1. New UK GAAP – Decision tree www.pwc.co.uk April 2013

2. PwC New UK GAAP – Decision tree 2 April 2013 Is the entity an EU listed 1 entityor required under any other legislation/regulation to prepare its financial statements in accordance with EU IFRS? Does the entity want to apply EU IFRS? Does the entity want to apply IFRS recognition and measurement principles with reduced disclosures (FRS 101)? Is the entity eligible to apply FRSSE? Is the entity dormant? Is the entity a member of a group preparing publicly available consolidated financial statements? (‘Qualifying entity’) Are these the individual financial statements of the entity? Apply FRS 101 3 Apply EU IFRS Has the entity chosen to apply FRSSE? Apply FRS 102 2 Apply FRS 102 4 Or No Yes No Yes No Yes No Yes FRS 102 allows a dormant entity to retain existing accounting policies until new transactions take place or account balances change Apply FRSSE

3. PwC New UK GAAP – Decision tree (continued) 1.The entity is required to use IFRS in its consolidated financial statements under the IAS Regulation. In its separate financial statements it has the same choices as unlisted entities and should, therefore, follow rest of the decision tree. 2.Reduced disclosures exemption in FRS 102 is not available to Qualifying Entities in their consolidated financial statements and to non-qualifying entities. 3.FRS 101 for non-financial institutions If the entity is not a financial institution, it may take advantage, in its individual financial statements, of the disclosure exemptions set out in paragraphs 8 and 9 of FRS 101. Some additional disclosure requirements in IFRS 7 Financial Instruments: Presentation and Disclosure and IFRS 13 Fair Value Measurement apply if the entity has financial instruments held at fair value other than the following: Financial assets required to be held at fair value under IAS 39 (e.g. held for trading assets and derivatives); Financial liabilities held as part of a trading portfolio; and Financial liabilities that are derivatives. FRS 101 for financial institutions A qualifying financial institution may take advantage, in its individual financial statements, of the disclosure exemptions set out in paragraphs 8 and 9 of FRS 101 except for the disclosure exemptions from IFRS 7, IFRS 13 to the extent they apply to financial instruments, and paragraphs 134-136 of IAS 1 Presentation of Financial Statements (covering capital management disclosures). 4.FRS 102 for all entities If the entity is required, or chooses, to disclose earnings per share, or segmental information, it should comply with the requirements of IAS 33 Earnings Per Share and IFRS 8 Operating Segments, respectively. FRS 102 for non-financial institutions A qualifying non-financial institution entity applying FRS 102 may take advantage, in its individual financial statements, of the disclosure exemptions in paragraphs 1.12 of the standard. However, if the entity has certain financial liabilities at fair value, disclosure requirements of Section 11 Basic financial instruments will apply. FRS 102 for financial institutions A financial institution applying FRS 102 may take advantage, in its individual financial statements, of the disclosure exemptions set out in paragraphs 1.12 other than exemptions in Section 11 Basic financial instruments and Section 12 Other financial instrument issues. New UK GAAP – Decision tree 3 April 2013

4. © 2013 PricewaterhouseCoopers LLP. All rights reserved. In this document, "PwC" refers to the UK member firm, and may sometimes refer to the PwC network. Each member firm is a separate legal entity. Please see www.pwc.com/structure for further details. 130411-103838-JM-OS