Operative Company Structures

In operative company structures a fictive group consisting of a legal unit and a number of sub-units are often divided. The purpose is to consolidate the operative units according to business units or other criteria. A special consideration then has to be taken to legal units and sub-units.

A sub-unit connected to a legal unit, directly or indirectly through group companies on levels below the legal unit is defined as a sub-unit in the specific consolidation type. A sub-unit connected to another group company other than a legal unit, or group companies on levels below a legal unit, are defined as a subsidiary in the specific consolidation type. A sub-unit defined as a subsidiary in a specific consolidation type is also handled as a subsidiary in that consolidation type, also in respect of elimination of investments and acquisition calculations.