Annual Report 2012 - ORCO Germany

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The cancellation of the sales negotiations in September conducted the Group to recognize an impairment of EUR 24.3 million on Sky Office building in
order to adjust the book value to the realizable value under distressed conditions. Indeed the pressure of the financing bank and the need to fill GSG
refinancing gap did not leave the opportunity to secure an arms’ length sale.
The transfers are explained by the change in classification of Naunynstrasse previously classified under Investment Property (see Note 8) for
EUR 1.4 million and by the netting of the net book value of Knorrstrasse with the prepayments following to the finalization of the asset transfer for EUR
-4.3 million.
In 2011
Development costs amount to EUR 0.9 million capitalized mainly on Sky Office (EUR 0.7 Million)
The project in development Sky Office (EUR 139.2 million) is the main contributor in inventories and is pledged for an amount of EUR 96.0 million.
Impairments have been reversed on Sky Office for EUR 0.7 Million.
Transfer corresponds to the reclassification of the land plot Hochwald from Investment Properties to Inventories.
13. Net result on disposal of assets
During 2012 assets and activities were sold for a total consideration of EUR 22.8 million generating a consolidated gain of EUR 12.0 million and net
cash inflow after financial debt repayment amounting to EUR 10.7 million. The main contributors of the asset’s sales are describe in the note 8 and 10.
During 2011, in the framework of the restructuring plan, assets and activities have been sold for a total consideration of EUR 122.7 million generating
a consolidated net gain of EUR 9.9 million and a net cash inflow after financial debt repayment (EUR 6.7 million) amounting to EUR 11.8 million.
14. Other current assets
B a lan c e a s at 3 1
D ec e m b e r 20 1 1
V a riatio n Im p a ir m e n ts T ra n sf er B ala n ce a s a t 31
D e ce m b er 2 0 12
P re pa ym e nt tax a nd so c ia l s e cu rity 1 ,12 0 881 - - 2,0 01
O pe ra tin g loa n s 18 (1 8) - - -
A c cru e d a ss e ts 15 ,26 9 (9 2 9) - (2) 1 4,3 38
O th e r cu rre nt a ss e ts 5 ,33 0 (1,2 5 5) (18 2 ) - 3,8 93
A c cru e d inte re sts 37 62 - (3 1) 68
T o ta l o th er c u rre n t a s se ts 21 ,77 4 (1,2 5 8) (18 2 ) (3 3) 2 0,3 00
Over 2012, the Group recognized EUR 0.2 million of impairment on trading securities.
15. Cash and cash equivalents
As at 31 December 2012, the cash and cash equivalents consist of cash in bank for EUR 7.8 million (EUR 14.8 million in 2011).
Cash in bank include restricted cash amounting to EUR 5.3 million (EUR 4.4 million in 2011) representing:
- cash deposited in accounts pledged as collateral for development projects and lifted after sales of units EUR 0.1 million (EUR 2.2 million
in 2011).
- cash deposited in accounts pledged as collateral for loans related to the acquisition of property amounts to EUR 0.4 million (EUR 1.9
million in 2011).
- cash contribution of the Group’s joint ventures as both parties’ approval is needed or restricted entities for withdrawal amounting to EUR
4.8 million in 2012 (EUR 0.2 million in 2011).
ANNUAL CONSOLIDATED FINANCIAL STATEMENTS | 33