Annual report 2004 (English) - PDF 3546K - Imperial Tobacco

) Negative consolidation differences
The variations in 2004 in this caption in the
accompanying consolidated balance sheet were as
follows:
Thousands
of Euros
Balance at December 31, 2003 43,299
Additions –
Reductions (1,079)
Balance at December 31, 2004 42,220
Of the amount of the negative consolidation
differences as of December 31, 2004, €35,225
thousand relate to the Corporación Habanos
Subgroup.
10. Inventories
The detail of the Group’s inventories as of
December 31, 2004, is as follows:
Thousands of
Euros
Merchandise 880,011
Finished goods 290,829
Semifinished goods and work-in-process 80,757
Raw materials and other supplies 549,912
Advances to suppliers 37,049
Less– Allowances for decline in value (45,771)
Total 1,792,787
The “Advances to Suppliers” account includes
€18,080 thousand relating to the portion of the
advances granted to proportionally consolidated
companies that were not eliminated in
consolidation.
The increase in the balance of the “Inventories”
caption with respect to the previous year is due
mainly to the change in accounting method
described in Note 7-c.
11. Accounts receivable
Altadis Group 2004 Financial Information 105
The detail of the balance of the “Accounts
Receivable” caption in the accompanying
consolidated balance sheet as of December 31,
2004, is as follows:
Thousands
of Euros
Trade receivables for sales and services 2,432,748
Sundry accounts receivable 105,686
Receivable from public authorities
(Note 18) 338,497
Receivable from associated companies
(Note 20) 17,071
Employee receivables 1,778
Less– Allowances for bad debts (48,191)
Total 2,847,589
a) Trade receivables for sales and services
This account includes mainly the balances
receivable from sales outlets for the sale of
tobacco and revenue and postage stamps, relating
basically to the last supply in the year for
settlement at the beginning of the following year. It
also includes excise taxes and VAT on the sale of
tobacco, which are not included in net sales (see
Note 4-p).
The increase in the balance of this caption with
respect to the previous year is due mainly to the
effect (€592,000 thousand) of the inclusion of
ETINERA in the consolidated Group (see Note 2-c).
b) Sundry accounts receivable
This account includes basically the amount of the
excise taxes on tobacco products incurred at yearend
and not yet passed on to customers.