ANNUAL REPORT 2011 A.S. CRÉATION TAPETEN AG

(2) Intangible fixed assets
The table below shows a breakdown of, as well as the changes in, intangible fixed assets:
CONSOLIDATED FINANCIAL STATEMENTS ACCORDING TO IFRS
Lizences
and similar rights
Goodwill Total
¤ ’000 ¤ ’000 ¤ ’000
Gross cost of acquisition or production
Dec 31, 2009 4,951 9,276 14,227
Addition 256 0 256
Disposals 0 0 0
Dec 31, 2010 5,207 9,276 14,483
Addition 124 0 124
Disposals 50 0 50
Dec 31, 2011
Depreciation
5,281 9,276 14,557
Dec 31, 2009 2,086 1,543 3,629
Addition 1,051 0 1,051
Disposals 0 0 0
Dec 31, 2010 3,137 1,543 4,680
Addition 926 0 926
Disposals 50 0 50
Dec 31, 2011
Net book value
4,013 1,543 5,556
Dec 31, 2010 2,070 7,733 9,803
Dec 31, 2011 1,268 7,733 9,001
The Wallpaper Division and the Furnishing Fabrics Division, respectively, accounted for € 7.581million and € 0.152 million
of goodwill, which remained unchanged at € 7.733 million. The goodwill was subjected to an impairment
test. In this context, the value in use was determined as the present value of the future cash fl ows from the
operation. The value in use was determined on the basis of the approved detailed budgets for the fi scal years
2012 and 2013. The cash fl ow used is the cash fl ow before interest and taxes less total capital expenditures
of the respective year as well as the changed capital tied up in net current assets. For the years from 2014,
the budgeted cash flow before interest and taxes of the year 2013 less maintenance and replacement
investments was carried as a perpetual annuity. No growth rate was assumed in the calculation of the perpetual
annuity. For the purpose of discounting, weighted average costs of capital (before taxes) of 9.7% and 8.0% were
applied for the Wallpaper Division and the Furnishing Fabrics Division, respectively. The value in use thus
determined exceeded the carrying amounts in both divisions, which means that the impairment tests did not
provide any indication of an impairment loss. A discount factor of over 14.9% for the Wallpaper Division and of
over 12.75% for the Furnishing Fabrics Division would indicate the need to recognise an impairment loss.
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