Annual Report 2002 - Software AG

B. Notes to the consolidated balance sheet
(1) Fixed assets
The gross values comprise all assets held at the balance
sheet date.
Intangible assets
The intangible assets relate mainly to the goodwill
from holdings in SAG-USA Group, the IC-Group
in The Netherlands, and to software licenses and
rights to software programs purchased from third
parties.
(2) Tangible assets
Land included in this item primarily refers to land
owned by the parent company.
During the fiscal year, approximately 5.185 million
euros was invested in other equipment, operational
and office equipment – mainly IT equipment.
(3) Financial assets
Participations relate principally to holdings in SAG-MK.
Long-term investments comprise investments
in securities funds made to cover the value of employee
time accounts in case of insolvency, as well
as shares in SAP SI AG, Dresden.
Other loans consist of loans made to employees.
Current assets
(4) Inventories
Inventories principally include services relating to
customer orders that have not yet been invoiced.
These inventories are valued at the cost of manufacture,
based on the appropriate hourly rate. Other
items disclosed here are finished goods (documentation).
Stocks of paper carried under raw materials
and supplies have been stated at a standard
value wherever possible. Other raw materials
and merchandise are stated at acquisition cost.
(5) Receivables
Trade receivables decreased over the previous year.
This was due to reduced revenues and a fall in the
value of the dollar in late 2002.
Other assets
At the balance sheet date, this item consisted largely
of claims for tax refunds.
(6) Prepaid expenses
This item relates primarily to deferred license fees
and prepaid rental expenses.
.
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