10. INVESTMENTS IN ASSOCIATES AND JOIN VENTURES

At 31 December 2014 and 2013, the financial information regarding the financial interest held is as follows:

Investments in Associates and Join Ventures

Financial Information

Capital owned

31 December 2014

Company

Activity

Head office

Current assets

Non-current assets

Current liabilities

Non-current liabilities

Revenues

Net profit/(loss)

Other comprehensive income

Total comprehensive income

%

Carrying amount

Group share of profit / (loss)

Equity method:

Associate:

OMIP - Operador do Mercado Ibérico (Portugal), SGPS, S.A.

Holding company

Lisbon

436

29,349

259

1,667

1,086

546

-

546

40

10,829

218

Joint venture

Centro de Investigação em Energia REN - STATE GRID, S.A.

Research & Development

Lisbon

8873

36

5,401

13

2,229

405

-

405

50

1,747

202

12,575

421

Financial Information

Capital owned

31 December 2013

Company

Activity

Head office

Current assets

Non-current assets

Current liabilities

Non-current liabilities

Revenues

Net profit/(loss)

Other comprehensive income

Total comprehensive income

%

Carrying amount

Group share of profit / (loss)

Equity method:

Associate:

OMIP - Operador do Mercado Ibérico (Portugal), SGPS, S.A.

Holding company

Lisbon

868

29,450

680

2,292

1,356

744

557

1,301

40

10,610

(405)

Joint venture

Centro de Investigação em Energia REN - STATE GRID, S.A.

Research & Development

Lisbon

7,599

-

4,509

-

841

90

-

90

50

1,545

45

12,155

(3,61)

Associates

The changes in the caption “Investments in associates” during the period ended 31 December 2014 and 2013 was as follows:

Investments in associates

Investments in associates

At 1 January 2013

9,382

Effect of aplying the equity method

(405)

5% acquisition of OMIP (May 2013)

1,410

Other changes in the equity of the associate

223

At 31 December 2013

10,610

Effect of aplying the equity method

218

At 31 December 2014

10,828

The Group currently holds 40% of the OMIP, SGPS, S.A. shares.

The proportional value of the OMIP, SGPS income, in the year ended 31 December 2013, includes the effect of the adjustment resulting of changes to the Financial Statement of the previous year, made after the equity method application. This participation is recorded as an Associate.

In accordance with the Agreement between the Republic of Portugal and the Kingdom of Spain regarding the foundation of an Iberian market of electric energy, REN should sell more 30% of the share capital in OMIP, in order to accomplish a 10% of the share capital in OMIP. Additionally, despite the existence of intentions between entities involved in the referred Iberian agreement, were not identified, concrete, potential buyers than could enable the realization of the operation.

Joint ventures

The movement in the caption “Investments in joint ventures” during the year ended 31 December 2014 and 2013 was as follows:

Join Ventures

Join Ventures

At 1 January 2013

-

Share capital subscribed

1,500

Effect of aplying the equity method (note 19)

45

At 1 January 2014

1,545

Effect of aplying the equity method (note 19)

202

At 31 December 2014

1,747

Following a joint agreement of technology partnership between REN – Redes Energéticas Nacionais and the State Grid International Development (SGID), an R&D centre in Portugal dedicated to power systems designed – Centro de Investigação em Energia REN – STATE GRID, SA ("Centro de Investigação") was incorporated on May 2013, being jointly controlled by the above mentioned two entities.

The Research Centre aims to become a platform for international knowledge, a catalyst for innovative solutions and tools, applied to the planning and operation of transmission power. 

At 31 December 2014 and 2013 the financial information of the joint venture was as follows.

Other financial information

Other financial information

31 December 2014

Cash and cash equivalents

Current financial liabilities

Non-current financial liabilities

Depreciations and amortizations

Financial income

Financial costs

Income tax- (cost)/income

Joint venture

Centro de Investigação em Energia REN - STATE GRID, S.A.

3,695

6

13

(9)

47

(3)

(128)

Other financial information

31 December 2013

Cash and cash equivalents

Current financial liabilities

Non-current financial liabilities

Depreciations and amortizations

Financial income

Financial costs

Income tax- (cost)/income

Joint venture

Centro de Investigação em Energia REN - STATE GRID, S.A.

2,966

-

-

-

-

-

(32)