2007 Reference document (PDF) - Valeo

3 Consolidated
PAGE 100
fi nancial statements at December 31, 2007
Notes to consolidated financial statements
4. Notes to the balance sheet
4.1. Goodwill
(In millions of euros) 2007 2006 2005
Net goodwill at January 1 1,415 1,484 1,158
Acquisitions during the year 5 8 260
Additional purchase consideration in respect of acquisitions made in previous years 2 - -
Disposals, net (212) (26) -
Translation adjustments (43) (51) 66
Impairment losses (2) - -
Net goodwill at December 31 1,165 1,415 1,484
Accumulated impairment losses at December 31 (2) (32) (33)
In the years ended December 31, 2007 and 2006, changes in
goodwill excluding the effect of foreign currency movements are
mainly due to the sale of:
■ the Wiring H arness activity in December 2007 (see note 2.1.1);
■ the Motors & Actuators business in December 2006 (see
note 2.2.1).
The 2 million euro impairment loss recognized in 2007 reflects the
full write-down taken against goodwill assigned to the Iranian CGU
(see note 3.3.3).
The main goodwill balances are broken down by group of CGUs as follows:
At December 31
2007 Reference document - VALEO
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In 2005, Valeo notably carried out the following transactions:
■ acquisition of the Engine Electronics business of Johnson Controls
Inc.;
■ purchase of the entire share capital of Japanese company Valeo
Thermal Systems Japan Corp.;
■ increase of its interest in two Thai companies, Valeo Siam Thermal
Systems Co. Ltd. and Valeo Thermal Systems Sales Thailand Co. Ltd.
(In millions of euros) 2007 2006 2005
Wiper Systems 208 221 236
Electronics & Connective Systems - 213 217
Climate Control 207 209 223
Interior Controls 172 170 175
Engine Management Systems 181 181 181
Security Systems 129 127 127
Electrical Systems 100 108 111
Other 168 186 214
TOTAL 1,165 1,415 1,484
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