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16. PROPERTY, PLANT AND EQUIPMENT
LAND AND
BUILDINGS
FLOATING AND
OTHER
CONSTRUCTION
EQUIPMENT
OTHER FIXED
ASSETS
PROPERTY,
PLANT AND
EQUIPMENT
UNDER
CONSTRUCTION
TOTAL
Balance as at 1 January 2016
Cost
135,342
4,154,163
39,367
182,746
4,511,618
Accumulated depreciation and impairment losses
- 33,967
- 1,666,050
- 24,558
- 2,154
- 1,726,729
Carrying amount
101,375
2,488,113
14,809
180,592
2,784,889
Movements
Investments, including capitalized borrowing cost
39
51,521
7,279
123,244
182,083
Acquired through business combinations
-
164,390
-
-
164,390
Put into operation
3,741
115,952
-
- 119,693
-
Impairment losses
- 3,427
- 357,126
- 4,080
- 1,584
- 366,217
Reversal of impairment losses
-
1,247
58
-
1,305
Depreciation
- 4,453
- 258,008
- 6,322
-
- 268,783
Disposals
- 350
- 4,462
- 441
- 130
- 5,383
Other movements
- 1,025
- 3,850
6,362
501
1,988
Reclassified to disposal group
- 33
- 26,456
- 1,445
-
- 27,934
Currency translation differences
92
16,605
268
765
17,730
- 5,416
- 300,187
1,679
3,103
- 300,821
Balance as at 31 December 2016
Cost
134,885
4,440,128
56,052
187,518
4,818,583
Accumulated depreciation and impairment losses
- 38,926
- 2,252,202
- 39,564
- 3,823
- 2,334,515
Carrying amount
95,959
2,187,926
16,488
183,695
2,484,068
LAND AND
BUILDINGS
FLOATING AND
OTHER
CONSTRUCTION
EQUIPMENT
OTHER FIXED
ASSETS
PROPERTY,
PLANT AND
EQUIPMENT
UNDER
CONSTRUCTION
TOTAL
Balance as at 1 January 2015
Cost
117,725
3,870,710
37,479
244,008
4,269,922
Accumulated depreciation and impairment losses
- 30,439
- 1,470,156
- 24,077
- 1,362
- 1,526,034
Carrying amount
87,286
2,400,554
13,402
242,646
2,743,888
Movements
Investments, including capitalized borrowing cost
1,243
78,268
2,292
148,572
230,375
Put into operation
16,658
198,327
4,565
- 219,550
-
Impairment losses
-
- 13,743
-
- 790
- 14,533
Depreciation
- 3,968
- 254,120
- 7,748
-
- 265,836
Disposals
- 6
- 26,432
- 263
-
- 26,701
Other movements
364
- 3,958
2,842
- 1,184
- 1,936
Reclassified to disposal group
- 73
- 16,506
- 122
-
- 16,701
Currency translation differences
- 129
125,723
- 159
10,898
136,333
14,089
87,559
1,407
- 62,054
41,001
Balance as at 31 December 2015
Cost
135,342
4,154,163
39,367
182,746
4,511,618
Accumulated depreciation and impairment losses
- 33,967
- 1,666,050
- 24,558
- 2,154
- 1,726,729
Carrying amount
101,375
2,488,113
14,809
180,592
2,784,889
The Group has assessed whether any impairment triggers exist for its property, plant and equipment using
internal and external sources of information. Reference is made to
note 10 ‘Impairment losses’. Of the
impairment recognized, EUR 115 million relates to assets that were valued at fair value less costs to sell
(fair value hierarchy: level 3) and is mainly determined by an external valuator and scrap values for certain
assets that will be put out of operation, and EUR 251 million relates to assets that were valued at value-in-
use. Pre-tax discount rates used in the discounted, projected, cash flow models for the useful life of the main
vessels vary from 7.0% - 7.6%. If the cash flow projections used in the value-in-use calculations would have
been 3% lower subsequent to 2017, the Group would have recognized an additional impairment of
EUR 3.8 million. If the estimated discount rates for these assets would have been 1% higher than disclosed
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ANNUAL REPORT 2016 – BOSKALIS