Siemens 2013 Annual Report Download - page 276

92 A. To our Shareholders 117 B. Corporate Governance 155 C. Combined Management Report

Accordingly, the results of Water Technologies are disclosed as
discontinued operations in the Company ’s Consolidated State-
ments of Income for all periods presented:
Year ended September ,
(in millions of €)  
Revenue 950 1,099
Expenses (959) (1,081)
Loss on the measurement to fair value
less costs to sell or on the disposal
of the disposal group constituting the
discontinued operations (24) –
Pretax income (loss) from discontinued
operations (32) 18
Income taxes on ordinary activities 1 (9)
Income taxes on the loss on the
measurement to fair value less costs to
sell or on the disposal of the disposal group
constituting the discontinued operations 6 –
Income (loss) from discontinued
operations, net of income taxes (26) 9
The assets and liabilities of Water Technologies are presented
as held for disposal in the Consolidated Statements of Finan-
cial Position as of September , . The carrying amounts
of the major classes of assets and liabilities of Water Technolo-
gies were as follows:
September ,
(in millions of €) 
Trade and other receivables 155
Inventories 144
Financial assets 35
Goodwill 155
Other intangible assets 103
Property, plant and equipment 157
Other assets 19
Assets classified as held for disposal 768
Trade payables 79
Current provisions 36
Other current liabilities 92
Post-employment benefits 13
Other liabilities 37
Liabilities associated with assets
classified as held for disposal 258
Upon classification as held for disposal and discontinued oper-
ations in the fourth quarter of fiscal , Water Technologies
was measured at the lower of its previous carrying amount
and fair value less costs to sell. The associated loss recognized
represents impairment of goodwill amounting to € million.
Solar business – reclassification
to continuing operations
In the fourth quarter of fiscal , Siemens decided to sell its
solar business consisting of the former Business Units Solar
Thermal Energy and Photovoltaics and classified it as held for
disposal and discontinued operations since the end of fiscal
. In the second quarter of fiscal , the solar business no
longer fulfilled the conditions to be classified as held for dis-
posal and discontinued operations as a disposal within one
year was no longer considered highly probable. Regarding Pho-
tovoltaics, the disposal process was terminated in March 
and instead the phase out of existing orders with a subsequent
closure of the activities is being pursued. Regarding Solar
Thermal Energy the disposal within one year was no longer
highly probable due to the worsened environment in the over-
all market for solar thermal energy as well as a decrease of out-
put of a solar thermal power plant within the solar thermal
energy activities of Siemens. Therefore, the solar business is
reported within continuing operations of the Energy Sector. In
the third quarter of fiscal , Siemens decided to terminate
the sales process for Solar Thermal Energy as well and instead
is pursuing the phase out of existing orders with a subsequent
closure of the activities except for the solar thermal power
plant, which will be continued.
Loss from continuing operations before income taxes regard-
ing the solar business presented in the Consolidated State-
ments of Income for fiscal  and  amounted to €()
million and €() million, respectively.
As of September , , the assets and liabilities of the solar
business amounting to € million and € million were
classified as assets and liabilities held for disposal.
OSRAM – discontinued operations,
assets and liabilities held for disposal
In March , Siemens announced that it planned to publicly
list its subsidiary OSRAM. Siemens intended to retain a mi-
nority stake in OSRAM. The conditions for OSRAM to be classi-
fied as held for disposal and discontinued operations were
fulfilled as of the end of the second quarter of fiscal . Fac-
ing the market conditions Siemens decided in June  to
prepare, parallel and alternatively to the aforementioned plan
of an initial public offering, an offering of OSRAM in the form