full_annual_report_2014

Overview
Strategy
review Performance Governance Financials
Additional
information
113
3. Operating (loss)/profit
Detailed below are the key amounts recognised in arriving at our operating (loss)/profit.
£m £m £m
Net foreign exchange losses 16 21 33
Depreciation of property, plant and equipment (note 11):
Owned assets 3,990 3,600 3,583
Leased assets 48 37 74
Amortisation of intangible assets (note 10) 3,522 3,024 3,064
Impairment of goodwill in subsidiaries, associates and joint arrangements (note 4) 6,600 7,700 3,848
Impairment of licences and spectrum (note 4) – – 121
Impairment of property, plant and equipment (note 4) – – 81
Negative goodwill (note 28) – (473) –
Research and development expenditure 214 307 304
Staff costs (note 25) 3,875 3,620 3,352
Operating lease rentals payable:
Plant and machinery 651 506 500
Other assets including fixed line rentals 1,502 1,297 1,255
Loss on disposal of property, plant and equipment 85 77 51
Own costs capitalised attributable to the construction or acquisition of property, plant and equipment (455) (356) (312)
2014
Restated
2013
The total remuneration of the Group’s auditor, Deloitte LLP and other member firms of Deloitte Touche Tohmatsu Limited for services provided
to the Group is analysed below:
2014 2013 2012
£m £m £m
Parent company 1 1 1
Subsidiaries 8 7 6
Audit fees: 9 8 7
Audit-related assurance services 1 1 1 1
Other assurance services 2 3 – –
Taxation advisory services 3 – – –
Other non-audit services 3 – – 1
Non-audit fees: 4 1 2
Total fees 13 9 9
Notes:
1 Relates to fees for statutory and regulatory filings.
2 Primarily arising from regulatory filings and shareholder documentation requirements in respect of the disposal of Verizon Wireless and the acquisition of the outstanding minority stake in Vodafone Italy.
3 Deloitte LLP and other member firms of Deloitte Touche Tohmatsu Limited were engaged during the year to provide a number of taxation advisory and other non-audit services. In aggregate, fees for these services amounted
to £0.3 million
Deloitte LLP and other member firms of Deloitte Touche Tohmatsu Limited have also received fees in each of the last three years in respect of audits
of charitable foundations associated to the Group.
A description of the work performed by the Audit and Risk Committee in order to safeguard auditor independence when non-audit services are
provided is set out in “Corporate governance” on page 64.
Restated
2012