47. Legal reserve for participating interests
Movements in the legal reserve for participating interests were as follows:
| In millions of euros | 2024 | 2023 |
|---|---|---|
| Balance as at 1 January | 127.0 | 114.3 |
| Share in retained earnings and direct movements in equity of joint ventures and associates | 42.9 | 38.7 |
| Received dividend joint ventures and associates | -26.8 | -26.0 |
| Balance as at 31 December | 143.1 | 127.0 |
For our investments in joint ventures and associates measured using the equity method, we may not allocate a dividend without restrictions, because this requires the consent of the other shareholders, for example. We form a legal reserve for the difference between the share in the retained earnings and direct movements in equity of the relevant participating interests on the one hand, and the amount of dividend to which we are entitled on the other. We determine the amount of the legal reserve on an individual basis, which means that the movements in the legal reserve may deviate from the result and dividend payments by our joint ventures as included in the consolidated financial statements. For a further explanation of the result and of the dividend payments by our joint ventures see note 8 ‘Investments in joint ventures’ and note 9 ‘Investments in associates’ to the consolidated financial statements.
We measure our investments in other equity interests at fair value. With the application of ‘combination 3’, we form a legal reserve for the part of the fair value measurement that exceeds the original acquisition price of the equity interest. For these equity interests we may not allocate a dividend without restrictions either. At the end of 2024, no fair value measurements were higher than the original acquisition price (year-end of 2023: the same). For a more detailed explanation of our other equity interests, see note 10 ‘Other equity interests’ to the consolidated financial statements.