Nokia 2004 Annual Report Download - page 179
Download and view the complete annual report
Please find page 179 of the 2004 Nokia annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.-
1 -
2
-
3
-
4
-
5
-
6
-
7
-
8
-
9
-
10
-
11
-
12
-
13
-
14
-
15
-
16
-
17
-
18
-
19
-
20
-
21
-
22
-
23
-
24
-
25
-
26
-
27
-
28
-
29
-
30
-
31
-
32
-
33
-
34
-
35
-
36
-
37
-
38
-
39
-
40
-
41
-
42
-
43
-
44
-
45
-
46
-
47
-
48
-
49
-
50
-
51
-
52
-
53
-
54
-
55
-
56
-
57
-
58
-
59
-
60
-
61
-
62
-
63
-
64
-
65
-
66
-
67
-
68
-
69
-
70
-
71
-
72
-
73
-
74
-
75
-
76
-
77
-
78
-
79
-
80
-
81
-
82
-
83
-
84
-
85
-
86
-
87
-
88
-
89
-
90
-
91
-
92
-
93
-
94
-
95
-
96
-
97
-
98
-
99
-
100
-
101
-
102
-
103
-
104
-
105
-
106
-
107
-
108
-
109
-
110
-
111
-
112
-
113
-
114
-
115
-
116
-
117
-
118
-
119
-
120
-
121
-
122
-
123
-
124
-
125
-
126
-
127
-
128
-
129
-
130
-
131
-
132
-
133
-
134
-
135
-
136
-
137
-
138
-
139
-
140
-
141
-
142
-
143
-
144
-
145
-
146
-
147
-
148
-
149
-
150
-
151
-
152
-
153
-
154
-
155
-
156
-
157
-
158
-
159
-
160
-
161
-
162
-
163
-
164
-
165
-
166
-
167
-
168
-
169 -
170 -
171 -
172 -
173 -
174 -
175 -
176 -
177 -
178 -
179 -
180 -
181 -
182 -
183 -
184 -
185 -
186 -
187 -
188 -
189 -
190
-
191
-
192
-
193
-
194
-
195
 |
 |
Notes to the Consolidated Financial Statements (Continued)
36. Principal Nokia Group companies at December 31, 2004 (Continued)
Shares in listed companies
Group holding more than 5% Group Group
holding voting
%%
Nextrom Holding S.A. ................................................. 79.33 86.21
Under a binding sale agreement signed on December 31, 2004, Nokia will sell its entire holding in
Nextrom Holding S.A. and the remaining loan agreement to Knill Group. The transaction is
expected to be completed during the first quarter of 2005. The negative impact of EUR 12 million
from the divesture was recognized in other operating expenses in 2004.
Associated companies
Symbian Limited ..................................................... 47.90 47.90
A complete list of subsidiaries and associated companies is included in Nokia’s Statutory Accounts.
37. Differences between International Financial Reporting Standards and U.S. Generally
Accepted Accounting Principles
The Group’s consolidated financial statements are prepared in accordance with International
Financial Reporting Standards, which differ in certain respects from accounting principles
generally accepted in the United States (U.S. GAAP). The principal differences between IFRS and
U.S. GAAP are presented below together with explanations of certain adjustments that affect
consolidated net income and total shareholders’ equity as of and for the years ended December 31:
2004 2003 2002
EURm EURm EURm
Reconciliation of net income:
Net income reported under IFRS ................................... 3,207 3,592 3,381
U.S. GAAP adjustments:
Pension expense .............................................. —(12) (5)
Development costs ............................................ 42 322 (66)
Provision for social security cost on stock options ................... (8) (21) (90)
Stock compensation expense .................................... (21) (9) (35)
Cash flow hedges ............................................. 89 96
Net investment in foreign companies ............................. ——48
Amortization of identifiable intangible assets acquired ............... (11) (22) (22)
Impairment of identifiable intangible assets acquired ................ (47) ——
Amortization of goodwill ....................................... 106 162 206
Impairment of goodwill ........................................ —151 104
Deferred tax effect of U.S. GAAP adjustments ........................ (14) (75) 76
Net income under U.S. GAAP ...................................... 3,343 4,097 3,603
F-54