Annual Report 2010 in PDF - BBA Aviation

2. Proft for the year
Proft for the year has been arrived at after charging/(crediting):
Exceptional items
Exceptional items included within operating proft amounted to a net charge of £10.2 million (2009: £18.2 million). The main items included
within this are:
2010: Administrative expenses of £3.7 million related to amortisation of intangible assets acquired and valued in accordance with IFRS 3.
Restructuring costs of £4.2 million associated primarily with the closure of APPH Bolton of £2.5 million and severance costs at Dallas Airmotive of
£1.5 million. Other operating expenses of £2.3 million includes acquisition costs of £1.5 million of which £1.4 million related to acquisitions made
in prior years and other costs of £0.8 million which include costs related to businesses previously disposed of.
2009: Administrative expenses of £3.8 million relating to amortisation of intangible assets acquired and valued in accordance with IFRS 3
and restructuring costs of £6.0 million relating to a number of restructuring initiatives, other operatings expenses of £8.0 million which relate
principally to an impairment of £5.5 million of our investment in ASIG Thailand and costs of £2.3 million relating to an onerous lease; and a net loss
on the disposal of businesses of £0.4 million.
Underlying proft is shown before exceptional items on the face of the income statement because the directors consider that this gives a
useful indication of underlying performance.
Other
2010 2009
£m £m
Net foreign exchange(gains)/losses (0.3) 0.1
Research and development costs 2.3 1.2
Depreciation of property, plant and equipment 33.6 35.2
Amortisation of intangible assets (included in cost of sales) 1.7 1.6
Amortisation of intangible assets (included in administration expenses) 6.9 5.8
Total depreciation and amortisation expense 42.2 42.6
Impairment of property, plant and equipment – 4.6
Total employee costs 306.6 300.5
Cost of inventories recognised as an expense within cost of sales 568.8 514.4
The analysis of auditor’s remuneration is as follows:
2010 2009
£m £m
Fees payable to the Company’s auditors for the audit of the Group’s annual accounts 1.5 1.4
Fees payable to the Company’s auditors and their associates for other services to the Group
The audit of the Company’s subsidiaries pursuant to legislation 0.1 0.1
Total audit fees 1.6 1.5
Other services pursuant to legislation
Tax services 0.1 0.1
0.1 0.1
Total fees payable to the Company’s auditors 1.7 1.6
Consolidated Financial Statements — 97