Notes to the Accounts

15. Associates

note • Principal associates are listed under Principal Subsidiaries and Associates. The valuations of unlisted associates are directors’ valuations as at 31 December 2000. If all associates were realised at these values there would be an estimated liability for taxation, at year end rates, of £153m. The Group had no capital commitments to subscribe for further capital and loan stock.

note • Operating profit from continuing operations before goodwill amortisation is analysed as Pearson Education £7m, FT Group £7m and Television £39m.

The aggregate of the Group’s share in its associates, excluding the Group’s interest in the RTL Group, and Lazard in 1999, is shown below.

In July 2000 the Group combined its television business with CLT-Ufa and retained a 22% shareholding in the new combined business, the RTL Group. The Group’s share in the sales and net assets of the RTL Group is shown below.

The Group’s interest in Lazard Partners Limited Partnership and the three Lazard Houses for the year ended 31 December 1999 is shown below. On 3 March 2000, the Group sold its interests in Lazard Partners Limited Partnership and the three Lazard Houses for £436m comprising £40m in respect of dividends and partnership distributions and proceeds of £396m, less costs of £4m, giving rise to a profit on sale of £231m before tax estimated at £34m.