<< < > >>
Search:
| Full PDF report | Print this page |
Annual Report & Accounts 2009 - Notes
slide
<< < > >>
44 11.3 Carrying amounts Non- Trade- Consulting contractual Goodwill marks & Software & customer Total Trade name Licence Magazine relationships d000's d000's d000's d000's d000's d000's At 31 Dec 2007 40,339 15,144 137 104 - 55,724 At 31 Dec 2008 40,339 15,144 396 - - 55,879 At 31 Dec 2009 43,617 15,753 2,321 - 1,491 63,182 At 31 December 2009 Betboo 3,278 609 2,148 - 1,491 7,526 Casino Club 40,339 15,144 113 - - 55,596 Betaland - - 60 - - 60 43,617 15,753 2,321 - 1,491 63,182 At 31 December 2008 Betboo - - - - - - Casino Club 40,339 15,144 49 - - 55,532 Betaland - - 347 - - 347 40,339 15,144 396 - - 55,879 At 31 December 2007 Betboo - - - - - - Casino Club 40,339 15,144 133 104 - 55,720 Betaland - - 4 - - 4 40,339 15,144 137 104 - 55,724 11.4 Amortisation and impairment charge The amortisation for the year is recognised in the following line items in the income statement. Year ended Year ended Year ended 31 Dec 31 Dec 31 Dec 2009 2008 2007 g000's c000's c000's Net operating expenses 740 280 2,919 ----- ----- ----- 11.5 Impairment tests for cash-generating units containing goodwill and trademarks An Impairment Review of the Group's goodwill and trademarks was carried out for the year ended 31 December 2009. The carrying values of the assets were compared with the recoverable amounts, which were determined with the assistance of independent valuers. The recoverable amount was estimated based upon a value in use calculation, based upon management forecasts for the years ending 31 December 2010 and 31 December 2011. A long-term growth rate of 2.5% was used, to reflect the risk of adverse changes in legislation in the future on potential market growth. A discount rate of 18% was used, based on company specific posttax weighted average cost of capital. Having performed appropriate sensitivity analysis on the key assumptions (including reducing the growth rate to nil and increasing the discount rate to 20%), it was concluded that the carrying value of the goodwill and trademarks was not impaired.