Annual Report 2008 Sustainable design & engineering - Grontmij

Notes to the consolidated financial statements
Presentation
Grontmij has opted for early adoption of IFRS 8, which replaces IAS 14 Segment Reporting for periods beginning on or after 1 January 2009.
Secondary segmentation is, consequently, as of 2008 no longer included in the notes to the consolidated financial statements. Further reference
is made to note 27.
In addition, as of 2008, Grontmij has changed the presentation of certain financial information in its financial statements. These changes in
presentation do not in any way constitute a change in accounting policies, nor do they affect results or equity in 2008 or previous periods.
The changes can be summarised as follows:
o all results from equity accounted investees are presented as part of operating result in the (consolidated) income statement as this
presentation reflects Grontmij´s business model more properly;
o as of 2008, also amounts due from and to customers relating to service contracts are, on a contract-for-contract basis, presented broken down
in receivables and liabilities. Until 2007 the majority thereof were netted in the presentation as relevant information was not available.
The effect of the change to a broken down presentation is an increase of the balance sheet total by € 73.8 million as at 31 December 2008 and
by € 67.3 million as at 31 December 2007. This changes does not affect shareholders´ equity, results and cash flows for 2008 or other periods;
o amounts due from and to customers are no longer disclosed on the face of the balance sheet but are included in the line Receivables to
the extent they represent unbilled revenue at the reporting date, and in Trade and other payables to the extent they represent advances.
Comparative amounts have been reclassified to conform to the current year presentation. The changes do not affect results, shareholders´ equity
or cash flows in the concerning years.
Use of estimates and judgements
The preparation of financial statements in conformity with EU-IFRSs requires the Executive Board to make judgements, estimates and
assumptions that affect the application of accounting policies and the reported amount of assets and liabilities, income and expenses.
The estimates and underlying presumptions are based on past experiences and on various other factors which may be assumed to be reasonable
based on the given circumstances. The results of this process form the basis for the assessment of the carrying amount of assets and liabilities
that may be difficult to identify from other sources. The actual results may differ from these estimates.
Information regarding the most important estimates in the financial statements is included in the following notes:
Note
6 Business combinations
8 Calculation of the realisable value of cash flow generating units that contain goodwill
9, 10 Economic life of property, plant & equipment and intangible assets
13 Utilisation of deferred tax assets
14,15 Revenue recognition
19 Measurement of defined benefit obligations and other employee benefits
20 Measurement of non-cash share based payments
22 Aftercare liabilities
24 Measurement of financial instruments
Important estimates and underlying presumptions are periodically reviewed. Revised estimates are incorporated in the year during which
the estimate was revised, if the revision impacts only on that year, or else in the year under review and future periods, if the revision impacts both
the year under review and on future periods.
GRONTMIJ | ANNUAL REPORT 2008 77