IFRS 5

Dear Sir,

I have a query regarding recognition of impairment losses on classification of assets held for sale.

The standard states that after initial recognition any subsequent fair value increases should be recognised up to the value of the total impairment losses recognised to date.

I would like to confirm the following:

Asset held under the revaluation model and there has been revaluations of lets say Eur 500 on this asset.
Prior to initial classification as held for sale an impairment loss of eur 300.00 is recognised and setoff against revaluation surplus leaving a balance of eur 200.00 in revaluation.

After initial classification a further impairment loss of lets say eur 800.00 (equivalent to costs to sell) is recognised.

If a gain in fair value of Eur 1500.00 is later reported would this be recognised up to the total of impairment losses to date that is eur 300 + eur 800 = 1100.00 (recognise only Eur 1100) or recognise only the amount of impairment losses transferred to profit and loss that is in this case ignoring the eur 300.00 (which were transferred to revaluation surplus) and recognise only the eur 800.00 ?

Thanks in advance for your assistance in solving our queries.

regards

Johann