APC 2011 Annual Report Download - page 176

174 2011 REGISTRATION DOCUMENT SCHNEIDER ELECTRIC
CONSOLIDATED FINANCIAL STATEMENTS
5NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
Note11 Goodwill
11.1 – Main items of goodwill
Group goodwill is broken down by business as follows:
Dec.31, 2011 Net Dec.31, 2010 Net
Power 3,906 3,789
Industry 2,176 1,732
Buildings 1,642 1,345
ITB 3,061 2,620
Infrastructure 1,987 727
TOTAL 12,773 10,213
The 2010 goodwill is presented in order to take into account the business reorganisation that occurred in 2011.
Square D goodwill was allocated to each business in proportion to operating income:
Power Industry
Square D Company 82% 18%
11.2 – Movements during the year
The main movements during the year are summarised as follows :
2011 2010
Net goodwill at opening 10,213 8,611
Acquisitions* 2,356 938
Disposals (21) (1)
Impairment - (15)
Translation adjustment 142 675
Reclassifi cations 83 5
Net goodwill at year end 12,773 10,213
Cumulative impairment (178) (172)
* On the basis of the exchange rate at acquisition date.
Acquisitions
There is a 12 month period after the date of acquisition for the
Group to fi nalise the allocation of goodwill to these entities.
Thecorresponding goodwill is therefore provisional.
Goodwill generated by acquisitions made during the year
totaled EUR2,356 million and correspond principally to Telvent
(EUR1,001 million), the Chinese group L eader & Harvest
(EUR347million) and the Indian group Luminous (EUR260million).
Goodwill generated by 2010 acquisitions totaled EUR938million,
consisting mainly of Areva Distribution for EUR727 million,
SCADAgroup in Australia for EUR110 million and Cimac in the
United Arab Emirates for EUR33million.
Impairment
Impairment tests performed on all the Group’s CGUs have not led
to impairment losses being recognised.
Other changes
Translation adjustments concern principally goodwill onUSdollars.