5.3.13Intangible Assets
2016
|
Development costs |
Goodwill |
Software |
Patents |
Total |
|
|---|---|---|---|---|---|
|
Cost |
19 |
25 |
9 |
19 |
71 |
|
Accumulated amortisation and impairment |
(4) |
- |
(3) |
(19) |
(26) |
|
Book value at 1 January |
15 |
25 |
5 |
1 |
45 |
|
Additions |
5 |
- |
0 |
- |
5 |
|
Amortisation |
(1) |
- |
(2) |
(1) |
(3) |
|
Impairment |
- |
- |
- |
- |
- |
|
Other movements |
- |
- |
0 |
- |
0 |
|
Foreign currency variations |
(1) |
- |
0 |
- |
(1) |
|
Total movements |
3 |
- |
(1) |
(1) |
1 |
|
Cost |
23 |
25 |
11 |
19 |
77 |
|
Accumulated amortisation and impairment |
(5) |
- |
(7) |
(19) |
(31) |
|
Book value at 31 December |
18 |
25 |
4 |
- |
46 |
2015
|
Development costs |
Goodwill |
Software |
Patents |
Total |
|
|---|---|---|---|---|---|
|
Cost |
9 |
25 |
4 |
13 |
51 |
|
Accumulated amortisation and impairment |
(4) |
- |
(2) |
(11) |
(17) |
|
Book value at 1 January |
5 |
25 |
2 |
1 |
34 |
|
Additions |
12 |
- |
4 |
- |
17 |
|
Amortisation |
- |
- |
(1) |
(1) |
(3) |
|
Impairment |
- |
- |
- |
- |
- |
|
Other movements/deconsolidation |
(3) |
- |
0 |
- |
(3) |
|
Foreign currency variations |
- |
- |
0 |
- |
0 |
|
Total movements |
9 |
- |
3 |
(1) |
11 |
|
Cost |
19 |
25 |
8 |
19 |
71 |
|
Accumulated amortisation and impairment |
(4) |
- |
(3) |
(19) |
(26) |
|
Book value at 31 December |
15 |
25 |
5 |
1 |
45 |
The additions are primarily related to the completion of the Fast4ward concept.
Amortisation of development costs is included in ‘Cost of sales’ in the income statement in 2015 for nil and US$ 1.0 million in 2016.
Goodwill relates to the acquisition of the Houston based subsidiaries. The recoverable amount is determined based on value-in-use calculations. These calculations use pre-tax cash flow projections based on financial budgets approved by management covering a three-year period. Cash flows beyond the three-year period are extrapolated using an estimated growth rate of 2%. Management determined budgeted gross margin based on past performance and its expectations of market development and award perspective on brownfield, semi-TLP and semi-sub projects. The discount rates used are pre-tax and reflect specific risks (9.0%).