ment with the same terms would meet the definition of a derivative, and the entire combined instrument is not measured at fair value through profit and loss. Separated embedded derivatives are subsequently measured at fair value. 

## INCOME STATEMENT AND STATEMENT OF FINANCIAL POSITION, GENERAL 

## Special items 

These items are shown separately in order to give a more true and fair view of the Group’s operating profit. 

## PRESENTATION OF DISCONTINUED OPERATIONS 

Discontinued operations comprise activities and cash flows that can be clearly distinguished from the other business areas and have either been disposed of or are held for sale. The sale is expected to be carried out within 12 months in accordance with a formal plan. 

Discontinued operations also include entities which are classified as held for sale in con- nection with an acquisition. 

Discontinued operations are presented in a separate line in the income statement and as assets and liabilities held for sale in the statement of financial position, and main items are specified in the notes. Compara- tive figures are restated. 

## STATEMENT OF CASH FLOWS 

The statement of cash flows shows the cash flows from operating, investing and financ- ing activities for the year, the year’s changes in cash and cash equivalents as well as cash and cash equivalents at the beginning and end of the year. 

## Cash flow from operating activities 

Cash flow from operating activities are cal culated using the indirect method as the operating profit before special items adjusted for non-cash operating items, changes in working capital, restructuring costs paid, interest received and paid, and income tax paid. 

## Cash flow from investing activities 

Cash flow from investing activities comprise payments in connection with acquisitions and disposals of entities and activities, and of intangible assets, property, plant and equipment and other non-current assets. 

The cash flow effect of acquisitions and disposals of entities is shown separately in cash flows from investing activities. Cash flows from acquisitions of entities are recognised in the statement of cash flows from the acquisition date. Cash flows from disposals of entities are recognised up until the disposal date. 

Acquisitions of assets by means of finance leases are treated as non-cash transactions. 

## Cash flow from financing activities 

Cash flow from financing activities comprise changes in the size or composition of the share capital and related costs as well as the acquisition and disposal of non-control- ling interests, raising of loans, repayment of interest-bearing debt, acquisition and disposal of treasury shares, and payment of dividends to shareholders. 

Cash flows from assets held under finance leases are recognised as payment of inter- est and repayment of debt. 

## Cash and cash equivalents 

Cash and cash equivalents comprise cash, less bank overdrafts, and short-term marketable securities with a term of three months or less at the acquisition date which are subject to an insignificant risk of changes in value. 

Cash flows in currencies other than the functional currency are translated using av- erage exchange rates, unless these deviate significantly from the exchange rates at the transaction date. 

## SEGMENT INFORMATION 

For segment reporting purposes, the Chief Operating Decision Maker is the Executive Committee. The Executive Committee man- ages and makes business decisions based on geographical regional information. Seg- ments are managed and decisions are made based on business performance measured as operating profit before special items. Decisions on financing and tax planning are made based on information for the Group as a whole and therefore not segmented. The non-beverage activities are managed sepa- rately and therefore also shown separately. The segmentation reflects the structure used for internal reporting and monitoring of the strategic and financial targets of the Carlsberg Group. 

In accordance with the Group’s manage- ment structure, beverage activities are segmented according to the geographi- cal regions where production takes place. The segment information is based on the Group’s accounting policies. 

A segment’s operating profit/loss includes revenue, operating costs and share of profit/ loss in associates to the extent that they can be allocated directly to the individual segment. Income and expenses related to Group functions have not been allocated 

