SWIRE PROPERTIES ANNUAL REPORT 2023 Reserves Environmental, Social and Governance Movements in the reserves of the Group and the Company The Company has complied with all the applicable during the year are set out in notes 34 and 35 to the provisions set out in Part C of the Environmental, Social and financial statements. Governance Reporting Guide contained in Appendix C2 to Share Capital the Listing Rules for the year covered by the annual report. There was no purchase, sale or redemption by the Company, Donations or any of its subsidiaries, of the Company’s shares during the During the year, the Group made donations for charitable year and the Group has not adopted any share option scheme. purposes of HK$39 million and donations towards various At 31st December 2023, 5,850,000,000 shares were in issue scholarships of HK$0.3 million. (31st December 2022: 5,850,000,000 shares). Details of the Fixed Assets movement of share capital are set out in note 33 to the financial statements. For details of movements in fixed assets refer to notes 15 and 16 to the financial statements. Accounting Policies The annual valuation of the Group’s investment property The material accounting policies of the Group are set out portfolio, whether completed or in the course of in the relevant notes to the financial statements (if they development, was carried out by professionally qualified relate to a particular item) and in the section of this annual valuers (96% by value having been valued by Cushman & report headed Accounting Policies. Wakefield Limited and 2% by value having been valued by another independent valuer) on the basis of market value Auditors at 31st December 2023. This valuation resulted in a PricewaterhouseCoopers retire and, being eligible, offer decrease of HK$2,829 million (2022: an increase of HK$801 themselves for re-appointment. A resolution for the million) in the carrying value of the investment property re-appointment of PricewaterhouseCoopers as auditors portfolio. Such decrease was principally due to the of the Company is to be proposed at the forthcoming decrease in the fair value gain on the retail investment annual general meeting. properties in the Chinese Mainland and the fair value loss on the investment properties under development (as Financial Review opposed to a fair value gain for 2022). A review of the consolidated results, financial position and A schedule of the principal properties of the Group and its cash flows of the Group is shown in the section of this joint venture and associated companies is given in the annual report headed Financial Review. A ten-year financial section of this annual report headed Schedule of Principal Group Properties. summary of the results and of the assets and liabilities of the Group is shown in the section of this annual report Borrowings headed Ten-Year Financial Summary. For details of the Group’s borrowings refer to the section of Corporate Governance this annual report headed Financing. The Company complied with all the code provisions set out Interest in the Corporate Governance Code (the “CG Code”) For details of the amount of interest capitalised by the contained in Part 2 of Appendix C1 to the Listing Rules Group refer to page 86. throughout the year covered by the annual report. Details of the Company’s corporate governance practices Major Customers and Suppliers are set out in the section of this annual report headed During the year, less than 30% of the Group’s sales and less Corporate Governance. than 30% of the Group’s purchases were attributable to the Group’s five largest customers and suppliers respectively. 121