6 - Vicat

Financial information concerning the asset base,the financial condition and the results of the issuer20.3.3. NOTES TO VICAT S.A. FINANCIAL STATEMENTS 20092020.3.3. Notes to vicat s.A. financial statements 2009ACCOUNTING POLICIESThe accompanying financial statements have beenprepared in accordance with the laws and regulationsapplicable in France.Significant accounting policies used in preparationof the accompanying financial statements are asfollows :Intangible assets are recorded at historical cost afterdeduction of amortization. Goodwill, fully amortized,corresponds to business assets received prior to the1986 fiscal year. Greenhouse gas emission quotasare entered in accordance with the arrangementsexplained in note A1.Research and development costs are entered asexpenses.Receivables and payables denominated in foreigncurrencies are recorded using the exchange ratesprevailing at the date of the transaction. At yearend,these receivables and payables are valued in thebalance sheet at exchange rates in effect at year-end.Issue expenses for borrowings are spread over theterm of the borrowings.Differences arising from revaluation of thesereceivables and payables are reported in the balancesheet under "Translation differentials". Additionalprovisions are made for unrealized currency lossesthat do not offset.Short-term financial investments are valued at costor at market value if lower.SIGNIFICANT EVENTSOF THE PERIODPlant, property and equipment are recorded atacquisition or production cost. Property, plant andequipment acquired before December 31, 1976 havebeen restated.Amortization is calculated on a straight-line basisover the useful life of assets. Amortization calculatedon a tax rate method is reported in the balance sheetunder “regulated provisions”.Mineral reserves and related development costs areamortized using the units of production method.Investments are recorded at cost and adjusted tomarket value when a significant and permanentdecline in value occurs. Investments acquired beforeDecember 31, 1976 have been restated.During the year, the company participated in theincrease in capital of its PARCIFIM subsidiary for anamount of 125,886 k€ .SALES ANALYSISNet sales by geographical area and activity breakdown as follows for the year ended December 31,2009 :(in thousandsof euros)FranceOthercountries TOTALCEMENT 383,590 29,499 413,089PAPER 24,531 11,089 35,620TOTAL 408,121 40,588 448,709Inventories are valued using the method of weightedaverage unit cost.Cost includes both the purchase price and all relatedcosts.Manufactured goods are recorded at production costand include labor, material, manufacturing overheadsand other direct costs of production. Receivablesand payables are recorded at cost.Depreciations are made to recognize losses ondoubtful receivables and inventories that may ariseat year-end.2009 registration document - VICAT 175