FORM 6-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Report of Foreign Issuer
Pursuant to Rule 13a - 16 or 15d - 16 of
the Securities Exchange Act of 1934
For the month of January 2008
29 January 2008
BRITISH SKY BROADCASTING GROUP PLC
(Name of Registrant)
Grant Way, Isleworth, Middlesex, TW7 5QD England
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports
under cover of Form 20-F or Form 40-F
Form 20-F X Form 40-F
Indicate by check mark whether the registrant by furnishing the information
contained in this Form is also thereby furnishing the information to the
Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934
Yes No X
If "Yes" is marked, indicate below the file number assigned to the registrant in
connection with Rule 12g3-2(b): Not Applicable
EXHIBIT INDEX
Exhibit
EXHIBIT NO.1 Press release of British Sky Broadcasting Group plc
announcing Carrying value of investment released on
29 January 2008
BSkyB review of carrying value of investment in ITV
As required by International Accounting Standard 39 ("IAS 39"), British Sky
Broadcasting Group plc (the "Group") announces that, following a review of the
carrying value of its investment in ITV plc, it expects to recognise an
impairment loss of GBP343 million as an exceptional item in the Group's income
statement for the half year ended 31 December 2007. This has been determined
with reference to the value of the 17.9% shareholding based on ITV's equity
share price at the 28 December 2007 (the last working day of the Group's fiscal
half year).
The Group's full interim results for the six month period ended 31 December 2007
will be announced on 6 February 2008.
End
Enquiries:
Analysts/Investors:
Robert Kingston Tel: 020 7705 3726
Francesca Pierce Tel: 020 7705 3337
E-mail: investor-relations@bskyb.com
Press:
Robert Fraser Tel: 020 7705 3036
E-mail: corporate.communications@bskyb.com
Notes
On 17 November 2006, the Group acquired 696 million shares in ITV, representing
17.9% of the issued capital of ITV, for a total consideration of GBP946 million
including fees and taxes.
IFRS requirements:
Our investment in ITV plc is valued in accordance with IAS 39.
Equity investments intended to be held for an indefinite period of time are
classified as available-for-sale investments. They are carried at fair value,
where this can be reliably measured, with movements in fair value recognised
directly in the available-for-sale reserve within equity. Impairment losses in
available-for-sale investments are recognised in the income statement and are
not reversible.
In accordance with IAS 39, the investment in ITV is carried at fair value,
determined with reference to ITV's equity share price at the balance sheet date.
At 31 December 2007, we expect to report a realised loss in the Group's income
statement reflecting the decline in the ITV equity share price to its market
price on the 28 December 2007.
This expected impairment will be reported outside of operating profit in the
Group's income statement for the half year ended 31 December 2007, and will be
classified as an item not reflecting underlying business performance and
therefore will not impact adjusted performance measures. This expected reduction
in carrying value of the available for sale investment will not impact the
period's reported cash flows.
Looking forward, as required by IAS 39, the effect of any further decline in the
equity share price of ITV will be recognised in the income statement at the
relevant balance sheet date.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
BRITISH SKY BROADCASTING GROUP PLC
Date: 29 January 2008 By: /s/ Dave Gormley
Dave Gormley
Company Secretary