Download PDF version English (3237KB) - Hamon

70
Hamon Annual Report 2012
and can be distinguished on the operational field and
for the communication of financial information.
Besides general information detailing discontinued
operations, the financial statements disclose the
amounts of assets and liabilities, the profit or loss and
the tax charge as well as the net cash flows attributable
to the operating, investing, and financing activities of
discontinued operations.
Assets classified in discontinued operations or held for
sale are measured at the lower of their carrying amount
and their fair value less costs to sell. They are not
depreciated anymore but they are considered for
impairment upon any indication of a decrease of their
net realizable value.
assumptions and ranges are determined, the general
economic environment, unpredictable exogenous
events or the execution of contracts may lead to significant
differences between estimates and actual results
as it has sometimes been the case in recent years.
Accounting estimates and their key assumptions are
reexamined regularly and the effects of their revisions
are reflected in the financial statements of the corresponding
period.
When such assumptions and estimates have been
made, they are explained in the notes relating to the
elements to which they refer.
3.5.7 Borrowing costs
Borrowing costs directly attributable to the acquisition,
construction or production of qualifying assets, which
are assets that necessarily take a substantial period of
time to get ready for their intended use or sale, are
added to the cost of those assets, until such time as
the assets are substantially ready for their intended use
or sale.
All other borrowing costs are recognized in profit or
loss in the period in which they are incurred.
4. Key assumptions and estimates
Within the framework of preparation of its consolidated
financial statements, the Group must, on certain
occasions, formulate assumptions and/or carry out
estimates affecting the balance sheet and/or the
income statement.
Estimates are used in the assessment of impairment
losses/write-offs on current and non-current assets, in
the estimate of the result and percentage of completion
of construction contracts in progress, in the assessment
of the residual lifetime of tangible and intangible fixed
assets except for the goodwill, in the provisions for
pensions, restructuring and potential litigations as
well as in the assessment of the recoverability of the
deferred tax assets.
Management bases its estimates on its previous
experience and formulates certain assumptions that
seem reasonable taking into account the circumstances.
Variation ranges of key assumptions are used (in the
case of goodwill, multiples, levels of bookings, growth
rate, WACC, ...), which, in the opinion of management,
are appropriate. Despite the prudence with which these