Reclassification of Held-to-maturity (Debt) Securities:

Under IFRS

Held-to-maturity securities can be reclassified as available-for-sale if a change in intention or a change in ability to hold the security until maturity occurs. When held-to-maturity security is reclassified to Available-for-sale:

· The security is re-measured at Fair value.

· The difference between its carrying amount (amortized cost) and fair value is recognized in Other Comprehensive Income.

Under U.S. GAAP

Held-to-maturity securities can be reclassified as available-for-sale if a change in intention or a change in ability to hold the security until maturity occurs. When a debt security is transferred to Available for Sale category:

· The unrealized holding gains/losses (i.e. difference between fair value & amortized cost) at the date of transfer are recognized in Other Comprehensive Income.