Legal framework and reporting entity structure Aareal Bank AG is a public limited company incorporated under German law, with its registered office in Wiesbaden, Germany. It is the parent company of an international property finance and services group. As a listed public limited company, Aareal Bank AG has prepared its consolidated financial statements for the financial year ended on 31 December 2008 in accordance with International Financial Reporting Standards (IFRS) applicable within the European Union (EU) as at the balance sheet date, in connection with the provisions pursuant to section 315a (1) of the German Commercial Code (Handelsgesetzbuch ­ "HGB"). The reporting currency is the euro (EUR). The consolidated financial statements were approved for publication by the Management Board on 10 March 2009 and were published on 27 March 2009. All subsidiaries and joint ventures of Aareal Bank AG have been included in the consolidated financial statements as at 31 December 2008 by way of consolidation. Companies over which Aareal Bank AG may exercise a significant influence ("associates") are measured using the equity method. In the financial year 2008, the following changes occurred in the reporting entity structure: Effective 31 March 2008, Aareal Financial Services USA Inc., Wilmington/Delaware, hitherto a company of the Aareal Bank Group, was merged into Aareal Capital Corporation, Wilmington/Delaware, which was established in January 2008 (also as a member of the Aareal Bank Group). In the fourth quarter of 2008, Aareal Bank AG acquired 25% of the shares in Main Triangel GmbH, Wiesbaden, for a consideration of 1. The bank's total shareholding in the company thus increased from 50 % to 75 %. The German Federal Cartel Office (Bundeskartellamt) approved the transaction on 15 October 2008. The company, which previously was included in the consolidated financial statements by proportionate consolidation, has been included by way of full consolidation since November 2008. The assets and liabilities attributable to Main Triangel GmbH within the framework of the consolidated financial statements are listed in the following table: Carrying amounts prior to remeasurement in acc. with IFRS 3.36 Carrying amounts after remeasurement in acc. with IFRS 3.36 Euro mn Property 76 76 Other assets 4 4 Liabilities to banks 61 61 Other liabilities 19 19 Notes to the Consolidated Financial Statements (A) Basis of Accounting 119Aareal Bank Group ­ Annual Report 2008 | Consolidated Financial Statements | Notes