Full Annual Report 2006 - Singapore Technologies Engineering

THE WINNING SPIRIT ST Engineering AR 2006 170
Notes to the Financial Statements 31 DECEMBER 2006
(Currency – Singapore dollars unless otherwise stated)
11. INTANGIBLE ASSETS (continued)
(b) Other intangible assets
COMMERCIAL
AND
INTELLECTUAL CORPORATE OTHER
DEFERRED PROPERTY CLUB INTANGIBLE
EXPENDITURE* RIGHTS MEMBERSHIP ASSETS TOTAL
$’000 $’000 $’000 $’000 $’000
The Group
Cost
At 1.1.2005 – 5,101 – – 5,101
Additions – 10 – – 10
Acquisition of subsidiaries 1,076 – – – 1,076
Translation difference – 46 – – 46
Reclassified from investments – – 1,345 – 1,345
As at 31.12.2005, as previously reported 1,076 5,157 1,345 – 7,578
Finalisation of purchase price allocation # – 34,124 – – 34,124
At 31.12.2005, as restated and at 1.1.2006 1,076 39,281 1,345 – 41,702
Additions 4,742 520 – – 5,262
Acquisition of subsidiaries 811 18,098 – 10,256 29,165
Translation difference – (3,498) – (270) (3,768)
At 31.12.2006 6,629 54,401 1,345 9,986 72,361
Accumulated amortisation
At 1.1.2005 – 2,589 – – 2,589
Amortisation for the year 413 796 313 – 1,522
Translation difference – 32 – – 32
Impairment loss reclassified from investments – – 932 – 932
Write-back of impairment loss – – (234) – (234)
At 31.12.2005 and 1.1.2006 413 3,417 1,011 – 4,841
Amortisation for the year 424 3,823 28 860 5,135
Translation difference (1) (299) – (26) (326)
Impairment loss + – 818 – – 818
At 31.12.2006 836 7,759 1,039 834 10,468
Net book value
At 31.12.2006 5,793 46,642 306 9,152 61,893
At 31.12.2005 663 35,864 334 – 36,861
* Deferred expenditure includes a carrying amount of $4.6 million, of which amortisation has not commenced as the
intangible asset has not begun to generate revenue.
#
These adjustments relate to the purchase price allocation to goodwill, intangible assets (excluding goodwill) and other
assets for iDirect Inc., which was finalised during the current year.
+
During the year, an impairment of $818,000 was recognised in respect of the commercial and intellectual property rights
of a product for which sales prospects have become uncertain.