Prepare the consolidated statement of financial position of the Bread group for the year ended 31 December 2017.
(b) The directors of Bread have been reviewing their classification of Jam as held for sale within IFRS 5 Non-current Assets Held for Sale and Discontinued Operations. Jam operates in the electricity generation industry which is highly regulated. It is thought that it is highly probable that a purchaser would be found for Jam shortly after 31 December 2017 but that any sale would be subject to regulatory approval which could extend the period beyond 31 December 2018. Actions required to comply with regulatory approval cannot be initiated until a purchase commitment is obtained from the prospective acquirer. In the meantime, Jam will continue to supply electricity to its existing customers. Bread intends to sell all of its shares to the new purchaser who would obtain all of Jam’s rights and obligations. The directors of Jam do not intend to sell off any significant assets on an individual basis as this could impact on their supply of electricity to their customers and ultimately affect the sales price of the shares.