Intercompany loan, interest not eliminated?

Hi there,

For example, Parent loan to Subsi 10m loan on acquisition date
Subsi paid 1min interest(finance cost) to parent.

What i know:
In conso SFP, eliminate both Loan/Loan Payable 10m
In conso P&L, eliminate Interest Revenue/Finance cost 1m.

What i dont understand:
But why is the 1m not added back to the Retained earnings of the subsi?
And deduct 1m from the Retained earnings of the parents?
wont it affect the NCI?