Annual Report 2009 Royal BAM Group nv

13. Inventories
Land and building rights
Property development
Raw materials and consumables
Finished products
Within the ordinary course of business, the duration of land and building rights is generally non-current (longer than one
year). The majority of the property development investments are current in nature (less than one year).
In view of the poor market conditions and expectations and a structural recovery failing to appear in the short term, the
Group conducted analyses in 2009 with regard to property positions in the Netherlands. These analyses focused on
positions with the highest risk, predominantly relating to land, land development and commercial property.
Based on the analyses, the Group reached the conclusion that the expected (future) realisable values of several positions
had to be structurally adjusted downwards. This resulted in an impairment in 2009 amounting to €70 million.
In 2009, €51 million (2008: €53 million) of other inventories is recognised in the income statement. Other inventories
were not impaired in the year under review. Other inventories are predominantly current.
14. Trade receivables and other receivables
Trade receivables
Less: impairment of receivables
Trade receivables-net
Amounts due from customers
Amounts due from associates
Retentions
Prepayments and accrued income
PPP receivables
Other receivables
2009
1,145,260
(62,332)
1,082,928
457,695
36,030
127,100
69,212
8,332
329,052
2,110,349
2008
1,294,575
(71,332)
1,223,243
489,982
29,686
101,241
58,824
7,682
348,219
2,258,877
The fair value of trade receivables and other receivables is almost equal to their nominal value, due to the current nature
of the receivables. Normally, these receivables will be paid within the normal course of business (less than one year),
except for approximately €9 million (2008: €24 million). The fair value of this non-current part is approximately €8 million
(2008: €23 million) and has been calculated using an interest rate of 2.6 percent (2008: 3.1 percent).
There is no significant concentration of credit risk with regard to trade receivables, as the Group has a large number of
national and international customers. Some of the receivables are also secured via retention of ownership rights with
regard to the particular projects.
2009
813,834
900,500
18,980
4,131
1,737,445
2008
872,432
912,956
18,702
4,530
1,808,620
135
2009