+1 - Solvay

(13) Discontinued operations
In 2006 the net income from discontinued operations consisted of the first quarter net profit of the industrial
foils activity (EUR 2 million before and after taxes) and the capital gain on the sale of the industrial foils activity
(EUR 102 million before taxes and 101 million after taxes).
In 2007 the Group has no discontinued opertions as defined by IFRS 5.
(14) Group net income
Net income reached EUR 828 million, which is EUR 11 million (1.4 %) higher than net income in 2006
(EUR 817 million). This record result reflects excellent operating results and the positive balance of nonrecurrent
items, notwithstanding the higher tax charge and the absence of income from discontinued operations
(EUR 103 million in 2006).
The minority interest in this net income figure is EUR 47 million compared with EUR 26 million in 2006. This
increase is linked to the good results achieved by Group companies having minority shareholders, and in particular
Financère Keyenveld thanks to the sale of the Sofina shares.
(15) Diluted earnings per share
The diluted earnings per share is obtained by dividing net income by the number of shares, increased by the number
of potentially diluting shares attached to the issue of share options.
Full data per share can be found in the management report.
82
Consolidated cash flow statement
(16) Depreciation, amortization and impairments
Total depreciation, amortization and impairments amount to EUR 593 million, up EUR 71 million on 2006
(EUR 522 million). Impairment losses in 2007 (EUR 123 million compared with EUR 48 million in 2006) are linked
to the restructuring of the Fluor (EUR 65 million) and Molecular Solutions (EUR 16 million) activities and, for
the Pharmaceuticals Sector, the writedown on an intangible asset (Odiparcil EUR 19 million) and the recognition
of impairment losses in the context of the “INSPIRE” project (EUR 17 million).
(17) Variation in provisions
In 2007, the variation in provisions (including the variation in pension fund surpluses) in the cash flow statement
is EUR 140 million. This variation represents the balance of new provisions and reversals and uses of existing
provisions. The difference with the EUR 189 million variation in the balance sheet item is due to an exchange rate
effect (EUR 54 million) and a change in consolidation scope (EUR 5 million). See note 28 on provisions.
In 2006 the variation in provisions in the cash flow statement is EUR 6 million, close to the balance of new provisions
and uses from existing provisions.
(18) Other
This item serves to take out of cash flow from operating activities those items already included in cash flow from
investing activities (gains on the sales of assets). For 2007 the elimination relates essentially to the gains on
the sales of the Caprolactones activity (EUR 151 million), the Sofina shares (EUR 73 million) and subscription rights
to the capital increase in Fortis (EUR 37 million).
Solvay Global Annual Report 2007