20% - Assa Abloy

ASSA ABLOY
Annual Report 2007
76
Note 16
Americas 13.0 percent, Asia Pacific 13.0 percent, Global Technologies 13.0 percent and Entrance Systems 13.0 percent).
These calculations are hypothetical and should not be viewed as an indication that these figures are any more or less
likely to be changed. The sensitivity analysis should therefore be treated with caution.
None of the hypothetical cases above would lead to an impairment of goodwill in a particular Cash-Generating Unit.
2006
If the estimated operating margin after the end of the budget period had been 10 percent lower than the management’s
figure, total recoverable amount, and likewise the recoverable amount for HID Group, Architectural Hardware Group and
Entrance Systems, would be 9 percent lower.
If the estimated growth rate to extrapolate cash flows beyond the budget period had been 10 percent lower than the
starting assumption of 3 percent, total recoverable amount, and likewise the recoverable amount for HID Group, Architectural
Hardware Group and Entrance Systems, would be 6 percent lower.
If the estimated weighted capital expenditure used for the Group’s discounted cash flow had been 10 percent higher
than the starting assumption of 7.0 to 9.0 percent, total recoverable amount, and likewise the recoverable amount for HID
Group, Architectural Hardware Group and Entrance Systems, would be 14 percent lower.
These calculations are hypothetical and should not be viewed as an indication that these figures are any more or less
likely to be changed. The sensitivity analysis should therefore be treated with caution.
None of the hypothetical cases above would lead to an impairment of goodwill in a particular Cash-Generating Unit.
Note 16 Tangible assets
2007 SEK M Buildings
Group
Parent
company
Land and
land im-
provements Machinery Equipment Total Equipment
Opening accumulated acquisition value 2,982 700 5,575 1,764 11,021 17
Purchases 166 5 310 214 695 3
Acquisitions of subsidiaries 83 72 73 35 263 –
Sales/disposals –165 –28 –120 –122 –435 –4
Reclassifications 48 –19 58 66 153 –
Translation differences 19 6 63 9 97 –
Closing accumulated acquisition value 3,133 736 5,959 1,966 11,794 16
Opening accumulated depreciation/
impairment –1,282 –24 –3,789 –1,189 –6,284 –10
Sales/disposals 71 – 100 103 274 2
Reclassifications – – 18 –18 0 –
Impairment – – – –1 –1 –
Depreciation for the year –126 –1 –436 –239 –802 –2
Translation differences –15 0 –18 –10 –43 –
Closing accumulated
depreciation/impairment –1,352 –25 –4,125 –1,354 –6,857 –10
Construction in progress 408
Book value 1,781 711 1,834 612 5,345 6
The tax value of the Group’s Swedish buildings was SEK 87 M (82).
The tax value of the Group’s Swedish land was SEK 14 M (12).
2006 SEK M Buildings
Group
Parent
company
Land and
land im-
provements Machinery Equipment Total Equipment
Opening accumulated acquisition value 3,150 761 5,745 1,688 11,344 19
Purchases 74 2 316 213 605 2
Acquisitions of subsidiaries 24 – 51 45 120 –
Sales/disposals –85 –14 –157 –110 –366 –4
Reclassifications 23 – 50 44 117 –
Translation differences –204 –49 –430 –116 –799 –
Closing accumulated acquisition value 2,982 700 5,575 1,764 11,021 17
Opening accumulated depreciation/
impairment –1,212 –24 –3,676 –1,084 –5,996 –9
Sales/disposals 13 – 134 91 238 1
Impairment –34 – –70 –37 –141 –
Depreciation for the year –129 –3 –460 –246 –838 –2
Translation differences 80 3 283 87 453 –
Closing accumulated depreciation
/impairment –1,282 –24 –3,789 –1,189 –6,284 –10
Construction in progress 383
Book value 1,700 676 1,786 575 5,120 7