2012 Annual Report - Italcementi Group

Assumptions used for the computation for the CGUs in the main countries:
(in %)
Discount rate before tax
Growth rate including inflation
Cash-generating units by country 2012 2011 2012 2011
Italy 8.8 8.9 2.0 2.0
France/Belgium 8.3 9.4 2.0 2.0
Spain 8.8 9.3 1.9 2.0
Greece 13.5 14.0 1.6 2.0
North America 7.3 7.7 1.8 1.8
Egypt 15.8 13.2 5.4 5.0
Morocco 9.6 10.7 1.5 2.5
Kuwait 7.0 9.8 1.9 3.5
Thailand 9.4 10.6 3.0 3.5
India 14.6 14.5 6.3 6.3
Goodwill impairment testing for 2012 generated a goodwill impairment loss of 156.2 million euro for Spain, 83.7
million euro for Egypt and 4.0 million euro for the Calcestruzzi group. The Group considered the specific
potential risks of the sector of activity, any market values on the basis of comparable transactions and
conducted a sensitivity analysis on recoverable amount, illustrated in the next section.
The table below sets out the most significant goodwill amounts for Group CGUs by country:
Net carrying amount of goodwill
(in thousands of euro)
Cash-generating units
December 31,
2012
December 31,
2011
Italy 27,665 31,664
France/Belgium 586,855 587,244
Spain 14,132 171,086
North America 141,149 144,728
Egypt 456,472 583,980
Morocco 108,041 108,327
Kuwait 16,007 29,277
Thailand 89,914 88,502
India 83,339 88,004
Bulgaria 59,774 59,774
Others 15,339 26,702
Total 1,598,687 1,919,288
Finally, since the Italcementi Group has assets and costs not allocated to individual CGUs, a second-level
impairment test was conducted to check recoverability for the Group as a whole. The test included all assets
and cash flows that cannot be specifically allocated to an individual CGU and are therefore included in the
second-level impairment test. No indications of impairment emerged from the test.
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