  a whole and therefore not segmented. The  non-beverage activities are managed sepa- rately and therefore also shown separately.  The segmentation reflects the structure  used for internal reporting and monitoring  of the strategic and financial targets of the  Carlsberg Group. SEGMENT INFORMATION Cash flow from financing activities  Cash and cash equivalents STATEMENT OF CASH FLOWS Cash flow from operating activities  Cash flow from investing activities PRESENTATION OF DISCONTINUED  OPERATIONS INCOME STATEMENT AND STATEMENT OF FINANCIAL POSITION, GENERAL Special items 