| 8. | Investments in associates |
Investments in associates comprised of:
| Percent of shares held at | Investment carrying value at | |||||||||||||||
|
Investee |
December 31, 2017 |
December 31, 2016 |
December 31, 2017 |
December 31, 2016 |
||||||||||||
|
Mechel Somani Carbon (Mining segment) |
51 | % | 51 | % | 0 | — | ||||||||||
|
TPTU (Mining segment) |
40 | % | 40 | % | 183 | 175 | ||||||||||
|
TRMZ (Mining segment) |
25 | % | 25 | % | 100 | 90 | ||||||||||
|
|
|
|
|
|||||||||||||
|
Total investments in associates |
283 | 265 | ||||||||||||||
|
|
|
|
|
|||||||||||||
Mechel Somani Carbon Private Limited shares are owned by Mechel Carbon AG. The core business is distribution of metallurgical coals in the Indian market. Despite the ownership of 51% of Mechel Somani Carbon shares the Group cannot exercise control over the company. As of December 31, 2017 and 2016, the Group recognized a provision of RUB 42 million for this investment.
TPTU (Tomusinskiy Transportation Management Center) shares are owned by SKCC. The core business is provision of transportation services both to the Group’s subsidiaries and third parties.
TRMZ (Tomusinskiy Auto Repair Shop) shares are owned by SKCC. TRMZ provides repair services to the Group’s subsidiaries.
The following table shows movements in the investments in associates:
| Mechel Somani Carbon Private Limited (Mining segment) |
TPTU (Mining segment) |
TRMZ (Mining segment) |
Total | |||||||||||||
|
December 31, 2014 |
39 | 155 | 80 | 274 | ||||||||||||
|
Share of (loss) profit |
(5 | ) | 2 | 3 | — | |||||||||||
|
Exchange differences |
10 | — | — | 10 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
December 31, 2015 |
44 | 157 | 83 | 284 | ||||||||||||
|
Share of profit |
— | 18 | 7 | 25 | ||||||||||||
|
Provision for impairment of investments |
(42 | ) | — | — | (42 | ) | ||||||||||
|
Exchange differences |
(2 | ) | — | — | (2 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
|
December 31, 2016 |
— | 175 | 90 | 265 | ||||||||||||
|
Share of profit |
0 | 9 | 9 | 18 | ||||||||||||
|
December 31, 2017 |
0 | 184 | 99 | 283 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||